10 Useful Tips From Experts In Brokerage Firm In India

1. Opening Demat and Trading Account:
   There are around 30–40 top brokers in India, who are actively delivering services to retails clients in different parts of Country. Before selecting a broker one has to check parameters like online account opening, brokerage, trading platform, back office software, call and trade support, Deposit and withdrawal facility etc. it is not necessary to go for a low-cost brokerage platform because other than brokerage they cannot provide all other services. So I will recommend this broker Open Demat and Trading Account who qualify in all the parameter mentioned above.
2. Paperless account opening process:
   Paperless Demat account is in trend now a day’s, opening Demat and trading account becomes online and easier only a few documents are required to open Demat account like PAN Card, Aadhar card, Bank statement/cancel the cheque, Mobile no. and Email ID.
3. Use Mobile Platform:
   It is advised to use mobile platform offered by different brokers because it hardly takes any time to login and place order instead of calling your dealer and trade, because market is very dynamic and prices changes in less than a second while calling your dealer takes minimum 30–40 seconds in initiating and picking a call.
4. Intraday trading:
   Intraday trading is not everyone’s cup of tea it is a full time job for anyone because if you trying to do two things at a time and it is possible that you will not be able to successfully complete both the tasks, hence intraday trading and doing service in another company is not advisable.
5. Positional trading/Investment:
   Positional trading is one of the safest things to do in stock market because if you see in long term only those people make money who has invested their money for a period of 2–5 years. It is easy doesn’t take much of your time and allow you to live life peacefully. Let money work for you
6. Stop loss:
   Trading has only one rule and that is protecting your capital. Trading is not for everyone and those who try to just jump into the trade without any plans always end up make losses in the market. Market is highly volatile and dynamic so if you won’t use proper stop loss it has a high probability that now or in future your capital will wipe out. Hence putting a proper stop loss in trading or in investing is must.
7. Stock Selection:
   Identifying your stock such a huge pool is difficult because there a more than 1600 stocks listed in NSE and more than 5000 stocks are listed in BSE. So one can select stocks from major index’s like Nifty 50, Nifty next 50, Banknifty, NSE midcap 100 etc
8. Stock tips or Advice:
   Now a day’s lot of advisory companies is active in this industry who charge hefty amount from clients and in return doesn’t give any proper services. Lot of clients already burnt their fingers in subscribing advisory services. It has also been seen that our friends or family friends who has little bit of knowledge about market start giving free advise without knowing anything about the company and its fundamentals. Hence it is advised to subscribe to only positional stock advices and that too of a SEBI registered investment advisor.
9. Profit booking:
   Profit booking is as equally important as entry, we have seen that clients who has invested for a short term become greedy when the prices move in their favor and forgot to book profit at their pre-decided profit levels. They keep on holding the stock even the prices has moved down below to their cost price which is grossly wrong in trading.
10. Avoid Penny Stocks:
    It is advised to only invest in blue-chip stocks one should avoid investing in penny/small cap stocks until and unless you are a professional investor/trader.

From
CA. Tuhinanshu Jain