state the Five steps which are involved in the screen based trading for buying and selling of securities in the secondary market
Answers
Answer:
Following are the first four steps in the screen-based trading for buying and selling of securities in the secondary market:
A) The investor has to approach a registered broker or sub-broker and sign a broker-client agreement and a client registration form before placing an order to buy or sell securities.
B)The investor has to open a “demat” account or “beneficial owner” account with a depository participant for holding and transferring securities in the demat form.
C)The investor then places an order with the broker to buy or sell shares, the broker will go ahead with the deal and issue the order confirmation slip to the investor.
D)The broker then will go on-line and connect to the main stock exchange and match the share and best price available.