Hi
I am new to stock trading and probably the following questions have been asked many times before. I did search the forum, but couldn't find posts that answered them all. Since I am new to stock trading, bear with me if I sound inane in this post.
1. What is the difference between a demat account and a brokerage account?
Correct me if I am wrong, but as per my search on the internet and on this forum, demat account is an account to hold shares. Brokerage account is an account with one of the registered brokers with SEBI using which you can buy and/or sell shares. This system allows a trader to buy single shares instead of lots. Even if the demat and brokerage accounts are opened with two different service providers, the transactions will be smooth and error free.
2. As of November 2008, what is the range of charges does a brokerage account carry (if you could include fine prints like account opening charges, closing charges, hidden costs, taxes, services charges etc that will be great)? All I am looking for are ranges of charges and the corresponding brokers.
3. As of November 2008, what is the range of charges does a demat account carry (if you could include fine prints like account opening charges, closing charges, hidden costs, taxes, services charges etc that will be great)? Again, all I am looking for are ranges of charges and the corresponding demat account providers.
4. Are there any big Govt banks (SBI etc) offering demat and brokerage accounts?
5. I have read somewhere that the charges (demat and brokerage) depend on how frequently you trade and the volumes (not sure # of stocks or amount in rupees) you trade. Is true for both demat and brokerage accounts? If so, what are the ranges for Question 3 and 4 for the different frequencies and volumes.
6. This is a bit different from my questions above, I see that all the schemes in ELSS are mutual funds? Can we not invest in individual stocks using ELSS?
If it is too time consuming for the gurus to reply, at least answer Q1, Q4 and Q6. Also, could you suggest that what are all the things that I should ask a brokerage firm and be careful about?
Hope this thread will help other newbees to get all the information at one place. Thanks in advance for the knowledgeable input.
I am new to stock trading and probably the following questions have been asked many times before. I did search the forum, but couldn't find posts that answered them all. Since I am new to stock trading, bear with me if I sound inane in this post.
1. What is the difference between a demat account and a brokerage account?
Correct me if I am wrong, but as per my search on the internet and on this forum, demat account is an account to hold shares. Brokerage account is an account with one of the registered brokers with SEBI using which you can buy and/or sell shares. This system allows a trader to buy single shares instead of lots. Even if the demat and brokerage accounts are opened with two different service providers, the transactions will be smooth and error free.
2. As of November 2008, what is the range of charges does a brokerage account carry (if you could include fine prints like account opening charges, closing charges, hidden costs, taxes, services charges etc that will be great)? All I am looking for are ranges of charges and the corresponding brokers.
3. As of November 2008, what is the range of charges does a demat account carry (if you could include fine prints like account opening charges, closing charges, hidden costs, taxes, services charges etc that will be great)? Again, all I am looking for are ranges of charges and the corresponding demat account providers.
4. Are there any big Govt banks (SBI etc) offering demat and brokerage accounts?
5. I have read somewhere that the charges (demat and brokerage) depend on how frequently you trade and the volumes (not sure # of stocks or amount in rupees) you trade. Is true for both demat and brokerage accounts? If so, what are the ranges for Question 3 and 4 for the different frequencies and volumes.
6. This is a bit different from my questions above, I see that all the schemes in ELSS are mutual funds? Can we not invest in individual stocks using ELSS?
If it is too time consuming for the gurus to reply, at least answer Q1, Q4 and Q6. Also, could you suggest that what are all the things that I should ask a brokerage firm and be careful about?
Hope this thread will help other newbees to get all the information at one place. Thanks in advance for the knowledgeable input.