A share market is a place where the trading of stocks takes place. Bombay Stock Exchange and the National Stock Exchange are India’s premier stock exchanges. There are distinctive approaches in which you can invest your money in the stock market. People wish to invest their surplus earnings to grow their wealth. Strategic buying and selling through the years replace your earnings. Investing in stocks offers the liberty to work from any place anytime we like and allows us to obtain our financial objectives. Today, everybody can begin buying and selling stocks with the assistance of digital trading accounts. To start investing, you need to open a Demat and how to do share trading account with a dealer or a stock brokerage platform
Through a trading account, you actually purchase or promote orders. The dealer or the inventory brokerage platform opens a Demat account for you. A Demat account holds the securities in your name. You have to link these two accounts to a bank account. To open these accounts, you must submit Know Your Customer (KYC) documentation that consists of verification through legal. Most agents and brokerage systems now have a web KYC technique that lets you open an account in multiple days via digitally filing your verification information. IIFL Securities is one such renowned institution that offers most of the services online. You can verify your documents online to open the documents required for demat account
Further, their traders’ terminal portal makes it convenient to invest in stocks. All you have to do is to log in to the portal with your login credentials. Now, let us see what are the documents you would need to open these accounts and start trading.
Documents required
Here is the List of documents required.
proof of identity
Documents admissible for proof of identity include the following:
Driving licence
- PAN card Aadhaar card
- Passport
- Voter ID card
In addition to the above, documents issued by any of the following agencies are also acceptable.
- Central or State Government and its departments
- Statutory/ Regulatory bodies
- Public Sector Undertakings (PSU companies)
- Professional institutions such as ICAI, ICWAI, ICSI, Bar Council
- Scheduled commercial banks or public financial companies
- Universities / Colleges affiliated to universities
proof of address
As proof of address you can submit any of these documents:
- Voters ID card
- Passport (check for date of expiry)
- Passbook or bank account statement
- Driving licence
- Insurance paper
- Utility or telephone bills
- Maintenance bill
- Electricity bills
- The registered sale or lease agreement of the house
- Proof of address attested by bank managers of elected members of parliament (MPs), gazette officer, elected representatives of legislative assemblies (MLAs), scheduled co-operative banks, notary public, and scheduled banks.
income proof
For proof of income provide the following.
- Recent Salary Slip or relevant document that proves income or net worth such as the ‘Form 16’
- A Net Worth Certificate issued by a Chartered Accountant or a photocopy of Annual Accounts duly audited by a qualified Chartered Accountant
- Income Tax Return (ITR) acknowledgment slip submitted to Income Tax Department for income tax filing
- A current bank account statement showing the income history of a client for the last six months.
Power of Attorney (POA): Apart from the documents mentioned above, you may additionally have to sign settlement papers such as the Power of Attorney (POA) given to the broker for transferring securities, agreement of trades, settling margins, and funds transfer from your account. The POA record has details of a customer’s bank account. It is essential to be aware that you need to provide the details of the concerned brokers. You can attest documents for the opening of Demat and trading accounts from the following persons.
- A Gazetted Officer,
- Notary Public
- Manager of a Scheduled Commercial or Cooperative Bank.
Make sure to properly mention the name, designation and office seal while submitting the documents. For the Non-Resident Indians (NRIs), accredited officers of overseas branches of Scheduled Commercial Banks registered in India, Notary Public, Court Magistrate, Indian Embassy/Consulate General, and Judge in the residing country of an individual can attest the documents.
Conclusion
Though it appears hard to comprehend the diverse requirements of investing in the stock market, you will not face much difficulty if you follow them step by step. Moreover, you can take the assistance of a financial institution with which you decide to open your brokerage accounts. In fact, institutions like IIFL Securities have a very simple procedure so that the customers can easily open a Demat and trading account. A representative also gets in touch with you when you apply for brokerage accounts. He shall explain to you every step in detail. In case of any hiccups at any particular stage, you can contact him to get your issues resolved within no time.
