Share Market News: Shares Worth One Lakh in Just Rs 10,000? Know How to Avail

06 Oct, 2023 Author: Ayushee Joshi

Share Market News: When you invest in a share in India, you buy one share, and even if it is worth Rs 1 lakh, you must pay the entire Rs 1 lakh. This is not the case with cryptocurrency; you may start investing with Rs 100 in one Bitcoin for Rs 20 lakh and receive 1 times the value of Rs 100. You obtain some Bitcoin, but now you may invest in the Indian stock market in the same way; that is, you will not need Rs 1 lakh to purchase a share worth Rs 1 lakh, but rather a few thousand rupees. You will be able to purchase a portion of the shares, which is termed as fractional share.

What is Fractional Share

Fractional shares are a portion of shares that may be the result of stock splits, dividend reinvestment plans (DRIPs), or similar corporate actions. Fractional shares are often unavailable on the stock market, and while they are valuable to investors, they are also difficult to sell. You may buy fractional shares by using apps like Stash, Cash App Investing, and SoFi Invest. The requirement of fractional shares comes when you don’t have enough money to acquire a complete share of a stock, or you want to invest a predetermined dollar amount in a stock or Exchange Traded Funds (ETF) every month.