To invest in the share market, it is necessary to open a demat account. Some things must be taken care of while opening it.
Demat Account: You must have heard about Demat account. But many people do not know about Demat account. Actually, a demat account is opened to invest in the share market. Trading in the stock market is not done without a demat account. Today we are telling you what are the things to be kept in mind while opening a demat account.
1-brokerage and transaction fees
- Demat account opening and brokerage charges differ between brokers.
- Nowadays most of the people are opening free demat accounts.
- You may be charged transaction fees for buying and selling equity.
- check these things
- Demat account fees, annual maintenance charges, transaction fees.
- There can be a big difference between brokers regarding transaction fees.
2-Other facilities
- Know what facilities the brokerage house will give you.
- Apart from the service of equity broking, some brokerage houses also offer a variety of other services.
- Like many brokerage firms keep providing you research from time to time. This research helps you to invest in the right place.
3-Demat and Trading Account
- It is best if your broker gives you a 2-in-1 demat and trading account.
- Demat account is incomplete without trading account.
- Keep in mind that you can only hold shares in digital form in a demat account.
- With a trading account, you can invest in shares, IPOs, mutual funds and even gold. After that you can keep them in demat account.
4-Portfolio information is also necessary
- Some brokerage houses give you information about your portfolio from time to time.
- This helps in keeping track of the returns you will get from the investment.
5-connectivity
- Both phone and internet can be used for business.
- It is important to know which of the two facilities the brokerage house provides.
- Most brokers offer both the facilities.
