A Demat account helps investors to hold shares and securities in an electronic format. Just as people keep their money in a bank account, similarly people keep their shares in a demat account.
It helps to keep proper track of all the investments in shares, exchange-traded funds, bonds, and mutual funds in one place.
The stock market offers investors with a number of opportunities to grow their wealth. Investing is something that everyone over the age of 18 should make a priority in their lives, regardless of what field they work in or their social standing.
You must be thinking that what is the need to invest? But there may be unexpected expenses in future like medical emergency, sudden loss or post-retirement expenses. If you don’t have a backup plan, how are you going to deal with it all? So you should make proper financial plan according to your needs and goals. Once you have a plan, what’s next?
To start your investment in share market you need Demat, Trading and Bank Account.
It is mandatory to have a Demat Account in order to purchase shares and store them safely. Opening a Demat Account is the first step to purchasing stocks.
Demat account opening is quite simple, nowadays you can open it online. To open it, first you have to select your Depository Participant.
We recommend to go with Upstox, Upstox is famous stock broking company of Mumbai having more than 1 Crore+ active clients. It is funded by Ratan Tata and it is the largest & one of the best stock broking company in India. And where a person like Mr. Ratan Tata Involved, a customer can expect 100% satisfaction.
Upstox provides trading facilities in various segments like Equity, Futures and Options, Commodities Currency. Demat account opening in Upstox is very easy and online paperless process which hardly takes 10 minutes and the best part is that it is completely free.
As per the instructions of the government institution SEBI (Securities and Exchange Board of India), everyone who wants to open a Demat account is required to provide KYC Details like Aadhaar, PAN, Active bank account, signature photo etc.
Frequently Asked Questions (FAQ’s)
The following persons are eligible to open a Demat account in India.
To work in the stock market, it is very important to have a Demat account according to the rules of SEBI.
To buy and hold stocks in the stock market, you need a demat account, just like you need a savings account at a bank to keep your funds safe.
Demat account can be selected based on the trustworthiness of the brokerage firm, minimum brokerage charges and annual maintenance charges.
Trading account acts as a bridge between demat account and bank account which allows us to trade in the market & place Orders. Trading account gets automatically opened while opening demat account.
One can keep mutual funds, ETFs, equity shares, bonds etc., which is the safest place.
Yes, Upstox is the most secure platform.
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