Procedure from intial to invest money in stock market?
Public Comments
- get demat
- open a trading and demat account with a broker, deposit funds in you account and you are done, happy investing.
- You should accrue your PAN card from the income tax office. Then contact some share brokers or Mutual fund releasing companies, eg-Bajaj Alliance, ICICI, HDFC, TATA, etc. then they will give you the advices, You can choose the amount and time if you are putting money in Mutual funding. I opted Mutual funds only. For stock markets you must take lot of risks. Anyway best of luck.
- All you do need is a brokerage account with funds in. However if you do not know much about the stock market, doing that would be extremely risky. "90% of people lose money on the stock market, 10% gain"!! Check out http://www.sharesexplained.com for a free guide of the steps needed to be taken before trading safely and successfully on the stock market.
- Buddy before you invest in the share market start learning things that would help you in this art. what's an Equity Share: http://anandvijayakumar.blogspot.com/2008/10/equity-shares.html what are the stock exchanges in India: http://anandvijayakumar.blogspot.com/2008/10/stock-exchanges-in-india_22.html SEBI - The governing body for our indian stock markets: http://anandvijayakumar.blogspot.com/2008/10/securities-and-exchange-board-of-india.html Now coming to your question: 1. Get a PAN Card if you dont have one already. Without this you cant invest in shares. 2. Get a DEMAT account. DEMAT stands for Dematerialized. These days shares are traded in Dematerialized format that is electronic format. You can get an account with ICICI or HDFC or any other DEMAT provider. (Getting a DEMAT account would require an ID proof, address proof. It usually takes 2 to 3 weeks to get your account active) 3. Decide on the amount of money you are willing to invest/take a risk. 4. Then you can start buying shares.... Reg. buying shares, first you need to come up with an asset allocation patter. i.e., you need to decide in which segment of companies you would like to invest more. based on the asset allocation, then you need to shortlist the best possible companies that are trading at attractive valuations and the go ahead with buying them. For eg. a sample asset allocation could be Equity - 70% & Debt - 30% Equity Split up: (for the 70% that you are going to invest in Equity) FMCG - 20% Pharma - 25% Automobiles - 10% Banking - 15% etc... Debt split up: (For the remaining 30%) Bank FD - 50% NSC - 25% PPF = 25% Most DEMAT providers have a limit that each transaction should be atleast Rs. 500. All the best. Happy investing... Cheers, Anand mail me at anandvijayakumar@ymail.com if you need any more details.
- Investment procedure for stock market is very easy. Find a good broker or a bank that is doing stock business. Open a dmat account. You are required to have a Pan Number if you want to invest in the stock market. Be careful follow advice from reliable able person till you are confident and on your own.
- 1. Open a 3 in 1 bank a/c ( SB a/c, Demat and trading ) at any bank which is having this 3in one a/c 2. You can buy or sell in stock market once the same is activated This is simple and fast way to invest in stock market
Powered by Yahoo! Answers