How To Invest In Stock Market : A Beginner's Step By Step Guide
Stock Market Investment, Practical Process,Guide and More
Investing in stock market : Human life is full of problem and money is most common reason in all, which all the people has been facing in the world. but like every problem has solution just we need to find it.Stock Market Investment and trading is one of it to earn good money, profit, returns like wise as we are directly and indirectly investing in lots of things like Education, Health, Buisness, Work, Relationes.
" Investment is not just about making Money its all about Creating Balanced Wealth."
Here are basic to advance things about how to invest in stocks,easy steps and simple ways to start your journey. lots of people has been facing financial problem and they try to find out different ways of earning income but that are also active income sources and not reliable so we found that investing and trading in the stock/capital market (equity,mutual funds,bonds,Ipos and indices) is best way of earning money than
others income source by doing some required but easy work.
So now see how you can start investing in stock market step by step.
This stock market investing doesn't need every day active work,with your regular work as per your time
you can begin to invest and generate passive income .
Believe on us, you can start to invest in stocks with little amount like (1000 rs) and can earn good profit that could be small pieces of profit like(60,40,75 rs 250rs at beggining ), similarly you
can also start to invest in stocks with small amount and can earn good profit which helps you to solve your financial money problems (by trading ) and built your wealth gradually (by Investment).
Every person who having limited income should start stock market investment with affordable little amount which will help as an alternate source of income in the future to minimize worrying about money and to be financially independent.
You Can Start To Invest In Stock Market with 100 Rs. Only
What Is Investment In Stock Market
"stock market Investment is an alternate source of income or second type of income source caller as Passive Income in which you can earn good return over your invested amount (money/capital) by investing small amount regularly in the good investing intruments present in stock market ,with your regular active income source."
Who Can Start To Invest In Stocks.
Anybody can start to invest in stocks or do stock market investment like students, all type of employees, housewife,buisnessmens, individual workers, retired peoples ....anybody. You just need investing and trading account (demat account ) and should have to follow proper ways, methods and stock exchange rules .
Things You Need To Start To Invest In Stocks
- A bank account with online banking facility. (net banking with full transection rights.)
- De-mat Account (investment + trading account).your bank also can open your demat occount if they offer broking service facility.
- Computer or Laptop( for full time intraday trading)
- Smart Phone
Where You Can Do Stock Market Investment
- In equity
(buying company shares directly) - New Company IPO
- Government Bonds, Assets.
- Commodities
(gold,silver,oil, cotton,copper) - Derivatives : Future and Options.
- Currency
- ETF
- Mutual Funds.
- Direct Investment.
-Invest whole amount at a time for a period. - Indirect investment
- Invest affordable fix amount every month through SIP (Systematic Investment Plan).
How You Can Start to Invest In Stocks
First one thing you need to remove from your mind is that you need More money or capital to start to invest in stocks. This is a myths because ANYBODY CAN START STOCK MARKET INVESTMENT FROM 100 RS only(except Account opening fee and brokerage charges)and now a days almost all brokers opens demat account free.you do not need more than that at beggining ok. know one thing,
Big Things Happens By Adding Small Things Consistantly
Like this,you can start to invest with small amount (100rs) and slowly- slowly you can add some amount monthly to your investment as per your capacity and expenditure. There is no limit for adding maximum amount.
Fix Your Capital For Stock Market Investment
first thing here you need to observe and calcualte your total spends and how much you can invest in stock market and how much is your capacity to invest, There is no any limit.So you should fix your budget first.You can start with little capital but must start as early as possible in your life. Why you should start to invest in stocks early in life
Know The Actual Process Of Stock Investing
First you need to open a demat means trading account under any
broker as you want,the brokerage charge is different for every broker so select that
brokerwho has been offering proper charges and providing good facilities.
there are many brokers available,some are here:
- Zerodha
- IIFL
- Upstox
- Groww
- Sbi Securities
- Motilal Oswal
- Aditya birla group
- Angel Broking
Documents Required For Opening Demat Account
- Aadhar card
- Pan card
- Bank account with online banking
- Check book (cancelleed check for some brokers)
- Your Photos
- Nominee name (whom,you want to make nominee from your family or anyone,its must)
(document list is as per Indian country check documents list required as per your country.)
