User:Ganta Kishore Kumar

The Complete Foundation for Stock Market Trading

1.1 Inflation (Reason to Invest) To Make money

We all know that product prices increase year on year.The average of this price increase in India is 5%.

If I want to purchase something in 2020 which costs 100 Rs. For me.

The same in 2021, Assuming the current price increase 5%, will cost 105 Rs. For me. So, I need extra 5 Rs. In 2021 to buy.

If I want to purchase the same in 2022, Assuming the current price increase 5%, It will cost 110.25 Rs. For me. I need extra 10.25 Rs. In 2021 to buy.

This e.g. clearly states that, if you store money, Money value will not increase but product cost will increase, Which is called “Inflation”.

So Put(Trade/Invest) your Money in some investment to grow it / generate income.