If you’re finally decided to enter in the stock market with a purpose of main big gains, it won’t be too long for you to understand that the first step towards that direction is to open a demat account. You might think that it would be a lengthy and cumbersome process but it is not like that. In today’s fast-paced world, the process of opening a demat account has become pretty simple and quick.
With more and more people vying to enter stock markets, the process to open a demat account has become very quick and simple. Having a demat account means you can seamlessly invest in stock markets without any worries. So, here is how to open a demat account in India.
Procedure to open a demat account in India
No matter which best stock broker in India, the first step would be to open a demat account. There are different ways of doing that. Even the power of web has allowed people to open a demat account completely online.
One you decide to work with one of the top 10 stock brokers in India, the following documents you would need to open a demat account:
- PAN Card
- ID Proof (Voter Id, Aadhaar Card, Passport, Driving License)
- Address Proof (Driving License, Ration Card, Passport, etc)
- Last 6 Months Bank Statement
- Deposit Fees (account opening charges, annual maintenance charges, etc) and margin amount
If you choose to work with the best stock broker in India, you can get to open the account online. You just need to fill the registration right on your laptop or even mobile, upload the required documents, and submit the details.
A demat account is essentially used for dematerialization under which different types of investment products can be stored including bonds, mutual funds, equity shares, and exchange-traded funds. Additionally, it is not necessary that you should hold shares or balance to retain or open the Demat account. Moreover, there is the corporate benefit of bonus issues, rights share, stock split, etc. directly getting updated in the account. A Demat account retains certificates of financial instruments such as shares, stocks, bonds, index and gold, government securities, mutual funds, initial public offerings (IPOs), Exchange-traded funds (ETFs), and non-convertible debentures (NCDs) which are operated on the exchanges. Unlike physical trading, there are no extra costs of stamp duty, handling expenses, etc. involved when you are trading with a Demat account.
The process to open a Demat account and the mandatory documents required are mostly similar across banks, brokers, and other financial companies that have an online trading platform. An investor can open the account online in no time through any bank or financial establishment. Before furnishing any document, it is necessary to ensure that the certificates are valid as on submission date and they haven’t overlapped the expiry date.
The best way is to search for top 10 stock brokers in India and choose the one that matches your requirements the best. This will also help you save time and money on unnecessary hassle.
