How to open Demat account and trading account
This article will explain on how to open demat and trading account in india.We can open demat account online by following few steps. The steps are very simple.
In stock market various stock brokerages are registered in stock exchanges. These brokers buy or sell shares for your behalf. They charge some fees in order to conduct these trades which is called brokerage charge.
Following are the steps to be followed to open a demat account:
1. Choose the stock broker under which you want to open your demat account. You can use our tolls to compare stock brokers
2. The account is generally 2 in 1 package, that is both trading + demat account will be opened under same broker.Some companies offer 3 in 1 account , meaning your Bank , Demat and trading account will be linked to each other for ultra fast adding and withdrawing funds to trading account
3. Compare the brokerage fees, they charge before selecting a broker. Usually , Full time brokers will charge more fees and will provide advisory service and offline prescence. Discount brokers will provide a robust trading platform but no advisory . Its advisable for beginners to select Discount broker and Open demat account there,
4. Once you have decided where to Open demat account , Fill the account opening forms and complete KYC process. Also some documents need to be completed like identity and adddress proofs etc.
5. After that some verification will be done on stock brocker end.
6. Get your demat and trading account details.
7. Can execute your buy or sell order from trading account.
For demat account opening , different brokers offer different demat account opening charges. You can get those details online very easily. For best demat account, you should know following things
1. What is the brokerage charge, the stock broker is charging
2. What are the additional services, the broker is providng apart from buy/sell platform.
3. How good is the trading platform they are giving like easy to use, transparent , fast.
4. What is the reputation of the stock broker. It can be decided on the basis of the number of clients they have. Ususally the broker with huge client base has good credibility.