LETS KEEP CHUGGING

WELL THE BUDGET HAS BEEN DECLARED AND THERE HAVE BEEN MANY ADVERSE AND SUPPORTIVE REACTIONS TOWARDS IT.UNFORTUNATELY WE HAVEN'T LEARNT ENOUGH TO MAKE USE OF THE BUDGET IN SHARE TRADING.
BUT STILL IF YOU HAVE KEPT SOME PAPER CUTTINGS OF THE POST BUDGET PERIOD THEN WE WILL CERTAINLY MAKE USE OF IT IN NEAR FUTURE.

TILL THEN LETS CONTINUE TO UNDERSTAND SOME MORE TERMS.I THINK TILL NOW WE HAVE COVERED SHARE MARKET,BROKERS,BSE,NSE,SENSEX AND NIFTY ISN'T IT?
NOW SOME MORE OF THEM

1.BROKERAGE:
THIS IS THE AMOUNT YOU PAY THE BROKER FOR PERFORMING THE TRANSACTION ON YOUR BEHALF.IN OTHER WORDS ITS THE BROKER'S COMMISSION.
IT VARIES FROM BROKER TO BROKER AND ALSO WITH THE TYPE OF TRANSACTION.NORMALLY IT IS SOME PERCENTAGE(APPROX 0.1 TO 2%) OF THE TRANSACTION AMOUNT

2.DEMAT:
DEMAT IS JUST THE SHORT FORM FOR DE MATERIALISATION.JUST TO MAKE THINGS SIMPLE IT IS A VIRTUAL RECORD OF A PHYSICAL ENTITY.
EARLIER SHARE CERTIFICATES WERE PHYSICALLY HANDED OUT,THEY WERE PRONE TO THEFT,LOSS OR DAMAGE. SO NOW A DAYS THEY JUST APPEAR IN YOUR RECORDS (i:e IN YOUR DEMAT PASS BOOK OR ON COMPUTER), JUST LIKE YOUR BANK PASS-BOOK SHOWS YOUR SAVINGS EVEN THOUGH YOU DON'T SEE THEM PHYSICALLY.
DEMAT ACCOUNT CAN BE OPENED AT ANY BROKER,SOME BANKS TOO OFFER THE FACILITY.

3.PANCARD:
PAN STANDS FOR PERMANENT ACCOUNT NUMBER,AN IMPORTANT DOCUMENT AFTER THE PASSWORD TO PROVE THAT YOU ARE AN INDIAN.
PAN IS REQUIRED FOR EVERY MAJOR FINANCIAL TRANSACTION NOWADAYS.
PAN CAN BE OBTAINED FROM MANY FINANCIAL INSTITUTES (UTI,KARVY,etc) ON JUST FILLING UP A FORM AND PROVIDING ADDRESS AND IDENTITY PROOFS.
PAN CAN BE OBTAINED BY ANY INDIAN CITIZEN ABOVE 18 YEARS WITH OR WITHOUT AN INCOME SOURCE.

#### IT IS MANDATORY TO HAVE A PANCARD TO OPEN A DEMAT ACCOUNT####