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Difference between Demat Account & Trading Account

8 Jan 2016 | 13:00PM

For anyone who wants to buy and sell shares on the stock market, you need to have 2 types of accounts; a demat account and a trading account.

So, what is the difference between the two?

Well, in a demat account; you ONLY store the shares whereas in a Trading account, you keep the Money NEEDED to buy and sell shares.

To start trading, you need to open both, a trading and a demat account. Reference on How to open a Demat account

Then, you need to link both the accounts to your existing savings account and are all set to trade.

Difference between Demat Account & Trading Account

So here is how it works... when you buy shares, you utilize the money in your trading account and after purchase the shares get digitally deposited in your demat account.

At Angel Broking you can open a demat account within 1 hours in just 5 easy steps.

Get started today. Just log on to our website and enroll.

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