How to Get Started with Share Market
If you want to trade share, you should know a great deal about the stock market. You should learn the basics first and open a bank account.
There are forms that you have to accomplish and sign before you can buy/sell shares.
Do you want to get started with the share market? If you do, then you should know the basics first. You have to learn about the stock market. Basically, this is a place where companies are listed and their shares. The stock market is where the shares are bought or sold. If you’re in India, the two major stock exchanges are NSE and BSE. The shares can be bought or sold with the aid of brokers. These brokers can be banks such as SHCI, UTI Bank, IDBI, HDFC, and ICICI.
Buying and Selling Shares
Opening an account with a certain bank is vital if you want to buy or sell shares. You have to open a savings account around $10,000. You have to inform the bank that you plan to invest on shares. A few forms must be accomplished and signed. A Demat account is needed to deal with shares. No one else can use your account and this makes it a secured form of investment. If you want, you can open a facility offered by any of the listed banks above. After doing so, you can buy or sell shares at your preferred price and quantity.
The bank will not act as broker. The online order will be performed by the bank. A commission is charged and it is usually lower than what private brokers get. Adequate balance is needed in order to buy and sell shares. The amount of the purchase will be automatically subtracted from your bank account. After buying shares, you will now have to look for opportunities to sell them at a higher price. The profits you can make will be debited directly on your account. The bank will also deduct tax whether you gained profits or losses. At the end of every year, you will be supplied with a copy of the TDS certificate.
You have to sell the shares when the prices go up. Buy shares that are priced low so that you can look for future opportunities to sell them at a higher price. It might seem very easy for you to make profits in the share market. You must be aware that losses can occur. You have to make informed decisions to ensure great gains. Take your time in studying the share market because this is the key to success. Learn the basics first. With the right knowledge and skills, you can buy and sell shares with ease. Good luck on your investments and always determine the latest trends.