While we may be excited about investing, many of us avoid getting into it because of the hassles involved.
One is daunted by the prospect of maintaining bank and de-mat accounts (separately and manually), making endless calls to gather information, lack of tools and advice and just the deluge of paperwork (try filling an IPO form manually!) and most importantly - the lack of time to plan and keeping a systematic track of your portfolio.
As a result, you may end up in a situation of too much dependency on someone, total inactivity or sometimes even taking wrong decisions while planning your investments.
Fortunately, help is at hand through the online investing platforms that are available to investors. Today technology enables you to completely plan your investing needs in the comfort of your home and at the time you like, all at the click of the mouse.
All you need is a computer, net connection and a subscription to a 3-in-1 online investing account with any of such service providers.
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Motilal Oswal |
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Sharekhan |
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IDBI Paisabuilder |
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ICICI direct.com |
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HDFCsec.com |
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5-Paisa.com |
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Kotaksecurities |
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JV Capital Services |
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The online mode of investing largely eliminates all the major hassles of investing:
It provides a wealth of information, analysis and tools that enable you to take more informed decisions, virtually no paperwork involved as all transaction records are online and statements available in digital form, invest anytime and from anywhere at your time and convenience (yes, even at night)!
It allows you to invest across different asset classes like equity shares, mutual funds and IPOs, amongst others. You can also get up-to-date information and analysis in an investor friendly format, from some of the best information providers in their respective fields.
Getting started
To begin investing online you need to register as a member for an integrated 3-in-1 online trading account with any of the service providers.
The three accounts are:
- Trading account, which enables you to transact online.
- An Internet enabled bank account for online money transfers through Internet.
- A demat account, where your shares will be deposited.
When choosing an online investing account
Credibility and credentials: The backing of a reputed bank or financial institution, which provides that additional safety.
Which investments can you make online: Are you allowed to invest in equity shares, mutual funds and IPOs fully through the online route or in only one of them?
Quality of information and content: Ensure you are getting the best of information, research support and tools, which is provided to you in an easy and reader friendly manner.
Speed of order execution: Are you able to place your equity orders and receive quick order confirmations during peak hours?
Are you getting a choice of products to choose from: Some service providers provide a choice of products - from the basic (classic) account to more advanced (trading platforms with live and streaming market information on equity markets).
Safety: Check for the security features inbuilt into the system.
Customer care: Does the service provider have a dedicated customer care cell to take care of your queries and problems?
Besides the above, many additional features offered may be looked into, like ability to sell shares next day before receiving delivery, SMS alerts, intra day trading in equities, etc based on your investing needs.
Ketan Trivedi is head (marketing) at IDBI Capital Market Services.
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