Open Demat and Trading Account

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Open Demat and Trading Account

The demat account are monitored and maintained by the depositories. The two depositories of India are CDSL and NSDL. The demat account can be opened by the brokers offering depository services.

There are many brokers offering the depository services. You can approach the broeker of your choice to open demat and trading account. To open the account you have to fill the account opening form. You have to fill and submit the form. The documents to be submitted by the form are a self-attested copy of the PAN card, address proof, a coloured passport sized photograph, a cancelled cheque and last six months bank statement. If you do not have last six months bank statement then you can give a copy of the welcome letter offered by the bank.

The brokers have to do an in-person verification for which you have to be present. Many brokers offer account opening online. The account is available to you within three months of receiving the account opening form. Once you have the account you can trade online in equity, currency, future and options and commodity.

There are account opening charges to be paid. The charges may be like RS. 400 for equity and currency and Rs. 200 for commodity. Once you open an account you have to pay maintenance charges and brokerage when you trade.

Benefits of online trading

There are many benefits of online trading. They are

It offers single interface for different exchanges.
You can get instant limit increase with online fund transfer.
You can do fund transfer with the banks the broker ties up with.
You get price alerts.
Low transaction cost and fast transactions.

Trading platform

Most of the brokers offer trade, mobile and desktop based trading platforms to trade online.

Trade

In this you have to do installation. You get a full range of professional online trading tools. You also get charts so that you can save time on lengthy calculations and focus on trading.

Mobile

The mobile devices can take the load of trading needs now. The app is the most amazing platform for the new and the experienced traders. There is strong presence of the apps on the online store. You can use any phone you like. You just have to download the app and get started.

Desktop

This does not require installation. You only need a computer and an internet connection to get started. This is very useful if you travel a lot.