{"id":14767,"date":"2021-12-13T18:35:01","date_gmt":"2021-12-13T18:35:01","guid":{"rendered":"https:\/\/www.5paisa.com\/finschool\/?p=14767"},"modified":"2025-06-04T17:28:24","modified_gmt":"2025-06-04T11:58:24","slug":"how-to-buy-stocks-online","status":"publish","type":"post","link":"https:\/\/www.5paisa.com\/finschool\/how-to-buy-stocks-online\/","title":{"rendered":"How To Buy Stocks: Meaning & Factors To Consider"},"content":{"rendered":"\t\t
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In the older times, stock market was difficult for a common man because of lack of know-how. That is why it was extremely\u00a0essential to consult a stock broker before investing. Back then, the brokers were the only source of stock purchase.<\/p>

The internet has solved this problem for the common man. Now there are a large number of websites that give you a good working knowledge of the stock market. They\u00a0can also give you good advice about when you should and shouldn\u2019t invest in shares.<\/p>

Thus, with the authentic information about stocks\u00a0that is available on the internet, people with limited savings can\u00a0get good\u00a0knowledge\u00a0about the stocks. They can not only get information\u00a0about\u00a0the\u00a0stocks, but\u00a0they can also buy stocks online starting from prices as low as Rs.\u00a0500.\u00a0<\/p>

Process of Buying Shares Online<\/span><\/strong><\/h5>

  1. To buy and sell shares, one needs Demat and Trading accounts. Both of these are provided by the two Depositories namely NSDL and CDSL through brokerage companies. One has to visit or contact a brokerage company office for opening those accounts.<\/p><\/li>

  2. Generally, stock trading is possible in India between 9:30AM to 3:30PM. Stocks can be traded on all working days from Monday to Friday. The stock exchanges are closed on bank holidays and national holidays.<\/p><\/li>

  3. You can log into you online Trading account. Visit the online portal of your trading account. To log into your trading platform, you will have a user name and a password. Make sure you memorize these important login details.<\/p><\/li>

  4. It is important to do a pre-study before selecting a stock. Stock study is not just a study of its market price. More than the price, it is important to judge the company\u2019s fundamentals.<\/p><\/li>

  5. To buy stocks, put a buy-order to trading account and wait for order execution. Setting up a price-limit to buy stocks is a good habit.<\/p><\/li><\/ol>

    As you can see brokers are no longer a necessary part of the transaction while buying and selling shares. However,\u00a0it is still advisable to consult a broker.<\/p>

    With the changing times brokers too have modified their services. Few years ago,\u00a0there was only one type\u00a0of broker, the Full-time broker who handled the complete buying, selling and monitoring of your shares. Today there are\u00a0different types of brokers available\u00a0in the stock market:

    <\/p>

    Types of Brokerage services<\/strong><\/span><\/h5>