Invest in Share Market: Hello friends, as we know that we keep on making some plan to invest in share market. Some of our plans succeed and some of our plans fail. But we still hold on. Here too it is the same. We will tell you that if you want to invest in the share market, then what are the safe points you should catch, that is, we will tell you some strategies here by which you will be able to invest in the share market. So let’s know.
Invest in Share Market
What Should be Done (Here are Some Strategies)
- Deal only with SEBI-registered intermediaries and stock exchanges.
- Collect photocopies of all completed documentation for client registration as soon as possible. Ensure that any paperwork or forms required for Client registration are filled.
- Give your broker, agent, or depository participant clear and explicit instructions.
- Insist on contract notes from your broker at all times. If you have any doubts about the transactions, you can check their authenticity on the BSE website.
- Permanently settle your debts with market intermediaries through traditional banking methods.
- Please check the firms’ qualifications, management, fundamentals, and recent announcements made by them and various other disclosures made under different regulations before making an order with the market intermediaries.
- Websites of exchanges and companies, data vendor databases, business publications, and other sources of information are used.
- Adopt trading/investment strategies suitable for your risk tolerance, as all investments involve some level of risk, which varies depending on the investment plan used.
- Before registering as a client with any intermediary, do your homework. Read the Risk Disclosure Document carefully and understand the contents, part of the investor registration requirement for dealing with brokers.
- Stocks with a sudden increase in price or trading activity, especially low-priced stocks, should be avoided.
- In the stock market, there are no guaranteed returns on investment.
- Keep copies of all investment documents (e.g. application forms, acknowledgement slips, contract notes).
- Keep copies of all documentation you send to corporations, Trading Members, Registrars, Transfer Agents, etc.
- Before you buy, be sure you have enough money. Also, check to see whether you have any securities before selling.
- Follow up diligently and promptly; for example, if you do not obtain the required paperwork within a reasonable time, contact the appropriate person, such as the Trading Member, corporation, or other entity.
What should not be done
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- Do not deal with unregistered brokers/sub-brokers and other unregistered intermediaries.
- Don’t sign any documents with an intermediary until you’ve read and understood all the terms and conditions.
- Do not file an arbitration request against a trading member with a Regional Investor Service Center that has no authority over the subject. Please use the address that you provided to your Trading Member by the law for this reason.
- Don’t make decisions based on rumors or ‘advice.’
- Don’t be fooled by promises of assured profits.
- Don’t be fooled by companies that display government approvals or registrations; the permissions could be for something else entirely, not the assets you’re buying.
- Do not entrust the custody of your Demat Transaction Slip Book to a third party.
- Don’t get carried away with advertisements in print and electronic media highlighting a company’s financial performance.
- Please don’t follow in the footsteps of others who may or may not have profited from their financial decisions.
- Don’t forget to consider the risks associated with a particular investment.
- Don’t be fooled by guarantees of investment repayment through post-dated checks.
- Don’t be fooled by high-return promises.
Here you have been told some strategies, which you can follow if you want. It will help you in how to invest in the share market. Apart from this, what things you have to avoid have also been told here. Understand them carefully and take your own decision.
What should be done to invest in share market?
Deal only with SEBI-registered intermediaries and stock exchanges.
Collect photocopies of all completed documentation for client registration as soon as possible. Ensure that any paperwork or forms required for Client registration are filled.
Read the above article to know more.
What should not be done for investing in share market?
Do not deal with unregistered brokers/sub-brokers and other unregistered intermediaries. Don’t sign any documents with an intermediary until you’ve read and understood all the terms and conditions.
Read the above article to know more.