Skip to main content

How to start investing in Stock Markets

Image
By
Many people message me through mail and whatsapp, on how one can invest in stock markets 
And I am sharing the information regarding How to open and demat account and participate in share trading or investment in Stock Markets.

 Once demat account is opened you excute the trades either yourself through software provided by broker or you can call and ask your broker to excute the transaction on your behalf.
To open a Demat account you have to provide the documents which fulfill the requirements of KYC (Know your cutomer) norms.
You have to sign a contract with Stock broker.

Documents Needed to Open a Demat Account 

The documents required to open a demat account include a proof of address and proof of identity. In addition, applicants will need to submit a copy of their PAN card and passport-sized photographs.
  1. PAN (Compulsory)
  2. Bank statement
  3. One cancelled check
  4. Address Proof
  5. Income Tax Return

Demat Account Opening Procedures

The procedure to open a demat account is almost similar for all the depository participants, and all the brokers follow it. Here are the steps to open demat account:
1. Select a Depository Participant (DP): Select a Depository Participant (DP) you would like to open your account with; this entity will serve as the intermediary between you and the depository. DPs can be banks, brokers or online investment platforms.
2. Submit your KYC Documents: Submit the form given to you for opening an account, the KYC form, passport size photographs, your PAN card (Permanent Account Number), and other photocopied documents.
At this point, you will be given the option to name a person as your nominee. They will be assigned with the responsibility of your shares if something were to happen to you. The choice of one’s nominee can be changed, if need be in the future, by refilling the same form.
The KYC form also has the Depository Participant-Investor agreement which comprises the terms of agreement, rules and regulations, and charges you will incur whilst holding a Demat account. This form also includes the rights of the investor and duties of the DP.
3. Appear for In-Person Verification: An In-Person Verification may be carried out by a person from your DP’s firm to ensure that the details provided by you in the form are authentic.
Opening a demat account is the beginning of a hassle-free investing experience that involves neither the storage risks of paper certificates nor the time-consuming nature of offline trading.
Location: Navi Mumbai, Maharashtra, India

Comments

Post a Comment

Popular posts from this blog

Indian Penny Stock Pick: Sunil Hitech Engineers Ltd

By
Shares of Sunil Hitech Engineer s surged nearly 10 per cent on Thursday after the company informed the bourses that it had been awarded four road projects worth of Rs 935 crore in Maharashtra on the EPC mode.  View Full news here. Penny Stocks are low value stocks and majority of companies belongs to Penny stock category are either Loss making companies or companies which lack Fundamentals and credibility.Investor sometime mistakes all low value company as penny stocks but this is not true.In most case the face value of company is Rs 10 but some company will reduce the face value to Rs 1 in that case their stock will also be 1/10 th of similar company which have face value of Rs 10.fo ex if company A has stock value of Rs 8 and face value Rs 10.Another company B has the same stock value of Rs 8 but its face value is Rs 1.In this case if we equate the face value of company B ie face value *10 and stock value also had to multiply by 10 so stock value become Rs 80 So in th
5 comments
Read more

Power of compound intrest.

By
T alking about investing power, quite a few of us would have been involved in financial investments (i.e. deposits, mutual funds, shares, or other). We would have read about windfall gains made by investment gurus and conversely also heard/seen the major risks in equity investments . Let’s take a couple of big examples from the Indian IT space: Wipro and Infosys . The market enthusiasts would already know where I am leading this discussion to, and may want to skip the reading. But for the benefit of the general population, let’s understand how these companies fared since their inception for a shareholder . Case 1: Investing in Wipro What if you / your father could invest 100 shares of Wipro in the year 1980 and did nothing since then? Wipro was founded in 1941 with 17,000 equity shares and incorporated in 1945. As the base price or face value per share price used to be Rs 100 at that time. Assuming a minimum purchase of 100 shares (as was the norm in the era),
1 comment
Read more

Top Indian Penny stocks for week 23/9/2017

By
This week has been an exciting one for Indian penny stocks. So without further delay, lets look into the list. These have been the profitable penny stocks this week. And let us know in the comments section on your suggestions for next week’s. for more info, do check out these articles Best Indian Penny Stocks of 2016 Profiting with Indian Penny stocks How to make Huge Profits with Indian Penny stocks
3 comments
Read more

How can YOU be a Crorepati with stock returns!!

By
There have been numerous such companies that have given great returns to investors, like Reliance, Titan, Dr. Reddy Labs, etc. No one can predict which company would grow to such a huge levels before 30 years. Remember, for every Wipro like story, there are thousands of companies which has eroded investors wealth and become penny stocks. Investing in equities alone isn’t enough, investing in the right company at the right time is even more important. Power Of Compound Interest Even if someone invested in the best company in the world, its basic human psychology to book profits when the stock prices increase so many fold. Some investors don’t feel comfortable even for a 50% increase in their investment . No one would have the patience to hold such a stock when he sees how volatile the market is in short-term. If you really want such phenomenal returns, you would have to do lot of fundamental research, do your due diligence on the company and invest in it when it
Post a Comment
Read more