{"id":3279,"date":"2021-02-23T17:55:45","date_gmt":"2021-02-23T12:25:45","guid":{"rendered":"https:\/\/aayushbhaskar.com\/?p=3279"},"modified":"2022-07-27T13:11:50","modified_gmt":"2022-07-27T07:41:50","slug":"types-of-stocks-in-india-explained","status":"publish","type":"post","link":"https:\/\/aayushbhaskar.com\/types-of-stocks-in-india-explained\/","title":{"rendered":"Types of Stocks in India Explained","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"<p><span data-preserver-spaces=\"true\">There are various types of stocks one can trade-in, in India. A stock is basically the collective term for shares.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">A single share of the stock represents ownership of a corporation in fractional terms.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The more stocks you hold of a company, the higher your share or ownership in the company.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">These stocks are primarily traded on two stock exchanges in India, the\u00a0<\/span><span data-preserver-spaces=\"true\">National Stock Exchange<\/span><span data-preserver-spaces=\"true\">\u00a0and the Bombay Stock Exchange.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Companies that list their shares for the first time do it in the primary market. However, the secondary market allows investors to buy and sell shares of already-listed companies.\u00a0<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-3283 aligncenter\" src=\"https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/nsee.png?resize=478%2C161&#038;ssl=1\" alt=\"\" width=\"478\" height=\"161\" srcset=\"https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/nsee.png?resize=150%2C51&amp;ssl=1 150w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/nsee.png?w=386&amp;ssl=1 386w\" sizes=\"(max-width: 478px) 100vw, 478px\" data-recalc-dims=\"1\" \/><\/p>\n<p><span data-preserver-spaces=\"true\">Stocks in India are classified based on 7 different aspects. These aspects are \u2013<\/span><\/p>\n<h2><span data-preserver-spaces=\"true\">Based on stock classes\/voting rights:<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">This classification is based on the voting rights of the shareholders.\u00a0<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Some stocks do not give the shareholders the power to vote at the annual meeting. Hence, they have no say in management decisions. \u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li><span data-preserver-spaces=\"true\">Whereas some stocks allow shareholders to participate in the decision processes fully.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">They have proper voting rights, and their opinions matter before taking any management decision.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">\u00a0For example, Tata Motors, Pantaloons Retail India, both these company\u2019s stocks provide their shareholders with voting rights.<br \/>\n<img loading=\"lazy\" decoding=\"async\" class=\"wp-image-3281 aligncenter\" src=\"https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/TATA.png?resize=516%2C290&#038;ssl=1\" alt=\"\" width=\"516\" height=\"290\" srcset=\"https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/TATA.png?resize=150%2C84&amp;ssl=1 150w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/TATA.png?resize=768%2C432&amp;ssl=1 768w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/TATA.png?resize=1536%2C864&amp;ssl=1 1536w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/TATA.png?resize=2048%2C1152&amp;ssl=1 2048w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/TATA.png?w=2560&amp;ssl=1 2560w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/TATA.png?w=1600&amp;ssl=1 1600w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/TATA.png?w=2400&amp;ssl=1 2400w\" sizes=\"(max-width: 516px) 100vw, 516px\" data-recalc-dims=\"1\" \/><br \/>\n<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Some stocks also allow shareholders to cast multiple votes in different company matters.<\/span><\/li>\n<\/ul>\n<h2><span data-preserver-spaces=\"true\">Based on price trends:<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Some stocks are classified based on price trends. They depend on the movement of stock prices with or against the company\u2019s earnings.\u00a0<\/span><\/p>\n<h4><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">There are 2 major types of such stocks \u2013<\/span><\/h4>\n<ul>\n<li><span data-preserver-spaces=\"true\">Defensive stocks: These stocks are mostly unfazed by the economic and\/or financial conditions.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">They are considered when the market is in the bear phase, i.e., low or poor. For example, food and beverage companies fall under this category.<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Cyclical stocks: Company stocks that are highly affected by the country&#8217;s economic and\/or financial conditions see high fluctuations with market changes.\u00a0<\/span>These are cyclical stocks.<\/li>\n<\/ul>\n<p>These stocks grow rapidly during the boom period, and their growth is slow in a slow economy.<\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">So, we can say that they work in sync with economic conditions. Automobile stocks are an example of this category\u2019s stocks.