Should Share Market be Banned or very Much regulated?

If sharemarket is banned, the economy would become stale and there won't be any growth. It is people's mistake to jump into, without adequate knowledge. But the failure on the part of public sector institutions is really a concern for even veterans. Some days ago, there was a news that one person had opened multiple DP accounts and traded within his accounts to falsely boost the share price. All the DP accounts were supported by bank documents. Finally it was found that the bank authorities were careless while certifying. There is already more regulations on trading. If the prices fall rapidly below 20%, the trading should be stopped. This is just one regulation I said for example. There are many regulations. Will you talk about banning when everybody or many people are profiting? Market always has ups and downs, we have to be just careful. There is a global economical downfall and it reflects on the stock market.

No Share Market should not be banned because it helps to collect money from people in form of shares. It is not gambling. In gambling, one win at the stake of other losses. But here, one concentrates only on what he has invested. That is, if people are investing in one company, it is the company's profits which are shared to a certain amount to the shareholders. If other company makes loss, this does not affect your investment.

I don't think investing in stocks is necessarily a gamble. If you think a company is fundamentally strong and set to grow (based on solid research and analysis, not just whim), is it really such a dangerous thing to own a piece of that company? We can let ourselves be too scared to put our money in banks -- just look how most of them are struggling severely all over the world at this moment -- or in bonds also because bank can fail and governments can default on their debt. Everything is risky to some extent in life. Still, owning the stock of good companies is a strategy that has worked well in the long term. Just because some people buy and sell stocks blindly is no reason to talk about banning stock markets which play a very important role in the world economy. I also disagree with you that one person must lose money in order for the other to make money in a stock transaction. Imagine that person A buys stock at $10 a share. He sells the stock at $12 and takes his profits to buy a new video game system. He's happy. Person B, who bought the stock at $12, decided to invest because this particular company pays a nice dividend. Even though the price of stock falls in the coming weeks, person B is still happy because he's earning dividends just by holding the stock. While it is true that person B could have earned more if he bought it at a lower price, he's still making money though in a different way than person A, and when the price of the stock rises past $12 he can make a nice capital gain if he decides to sell at that higher point.

From the business side of this discussion, the issuing of stock brings a great deal of capital into the business and allows for growth and development. When things are going well stock holders make a profit and if you pick your investments well this proves to be both good for the stockholder and the company. That said when the economy turns down everyone looses.

Its too late that share market can be banned and well if share market is banned then the economy will stop,Government will be getting taxes that is correct but well we cannot blame share market for the loses of people, Because its purely our choice to enter share market and if you have knowledge in making money you will surview in the market else you will loose it.Actually when you join with some share trading company the minimum amount you will be investing is 5000 Rs and you should take risk for the 5000 you invested and well buy your choice share to the extent the amount you have but many people what they do is that they buy 4 to 6 times the value of the amount they invest in market and sudden fall in market will make them loose, but if you have 5000 and you buy shares worth 5000 only then well today you may be in loss but in few month time you may recover and gain from your amount, well the greedy for money makes a person loose amount.So if you have a good knowledge then only its advice able to enter share market

I guess you are not very well versed in finance and economics topic. The idea behind stock exchange is to provide a market for companies to raise funds to expand. Without the stock market, multi-national companies like Coca Cola will have a hard time finding investors to fund its international expansion. Government has to make sure that the company seeking fund are accountable to the investors at large, by requiring them to keep investors update on many factors, like change of management team, gaining or losing contract etc. So for investors, whether big institutional investor or small investors like us, we need to know what we are buying into. The problem is that most investors are stupid, they dont know and dont bother to find out the company they are buying. They just want to make a quick buck, that's why the stock market gives a bad impression to common people.

Dear friend, I hope banning share market is too late. Moreover there are lots of people and even economy of many big organizations and other agencies depending upon this. Even the investments too got a prominent role. Those middle class people or lower middle class people could become upper class or vips within a less time through share markets if they are intelligent enough to invest and handle it well. Hence I feel banning share market is too late and it is helping many in getting better returns in their savings and investment from the old fashioned fixed deposited or post office saving or any other. But risk is another factor one is to be alert while investing in share market.