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Showing posts from February, 2022

What Is The Stock Market And How Does It Work?

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  Investing in the right avenues is important for wealth creation. The stock market is one of the most important entities for making money. You can deal in shares and various other financial instruments, including derivatives in the stock market. It becomes a rewarding source of wealth accumulation with knowledge and experience. When companies want to scale up, expand their businesses, or fulfill capital requirements for other purposes, they can issue and list their shares in the stock market through Initial Public Offering (IPO) process to raise funds. Companies follow the rules set by the Securities Exchange Board of India (SEBI) to list their IPOs on stock exchanges. SEBI is the market regulator working to avoid fraudulent transactions and activities in the stock market. Stock exchanges are the subset of the stock market that allows institutions and individuals to buy these listed shares through a Demat account . There can be numerous stock exchanges in a nation.  Stock exc...

What Happens If I Do Not Pay AMC For A Demat Account?

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  If an investor is dealing with an online Demat accoun t, it is mandatory to pay Demat annual maintenance charges (AMC) as non-payment of AMC may lead to the dormancy of the Demat account. Regular payment of AMC can save the account holder from paying heavy penalties. An investor should avoid paying as it is an unnecessary expense. Furthermore, if the investor decides to activate the Demat account again, he will have to pay the reactivation charges and the outstanding amount. Read Also:- 5 Things To Know Before The Stock Market Opens On Thursday If there are no holdings in an investor's inactive Demat account, he may not be allowed to open another account. If an investor chooses to close the dormant account, he will have to activate it priorly then can apply for closing the account. In case of non-payment of annual maintenance charges, the investor’s stockbroker will send messages frequently before declaring the account inactive. If the investor does not pay the dues within a spec...

Procedure Of Buying and Selling Shares Through Demat Account

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  An online Demat account allows investors to trade shares and securities in the stock market. Many DPs have facilitated investors for paperless account opening processes. They offer a seamless trading facility on web and mobile apps. An investor can trade in multiple products from one Demat account . The investor should pick a trustworthy partner as his depository participant that provides Demat and trading account. An investor can start trading after getting familiar with the fundamentals of the Indian stock market and researching companies’ stocks. There are various stock market apps available that can help investors in research work. An investor can track the stock performance and get updates on the Indian and global financial market. The stock market app s cover multiple markets such as National Stock Exchange (NSE), Bombay Stock Exchange (BSE), Multi Commodity Exchange (MCX), and National Commodity & Derivatives Exchange Limited (NCDEX). An investor can track the perform...