<\/span><\/p>\n<h2><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Based on dividend payment:\u00a0<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">A dividend is basically a share of profit distributed by the company to its shareholders. Sometimes it is high, sometimes low.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Sometimes it is fixed, and sometimes it depends on the profit of the year.<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">Growth stocks: One invests in these stocks to profit from a reinvestment in the company. They do not pay high dividends. However, the reinvestment allows the company to grow faster; hence, the name.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">The value of shares also grows rapidly with the company\u2019s growth rate. It allows the investors to profit through higher returns (i.e. the difference between the price they bought the share at and the current price of the share).<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">It is best suited for investors seeking long-term <\/span><span data-preserver-spaces=\"true\">growth potential<\/span><span data-preserver-spaces=\"true\">. The ones looking for an immediate source of income or passive income should not really rely much on these shares.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">They also carry a higher risk than others.\u00a0<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Income stocks: These stocks pay a higher dividend compared to growth stocks.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Higher dividend results in higher income, hence, the name.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">These are offered by a stable company that can afford consistent dividends. But these companies also do not offer very high growth in the future.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">These stocks are a good investment for anybody looking for a secondary source of income.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">The dividend income is not taxed and great for risk-averse investors.<\/span><\/p>\n<h2><span data-preserver-spaces=\"true\">Based on market capitalization:<\/span><\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-3322\" src=\"https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/3-Types-of-Stocks-Compared-scaled.jpg?resize=800%2C373&#038;ssl=1\" alt=\"\" width=\"800\" height=\"373\" srcset=\"https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/3-Types-of-Stocks-Compared-scaled.jpg?resize=150%2C70&amp;ssl=1 150w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/3-Types-of-Stocks-Compared-scaled.jpg?resize=768%2C358&amp;ssl=1 768w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/3-Types-of-Stocks-Compared-scaled.jpg?resize=1536%2C717&amp;ssl=1 1536w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/3-Types-of-Stocks-Compared-scaled.jpg?resize=2048%2C956&amp;ssl=1 2048w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/3-Types-of-Stocks-Compared-scaled.jpg?w=2560&amp;ssl=1 2560w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/3-Types-of-Stocks-Compared-scaled.jpg?w=1600&amp;ssl=1 1600w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/3-Types-of-Stocks-Compared-scaled.jpg?w=2400&amp;ssl=1 2400w\" sizes=\"(max-width: 800px) 100vw, 800px\" data-recalc-dims=\"1\" \/><\/p>\n<p><span data-preserver-spaces=\"true\">The market capitalization of any company is its total shareholding.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">The calculation of it is by multiplying the company&#8217;s current stock price with the total number of outstanding shares in the market.\u00a0<\/span><\/p>\n<h4><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">These are the 3 main types of stocks based on market capitalization \u2013<\/span><\/h4>\n<ul>\n<li><span data-preserver-spaces=\"true\">Large-cap stocks: These are the stocks of established enterprises having large reserves of cash.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">They are blue-chip companies and highly reputed. These stocks come with the benefit of reaping higher dividends.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">ICICI Bank, Bharti Airtel, and Coal India are some examples of large-cap stocks in India.<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Mid-cap stocks: These are the stocks of medium size companies.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">They have a market cap of INR 250 crore to INR 4,000 crore.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">These companies have high growth potential and a recognized name in the market.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Relaxo Footwears and Polycab India are some of the mid-cap stocks one can trade-in.<\/span><\/p>\n<p>Below is a list of the top-performing mid and large-cap stocks in 2020-21.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-3284 aligncenter\" src=\"https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/Capture.png?resize=439%2C424&#038;ssl=1\" alt=\"\" width=\"439\" height=\"424\" srcset=\"https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/Capture.png?resize=150%2C145&amp;ssl=1 150w, https:\/\/i0.wp.com\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/Capture.png?w=597&amp;ssl=1 597w\" sizes=\"(max-width: 439px) 100vw, 439px\" data-recalc-dims=\"1\" \/><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Small-cap stocks: These stocks have the smallest size in the market.