Investing in the stock market has become increasingly significant in recent years, attracting a growing number of individuals to grow their wealth and secure their financial future. But, it is crucial to know that the percentage of the Indian population investing in stock markets has become comparatively low within the year.
Recent statistics show that 55% of Americans own a share. US startup companies build exceptional capital and dominate worldwide through the valuation of the stock investments.
On the other hand, the UK has gained a greater value about 33% worldwide than domestically. Through their sustainable dividend-paying, they have balanced their portfolio in a delicate way, even on the pretext of Brexit.
Another player, China made its invested stocks upto 13% which is mostly national stocks. During Covid 19, most of the stocks had fallen down by 30-35%, yet it managed to get out most of the trade.
Next, India followed by Brazil & Indonesia has stocks population upto respectively 3%, 2% and 1%.
The reasonable downfall is created majorly due to informal market place and Covid 19 restrictions. Financial literacy is also one of the reasons why Indians backed out from stocks trading.
Though the Indian government (SEBI) has taken commendable steps towards incorporating more financial knowledge towards investors, yet there should be a more consolidated framework resonating with the personality of the trader to do business in the regulatory framework.
In the present scenario of geopolitical issues, inflation, market volatility, and interest rate, in 2022 Indian investors have been actively involved in stock market exchange. But, a recent survey (Indian Consumer Sentiment Index) concerned that in 2023, 16% of investors will not be likely to invest.