Now give this all document to your selected broker with signed Account Opening form. In One week or less your account Will complete and ready.(originally it creates in one day online but for other verification also need so it takes 3-4 days)
Now you get the login credentials from your broker which is your Username and password.
Now first login to your
account with ID and password. Then first change your password which you got from your broker and set your secure strong password.
You can login to your account on application as well as on official website of broker.
but first See paddle lock at the left top corner of web site for security before log in to your account on web version.
After this you need to transfer some amount from your linked bank account To your
demat account. don't worry, this is also simple because there is direct option will available in application
or on site for this.
Then The broker will cut his account opening charges from that amount( if applicable othrewise dont) and remaining amount you can use to invest in stock as capital and for
trading . So keep more amount than brokers fee in your trading account. Now finally you are ready to start to invest in stocks by buying any company shares.
Design of Application and website of every broker are different. so,the way or method of buying or selling , amount transfer,margin facilities can be different. so you can directly ask this to your broker by calling custome care if you dont underatand things at yourself or can learn from
reading guidelines tutorials from site. It is simple and you will also do it easily when you do this 4-5 times then you know this
very well. So dont worry just start and do it.
Brokarage And Other Taxes
Brokrage charges is what as we buy and sell the security and this is done through the broker so for this work we need to pay them some charges this is brokerage charge.
As we open demat account Under a broker who cutes their charges every time you trade or invest which is called brokerage charges. these are different for every broker. the brokerage charge will cut both the time when you will buy shares as well as sell it. along with these charges we need to pay other taxes also, dont worry which are less and as per your invested capital.
Now some broker offers equity delivery at zero charge but taking brokerage for
intraday trading, FNO in equity, commodity and currency
Depository Charges
There are two depositories in india NSDL and CSDL. A dipository charges are also cut from your amount which is 22-25rs per company. i said per company means if you buy one share or 1000 shares the charges are same and for one time and this for delivery stock trading or investing . So start to invest in stock in one company at starting this is the good idea at begin to learn stock market investment process practically.
For example-
If you invest 100 rs in a company stock and take delivery of it ,as per your share quantity around 30/35 rs will cut approximately (brokerage+tax).
This is not accurate calculation just for
understanding.
Depository charges: 25
Brokerage + tax: 5-
10 rs ( as per broker)
Now your investment amount is near about 60-70 rs. the dipository charges will not cut every time.but for different company only.So next time when you will add more capital in same stock means (when you will buy shares of same comapny then you do not need to pay but if you buy different company shares then you need to pay it.) brokerage and tax will cut as per shares current price.
This all information you will get in your demat account in details option after market has closed. how many share you have bought,buying price,Quantity and how much brokerage and tax has charged, time date and every details etc.
Share Buying/Selling Procedure
Open your app or site and search the company name in search bar which you want to buy to invest.
Only first three
letters are required but type right spelling otherwise it will not display the name.
select your company because they will display one or more related name in result.
Click on name and the second page will open,here you need to fill details.(quantity,price and
type of buying)
Then select( intraday/delivery ) delivery option and set market limit price at which you want to buy a company ,not that which is current market price displaying
on screen.
Then click on buy. It will proceed and show you buying
details in same page or in another page (quantity, time, price, trade type, trigger price for trading...)
now you can see price, position every day.
(Buying quantity with price,how much increase/ decrease in price, your profit/loss.)
selling is same as you just need to square of the position or tab on sell button which will appears in front of your bought shares company name and fill the details as above and just select the sell option. this will proceedd next and your order will place and complete.
Your total amount and gain will show in fistpage of app (Homepage) or portfolio value/holdings option in website. also you can set this is as a default page in app.
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