Whether we have to invest in the stock market or trading trading account has to open. The reason for this is that the trading account is sent to the order stock exchange only to buy and sell any stock. A Trading Account is an account that investors or traders deposit. It is linked to the Trading Account, Investor, or Demat Account of the Trader. Because of the stock, the stock is deposited in the Demat account. And the stock out of the Demat Account on selling shares.
How to open a trading account
The first thing that we should remember is that the trading account is opened near the stock broker and all stock brokers are registered companies according to SEBI, about 8 thousand stock broker companies are registered in India, in such a way. We have to open the trading account, first, we have to decide whether we open our trading account and we have to decide from all these stock brokers that we open their account near which broker.
Here, if you decide once that you have to open your trading account near XYZ, which broker, then you can go to the nearest branch office and fill out the account opening form, along with some KYC Documents and bank account details to be done, on the other hand, to open the account you can go to the stock broker company's website and scanned copies of KYC Documents to you that form With the help of courier you can send your self attested KYC Documents and Original Form Company with the help of courier and also vary your documents and then you Trading account is opened.
How Does Trading Account Work
Firstly, investors or traders deposit money in their trading accounts. After that the stock of the stock is seen, seeing the price. After this, they order to buy or sell according to the price of that share. This order reaches the Stock Exchange. If this order gets the counter order then this order gets executed. If the order was kept in order then the stock is purchased.
It is cut off from the trading account with tax and charge, and the stock demat account is deposited in two days. But if the order to sell the stock will be sold, the shares will be sold and their money will be deposited in the trading account by cutting tax and brokerage. In this way, a trading account works.
What is the difference between trading and demat account
Most people do not know the difference between them because trading and Demat Accounts open together. But the bitch of both of them is a very big difference. A Demat Account is a place in which the stock you purchased is kept. This is like storage, in which the stock is deposited on buying a stock, and the stock gets out. While using a Trading Account, facilitate the purchase and sell order to sell. Money can be deposited in the trading account, while money does not deposit money in the Demat account.
Benefits of Trading Account
Because of the convenience of Online Trading, the purchase sale has become very easy.
a.It becomes all automotive to get money on buying and selling money.
b.Due to the convenience of online trading, it does not need to be ordered to write or call.
c.And the order sent is very quick to complete.
d.Just buy and sell shares from any place by any mobile.
