Stock Brokers | Types | Need of Stock Brokers

Stock Brokers : -Hello, if you are new to the share market, then it is very important for you to have basic information about it. There is a word in the stock market, broker (stock broker). After all, what is a stock broker, how do they work, I will tell you all the details in today’s article! So definitely read this article till the last so that you can know what is the work of stock brokers and what is it.

What is Stock Broker

Stock Broker :- Broker’s direct relation in the stock market is regarding arbitration. Yes, investors invest in the stock market through these brokers. Brokers Means can be a firm or even an individual, who also tells you how to invest in the share market right way. Stock brokers are either members of BSE or NSE and each stock broker is registered with SEBI. Not only this, if you want to know about registered stock brokers, then for this you have to visit the official website of SEBI where you will get information about registered stock broker.

What does a Stock Brokers do :-

1. Stock broker help you in buying and selling shares.
2. Stock broker can also give you proper advice like which and when shares would be right to buy or sell.
3. Brokers can also call you and provide all the information about the share market.
4. Stock brokers also keep paper proofs, call records etc. along with the information of each of your shares.
5. Stock brokers also provide answers to the questions related to investments and shares of the clients.
6. The broker can also guide you on different investment strategies and their process

Now I will tell you about the types of stock broker. There are only 2 types of stock brokers in India.

What is Discount Broker

1. Discount Brokers : – They give you only online services, its main task is to provide such a platform to investors through which they can buy or sell shares. They are also called discount brokers because their brokerage charges are very low. Investing through discount brokers has many disadvantages as well as benefits. Discount brokers charge very less commission as compared to other brokers. Also, these brokers do not give you any kind of advice and even if they do, Then there are charges for it. However, now discount brokers also provide many types of services online like they can help you through chat or email. Especially since we have come into the world of internet, since then the use of discount broker has increased in the stock market.

What is full service broker

2. Full Service Broker:- These stock brokers provide all kinds of services to the investors online and offline. Full service brokers give you every necessary advice related to the share market. Along with this, by calling you, they also solve the problems related to your share market. Their branches are in every part of India, you can go to their branches by searching on Google Map and take any kind of advice from them. That is, they give you every proper investment advice, due to which their charges are much higher than discount brokers.

Why do we need stock brokers?

How stock brokers work :- You must have known that stock broker is the only tool with the help of you buy or sell shares. You can understand it in this way:-
Investors-Stockbrokers -Stock Exchange
Simply put, suppose you are an investor and you want to buy some shares, then you have to place orders to buy shares through a trading account. Now you do not have to do anything here, your orders will directly reach the broker and will match your orders. As soon as your order is matched in the stock market, then you will get the shares of the company for which you have placed the order. Then the shares will start appearing in your demat account, so this is how share brokers work.

Which broker is best for stocks?

Best stock broker in India : –

Let us now tell you about some stock brokers which are very popular and whose number of customers is very high.

1. Zerodha
2. Angel one
3. ICICI Direct
4. Upstox