To Start Investing in Share Market first you have to open Demat Account and Trading Account with Stock Broker.
Stock Broker
- Stock Brokers are middleman between stock market and investors
- They are professionals in buying and selling of stock and other securities.
- They buy and sell share on behalf of clients.
- Stock Broker gives advice and suggestions to clients like When to invest, in Which they should invest etc in return of that Stock Broker take fee or some profit percentage.
- You should choose your Broker wisely. He should be experienced in broking.
Demat Account
- Demat Account means Dematerialization which stores transfer and keeps secure by provides a digital form to securities.
- Like bank can deposit money in an account, similarly all securities related to your investment are stored in your Demat Account in electronic form.
- without Demat Account you can not transact any securities.
- so basically Demat account is medium where you securely store your shares.
Trading Account
- Trading Account is used for buying and selling the shares.
- This Account will be open to your broker.
- Due to the online facility you can buy and sell shares anytime with the help of this account.
Required Documents for opening Demat and Trading account
- Aadhar card
- Pen Card
- Income Proof
- Bank Proof
- Passport Size Photo.
Also you have to pay some charges like opening account charges, Annual account maintaining charges etc.
For more details and query ask in Comment box.
No comments:
Post a Comment