What is a Demat Account Why do you need it
Do you know about the Demat account?
You must have heard people before the Demat account saying that I bought shares of this company today and sold it after some time do you understand what I am talking about, yes absolutely everything related to the stock market where people want to invest, the objective is to increase their wealth and get good returns from investment do you know that Demat account is a medium to invest in India
Because primary investors have all the questions somewhere in their mind and they get confused about them today I will try to explain to you clearly what is Demat account and how you can use it and you can get a free Demat account How can I open?
What is a Demat
Unlike the way a trading account is for investing in the Indian stock market or buying or selling shares of a company or applying for an initial public offering, India has a Demat account to do all these things. The primary meaning of physical shares is to be traded in digital format.
A Demat account also behaves like a bank account because in this you can withdraw and add funds in digital format, the added funds can be traded in the Indian stock market, here the Demat account has other uses because abroad. For most people in India, another form of Demat account is popularly known as a trading account.
If you also want to invest in the Indian stock market then you have to open a free Demat account but let me make it clear here that a Demat account is available on two types of terms, some brokerage houses open Demat account for free and some brokerage houses open with a little charge
If you also want to open a Demat account for free, I would recommend that you can get a free Demat account with Angel Broking, which is one of the most popular stock brokers in India, generally, here you will find free access to all features.
Documents required to open a Demat account
If you are not a citizen of India then you have to apply for an NRI Demat account and vice versa if you are an Indian citizen then you can apply for a Demat account with your identity card and some common documents to get a Demat account.
- Pan Card
- Aadhar Card
- Six Month Bank Statement
- Cancel Check
- Paper Signature
- Valid Email Address
- Valid Mobile Number
- Video Verification
You must have known about the Demat account in general and must have understood that to invest in the Indian stock market, you need a Demat account like a trading account, to open it you will need some main documents which are We have given you above