Investments in the share market have the potential to generate great results if done in the right way. But the question is, how to get into stock market in India?
Let us have a look at the steps you should follow to enter into the stock market.
- Choose a Stockbroker- The stockbrokers work as a mediator between the stock exchanges and the clients, therefore, it is important to make the right choice. There are various kinds of stockbrokers in the industry
Full-service stockbrokers are the ones that provide research and advisory along with the general services. They are great for beginners as it becomes easier for them to invest or trade in the right places.
Discount stockbrokers do not provide any research or advisory to their clients. They only give a demat account and a trading app. It is beneficial for individuals who are experienced and are looking for less brokerage charges.
Bank-Based Stockbrokers are the banks that are registered with SEBI and provide broking services along with general financial services. They also offer a 3-in-1 demat account and are more reliable because of their longer presence in the industry.
Hybrid Stockbrokers are the new age stockbrokers that provide the research and advisory that too with low brokerage charges. These brokers are an intermediatory between the full-service brokers and discount brokers.
You can easily choose a stockbroker according to your requirements and proceed to the next step.
- Open a demat account– The next step is to open a demat and a trading account. If you are an investor and want to fulfill your mid to long-term financial goals, then a demat account is mandatory for you. However, if you are a trader you don’t necessarily need a demat account.
- Download the trading app- Once you have opened your demat account, you need to download the trading app of your stockbroker. You then have to log in using your Client ID and password (the stockbroker usually sends this via an e-mail)
- Pick the right stocks- You then have to pick the right stocks according to your financial goals, trading style, and after a proper technical and fundamental analysis.
- Buy and Sell – After the selection, you can easily buy and sell the stocks.
The stock market is not as difficult as it sounds. You just need the patience to pick the right things according to your requirements and you are good to go.
Hope now you know how to get into stock market in India. If you have any other queries related to the stock market, you can connect with us by filling in your details below and we will try to resolve them as soon as possible. Till then, happy trading!
