tips to open an online trading and demat account

In this 21st century, Trading in the stock market is very common these days. More and more people are investing their money in stock market. The reason for such increase in the participation is the opportunity to make a good return. In this case Demat account will help for these participants as it allows investors to hold their share in electronic form. As it quite difficult to hold shares in physical form and involves a lot of risk and hassle, thus, this is the reason why most investors prefer trading through a free demat account as it eliminates the risk of lost or damaged investment certificates and hassle of long process.

Demat account function like a bank account, where you hold your money and respective entries are done in bank passbook. Similarly, demat account holds and records the buying and selling of shares in a digital platform.

Now let’s know some benefits of demat account:

1. Lower risk- Physical securities are risky due to loses, damages etc. These risk are completely eliminated with the demat account. In this account, all the buying and selling of shares and securities are recorded in electronic format and thus, involves less risk.
2. Reduces cost – Handling and managing physical certificates involve lots of additional cost like stamp entry, handling charges and many more. Henceforth, all such additional costs and charges are eliminated with demat account.
3. Automatic update – While managing a demat account, investors are not required to manually enter the debit or credit of shares and securities as the account automatically gets updated when new shares are purchased or sold.
4. Reduces time – As the account eliminates the lengthy paperwork and exhausting process, it certainly reduces time and efforts to trade in a share market. To know more about demat account explore https://www.applykaroo.com/demat-account

Now let’s see how to create a demat account:

It is a very simple and easy process to create a Demat account

• Choosing a Depositary participants(DP)
• Verifying documentation
• Signing an agreement
• Account opening and demat account number.

How to link your Aadhar Number with your Demat Account?

Now there are some important thing that we need to know is that how to link your Aadhar number with Demat account. 

Some following step are:

Step 1- Open the NSDL website.

Step 2- Click on “click here to link Aadhar number to Demat Account”.

Step 3 – Now Enter the Name of your DP ID, your client ID, and PAN Card.

Step 4-   OTP will be sent to your registered mobile number or Email.ID.

Step 5-   Now Enter your Aadhar Details and click on proceed.

Step 6- Now Again OTP will send to your mobile number registered with your Aadhar account .

Step 7- At the end enter the OTP and click on Submit.