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">However, this does not mean that they cannot outperform the large-cap stocks. They surely can!\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Only the company size is small, having a market capitalization of up to INR 250 crore.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">If you are someone who is looking to commit long term without having particular current dividend goals, small-cap stocks are for you.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">They have good growth potential and witness significant gains amidst the price volatility. These companies are relatively new in the market.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Bajaj Consumer Care is a good small-cap stock for an investor looking for long-term growth and potential gains.<\/span><\/p>\n<h2><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Based on ownership:<\/span><\/h2>\n<h4><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">There are 3 types of stocks based on ownership, which offer the investors different rights and growth potential in the long term.<\/span><\/h4>\n<ul>\n<li><span data-preserver-spaces=\"true\">Preferred and common stocks: Preferred stocks offer the investors a fixed sum of dividend every year, irrespective of their profit. Common stocks, however, on the other hand, do not provide a fixed dividend every year.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Price volatility in preferred stocks is lesser than in common stocks. Common stocks always get the benefit on a priority basis whenever the company has more surplus to disburse.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Common stockholders have voting rights; however, the preferred stock owners do not.<\/span><\/p>\n<h4><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Preference shares<\/span><span data-preserver-spaces=\"true\">\u00a0are further divided into 3 categories \u2013<\/span><\/h4>\n<ul>\n<li><span data-preserver-spaces=\"true\">Cumulative preference shares: They give the holder the right to all the dividends which have come down in the past. This way, the shareholder never really loses his\/her share of dividends.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">Non-cumulative preference shares: As the name suggests, these shares do not accumulate <a href=\"https:\/\/aayushbhaskar.com\/dividends\/\" title=\"What Are Dividends and How Do They Work?\">dividends<\/a>. This is because these profits go out of the company\u2019s current year\u2019s profits. Hence, outstanding dividends in case of loses are not a supposed claim in the coming years.<\/span><\/li>\n<li><span data-preserver-spaces=\"true\"><span data-preserver-spaces=\"true\">Redeemable preference shares: These shares have a callable option. The company can redeem these profits later. The company pre-concludes the price at which they buy back the shares.<\/span><\/span><\/li>\n<li><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Hybrid stocks: Some companies offer preferred shares along with an option of converting them into common stocks later.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">These do involve certain conditions, such as the conversion ratio to be set by the company itself.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">They are also called convertible preferred stocks, and they sometimes have voting rights and sometimes do not.<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Stocks with embedded derivative option: Such stocks are not commonly available and are \u2018callable\u2019 or \u2018putable\u2019.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">This means a callable stock has the option of buying repurchased by the company immediately, for a certain price at a certain point in time.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">However, a putable stock offers its holder to sell it to the company at any point in time, at a certain price.<\/span><\/p>\n<h2><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Based on fundamentals:\u00a0<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">Many investors believe that the share price should be equal to the\u00a0<\/span><span data-preserver-spaces=\"true\">intrinsic value<\/span><span data-preserver-spaces=\"true\">\u00a0of the share.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">The intrinsic value of any share is the objective value of the asset, i.e., the stock.\u00a0<\/span><\/p>\n<h4><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Such shares are of 2 types \u2013<\/span><\/h4>\n<ul>\n<li><span data-preserver-spaces=\"true\">Overvalued shares: These stocks exceed the intrinsic value and hence considered over-valued.\u00a0<\/span><\/li>\n<li><span data-preserver-spaces=\"true\">Undervalued shares: When any share&#8217;s market price is less than its intrinsic value, it is an undervalue of the share. These are a good buy!<\/span><\/li>\n<\/ul>\n<h2><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Based on risk:<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">The riskiness of a stock highly depends on its price fluctuations. The volatile stocks are risky, and the ones that are not are fairly safe.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">However, riskier stocks offer higher returns to the investors and stocks, which are low risk, generate low returns.