How to open a trading account:
1. Selection of a stock broker or a firm is the first step to open a trading account and is the must. The broker you select should be such that he takes orders from time to time. Time being of absolute importance in the stock market, ensure that you select a good broker as the market price of the stock changes every minute.
• Brokerage rates matter and so it is necessary to compare. It is necessary for them to charge fees for processing your orders and so every broker will charge a certain amount of fee.
• Discounts vary on the number of trades conducted. It is always better to opt for a broker with good quality services rather than one who charges low fees.
2. In the next step, the brokerage firm or the broker will help you with the account opening procedure. The firm then sends a representative to your house with an account opening and a KYC form.
3. Once done with filling the forms, submit it along with the proof of your identity and address.
4. After submission of the forms and documents, the details provided by you will either be verified by a person or on the phone.
5. And then at last after all the verification you will be given the trading account details.
So, this is the procedure on how to open a trading account. And now you are finally eligible to carry trades in the stock market.