Making money on the stock exchange, also known as equity trading, involves buying and selling company shares to profit from price fluctuations. When a company performs well and its stock price rises, investors can sell their shares for a higher price than they bought them for, generating a profit.
Investing in the stock exchange offers several potential benefits. It can be a source of passive income through dividends, which are regular payments made by companies to their shareholders. Additionally, stock prices tend to grow over the long term, providing investors with capital appreciation. Historically, the stock market has outperformed other investment options like bonds and real estate.