Looking to open your Demat Account? Check these five points first!

If you’re planning to start investing in the share market, you will need to have a demat account in India. Demat accounts are basically accounts where all the shares that you purchase are held in electronic form or dematerialized form. There are a number of stockbrokers in India who offer demat account services to their clients. 

However, before opening your demat account, there are a couple of things that you should check so that you could find the best one depending on your investing style and preferences. Here are five points that you should check before opening your demat account.

1) Background & Reputation of the stockbroker

As you’ll be keeping the shares where you invest for long-term, maybe 5, 10, or even 50 years, it is important that you choose a reputable stock broker. You’ll be investing your hard-earned money in the shares of the companies, and therefore do not trust those brokers who are associated with any kind of past scam or fraud. Check the company’s background to find out how ethically strong is the stockbroker.

2) Brokerage and other charges

Most discount brokers offer Zero brokerage for long-term investment in Indian and may charge you a flat rate for intraday trading. Choose brokers with low brokerage charges and also find out if there are any other hidden charges. Further, also check the Account maintenance charges (AMC) and find out if they can be waived. Avoid brokers with high AMCs.

3) Trading Platform Offered

The stockbrokers in India offer Demat and trading accounts altogether. If you’re planning to actively trade in stocks, F&Os, etc along with investing, look into the trading app or website offered by the broker. The trading platform offered should be fast, bug-free with minimal latency. Check the reviews on Google playstore and iOS App Store to find out what the customers are saying about the trading platform. 

4) Advisory and research services offered

Many full-service brokers in India offer advisory and research services to their clients. If you do not have much knowledge and experience about investing and planning to avail of these services, look for the reliability of the advisory services offered by the brokers. Look into how the recommendations have performed in the past.

5) Adds and partnered platforms

The Stockbrokers in India also provide many add-ons like free education services, free access to charting and technical analysis platforms, referral bonuses, etc. Check for the add-ons offered by the demat service provider before opening your account.

Based on the factors discussed above, here are three stockbrokers that you check out to open your demat account:

1) Angel One

Angel One is a full-service discount trading platform that offers investing and trading facilities to its users along with advisory services. Currently, it offers free account opening and zero brokerage for long-term delivery trades. 

Angel One provides Angel One super app for mobile-based trading and an Angel One trade platform. You can open your FREE account with Angel One here.  

2) Zerodha

Zerodha is the largest online stockbroker in India with over 1+ Crore clients that contribute to over 15% of all retail order volumes in India daily by trading and investing. 

The brokerage charge for long-term delivery trades is Zero and its users also get access to other partner platforms like Sensibull, Streak, Smallcase, etc. You can open your demat account with Zerodha here!

3) Dhan

Dhan is India’s fastest-growing technology and product-led stock-broking platform. It offers Zero Demat Account Opening Fees, Zero Annual Maintenance charges, Zero Platform Fees, and Zero Brokerage for Delivery Trades. You can open your FREE account with Dhan here.