What is Online share trading ?
Online share trading is easy and fast as compared to offline trading. We can place orders directly in online trading website using different devices like desktop, laptop, smart phone and tablets. We can buy and sell any where from the world where there is internet connection. Online trading was introduced in Nepal on Kartik 20, 2075. We can trade using TMS (trade management system).
Here we’ll explain in few simple steps for doing online share trading in Nepal.
- Demat account and MeroShare.
- Broker account. Broker offices – www.nepalstock.com/brokers
What is DEMAT account ?
Dematerialized account is an account to hold stocks/shares in electronic form instead of traditional share certificates(physical share certificates). Short form of Dematerialized account is DEMAT account. For example in bank account you deposit your money whereas in DEMAT account you hold your stocks.
How to open DEMAT account in Nepal ?
DEMAT account can be opened in Nepal by following steps:
- Find a company providing the service. For example: NIBL Capital, NMB Capital, Global IME Capital etc as well as your stock broker’s office.
- Fill up the form with citizenship photocopy and a passport size photograph for the form.
- Submit the form.
- It will usually take a few days for them to set it up.
For trading in secondary market you’ll need a trading account which you can open in any broker office. You also need to fill KYC details. Currently you need to attach a copy of your bank account cheque book. This may or may not continue in future but it’s better you take your bank account cheque book/cheque photocopy with you. Not blank cheque but cancelled cheque.
- After opening broker account you need to reset your password for which click the Forget password link in TMS. Make sure that you use your broker TMS url.
- Then enter your username/client code and email address.
- You will get the reset link for changing the password.
Please make sure that you don’t use password that is easy to guess.
Now you’re ready to trade. You’ll see buy/sell option on your dashboard. Before buying you’ll need to load collateral which you can do easily online via connect IPS or available bank on dashboard.