Investing can often feel like a rollercoaster ride,especially if you don’t have a stock market advisor and are a fresher, but you can make it a lot more simple by following certain dos and don’ts. Whether you’re a seasoned trader or just starting out, keeping these tips in mind can really help you stay on track. We’ve put together a list of what you should and shouldn’t do to make your trading experience as stress-free as possible. So, take a look at certain do and don’t that you must follow during your trading journey.
Do’s
- Be aware of assured returns:
When we think about investing and trading, we think it’s a way to earn money quickly, and that too with minimalistic efforts and most of the time we make financial decisions based on this but let us tell you, there is no way to make money easily, but wealth building takes a long time and requires patience.. There are multiple attractive schemes and shady business models out there that promise unachievable results. So never trust any of these schemes, whether written or oral, and don’t fall prey for these schemes that offer huge profits to trade in particular securities
- Review your trading account regularly
By reviewing your trading accounts regularly, you can check for any fraudulent transactions, keep track of your funds and securities, check if there are any idle funds with your broker and question your broker if you find any discrepancies. You have the option to do this on a quarterly basis or a monthly basis although we advise you to do it on a monthly basis so that you are always aware about your funds and securities.
- Ensure your contact details are up to date:
It is your duty to ensure that your broker has your updated email id and mobile number when you are opening a trading app. And if your email id or contact number changes after you have gone through the process of demat account opening, you need to inform your broker about it. Moreover, if you stop receiving any notifications from the exchanges, you need to immediately contact your broker to rectify this error.
- Ensure that your payout is transferred to your registered bank account:
If you have made a payout request, ensure that the funds are transferred to your registered bank account only from your demat account. You must always cross check this even if you have selected the correct bank account to receive the payout.
Don’ts:
- Do not share bank account credentials with anyone:
You must have heard this multiple times by now, do not share your bank account details with anyone. It might seem futile but it is one of the most effective ways to keep your assets safe. Do not share your account credentials and password with anyone.
- Don’t transact with unauthorized broker:
When you are choosing a broker, always ensure that they are SEBI registered. Never transact with a broker or an entity that is not registered with SEBI. In order to check if they are SEBI registered, ask your broker for their SEBI registration number and cross check it. This will save you from frauds.
- Do not ignore messages from the exchange or broker:
Never ignore any message you receive from your broker or bank nifty. Like mentioned before, if you stop receiving any message from your exchange, then contact your broker. Always verify the same transaction with your Contract Notes or Account Ledger. In case of any discrepancy, report it to your broker or the exchange.
In conclusion, staying vigilant and informed is crucial for a successful trading journey. By following these essential dos and don’ts, you can protect your investments, avoid fraud, and ensure a smoother trading experience. If you want to be more involved in your stock trading, you can use an online trading app which ensures you are more involved with your trading. Remember, patience, regular monitoring, and caution are key to navigating the ups and downs of the market.