Stock: A share in the ownership of a company, representing a claim on part of the company’s assets and earnings.

Stock Market: A marketplace where stocks (shares of ownership in businesses) are bought and sold.

Common Stocks: Give shareholders voting rights but no guarantee of dividend payments.

Preferred Stocks: Generally, they have no voting rights but have a higher claim on assets and earnings than common shares, usually with fixed dividends.

Direct Stock Purchase: Buying shares directly through a brokerage.

Mutual Funds: Pooled funds managed by professionals that invest in a diversified portfolio of stocks.

Exchange-Traded Funds (ETFs): Similar to mutual funds but trade like a stock on an exchange.

Robo-Advisors: Automated platforms offering low-cost investment management.

Dow Jones Industrial Average (DJIA): 30 large publicly-owned companies based in the U.S.

S&P 500: 500 of the largest companies listed on stock exchanges in the U.S.

Nasdaq Composite: Includes more than 3,000 stocks, heavily weighted towards technology companies.

Nifty 50: 50 large publicly-owned companies based in the India.

Sensex: 30 large publicly-owned companies based in the India.

Buy and Hold: Purchasing stocks and holding them for a long period, regardless of market fluctuations.

Diversification: Spreading investments across various assets to reduce risk.

Value Investing: Choosing stocks that appear to be trading for less than their intrinsic value.

Growth Investing: Investing in companies expected to grow at an above-average rate compared to other companies.

Market Capitalization (Market Cap): The total market value of a company's outstanding shares.

Earnings Per Share (EPS): A company’s profit divided by the outstanding shares of its common stock.

Price-to-Earnings Ratio (P/E Ratio): A valuation ratio of a company’s current share price compared to its per-share earnings.

Dividend Yield: A company’s annual dividend is divided by its share price.

Market Risk: The risk of losses due to factors that affect the overall performance of the financial markets.

Company-Specific Risk: Risks associated with a particular company.

Liquidity Risk: The risk that an investor might not be able to buy or sell a stock quickly without affecting the stock’s price.

Inflation Risk: The risk that inflation will erode the purchasing power of returns.

Set Financial Goals: Determine what you are investing for (retirement, a home, education, etc.).

Risk Tolerance: Assess how much risk you are willing to take.

Open a Brokerage Account: Choose a reputable brokerage and open an account.

Consider Professional Advice: A financial advisor can provide personalised advice.

Research: Learn about the stocks or funds you are interested in investing in.

Start Small: Begin with a small investment to get familiar with the market dynamics.

Read Books: Consider classic investment books like "The Intelligent Investor" by Benjamin Graham, “Common stocks, Uncommon Profit” by Philip Fisher., “The Alchemy of Finance” by George Soros, “Fooled by Randomness” and by Nassim Taleb.

Follow Market News: Stay updated with financial news from credible sources.

By understanding these basics and continuously educating yourself, you can make informed decisions and manage the risks associated with investing in the stock market.