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">Every investor is either of the two types. One is a risk-averse investor who does not want to take many risks and wants to invest in safe funds.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">They do not want high returns but stable returns.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">On the other hand, some investors have a high-risk appetite and are ready to invest in risky stocks. They thrive on getting the most returns out of those stocks and do not worry about losing as much.\u00a0<\/span><\/p>\n<h4><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Based on this, stocks are classified as below \u2013<\/span><\/h4>\n<ul>\n<li><span data-preserver-spaces=\"true\">Beta stocks: The\u00a0<\/span><span data-preserver-spaces=\"true\">beta<\/span><span data-preserver-spaces=\"true\">\u00a0is also called the measure of risk. You get the beta by calculating the price volatility of the stock\/share.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">If the beta is positive, it means that the stock is moving in sync with the market. If the beta is negative, it means that the stock is moving against it. The higher the beta, the higher the risk.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">If the beta value comes out to be more than 1, it denotes high risk and that the stock is very volatile in the market.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Investors who have beta knowledge make decisions accordingly.\u00a0<\/span><\/p>\n<ul>\n<li><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">Blue-chip stocks: These are those company\u2019s stocks that have lower liability and stable earnings.\u00a0<\/span><\/li>\n<\/ul>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">These are well-recognized companies and are not very risky to invest in. They also pay regular dividends, so it is suitable for an investor looking for a regular source of secondary income.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">These companies are a fantastic bet for individuals who seek safer avenues of investment with sound and financially stable firms.<\/span><\/p>\n<h2><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">CONCLUSION:\u00a0<\/span><\/h2>\n<p><span data-preserver-spaces=\"true\">We have studied numerous types of stocks above, which proves that there are types of stocks for every type of investor in the market.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">People looking to invest for the long term, for the short term, investors seeking high risk and low risk, investors that need a stable source of secondary income and investors who do not care much about fixed dividends.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">No matter which type of investor you are, aggressive or subtle, there are plenty of options in the stock market for you to choose from.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">\u00a0<\/span><span data-preserver-spaces=\"true\">There are multiple combinations of stocks with different pros and cons that benefit you and have an opportunity cost.\u00a0<\/span><\/p>\n<p><span data-preserver-spaces=\"true\">According to your suitability and what you are looking at, you can look at different stocks and invest in them considering your risk appetite and financial goals!<\/span><span data-preserver-spaces=\"true\">\u00a0<\/span><\/p>\n<img src=\"https:\/\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/Types-of-Stocks-in-India-Explained.svg\" class=\"ss-hidden-pin-image\" alt=\"\" data-pin-url=\"https:\/\/aayushbhaskar.com\/types-of-stocks-in-india-explained\/\" data-pin-media=\"https:\/\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/Types-of-Stocks-in-India-Explained.svg\" data-pin-description=\"Types of Stocks in India Explained\"\/>","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"excerpt":{"rendered":"<p>There are various types of stocks one can trade-in, in India. A stock is basically the collective term for shares.\u00a0 A single share of the stock represents ownership of a corporation in fractional terms.\u00a0 The more stocks you hold of a company, the higher your share or ownership in the company. These stocks are primarily &hellip;<\/p>\n<img src=\"https:\/\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/Types-of-Stocks-in-India-Explained.svg\" class=\"ss-hidden-pin-image\" alt=\"\" data-pin-url=\"https:\/\/aayushbhaskar.com\/types-of-stocks-in-india-explained\/\" data-pin-media=\"https:\/\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/Types-of-Stocks-in-India-Explained.svg\" data-pin-description=\"Types of Stocks in India Explained\"\/>","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"author":4,"featured_media":3320,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[4],"tags":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/aayushbhaskar.com\/wp-content\/uploads\/2021\/02\/Types-of-Stocks-in-India-Explained.svg","acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v15.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Types of Stocks in India Explained - Aayush Bhaskar<\/title>\n<meta name=\"description\" content=\"In India, there are various types of stocks an investor can invest in. 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