We have two process to open Demat & Trading a/c. i.e., offline & Online
Offline:
Eastern Fiananciers Ltd (EFL) is a depository participant – the intermediary between NSDL and you. It is very easy to open a demat and trading account with EFL. Here are the key things that you require:
Note: All documents should be Self Attested.
Online:
Go through the following link it will take you through our website with details required for account opening.
Note : Non-Individual account / Joint Demat Account is opened only through Offline Process.
Account will be opened T+2 working days on the receipt of your complete application in respect.
A nomination is an option provided to the account holder to choose or nominate someone who may receive the proceeds and securities on the death of the account holder.
Any individual.
Nomination is not applicable for any Non-Individual Account.
DDPI is a document that allows a broker to debit the securities from the client's demat account and deliver them to the exchange. The client does not have to enter the NSDL T-PIN and OTP to sell shares once the DDPI is submitted. Earlier, POA was collected for debiting the shares from the client's account.
Limit orders allow you to control the price at which you buy or sell a stock. For buy limit orders, it will be executed only at the limit price or lower, while for sell limit orders, the order will be carried out at the limit price or higher. This gives traders better control over the prices at which they buy and sell stocks.
A market order is an instruction to your broker to buy or sell stock shares, bonds, or other assets at the best available price in the current financial market. If the asset is a large-cap stock or a popular exchange-traded fund (ETF), there will be plenty of willing buyers and sellers, so you can complete the trade almost instantly at a cost close to the latest posted price.
A stop-loss order is an instruction to buy or sell stock once the price of that stock reaches a certain level. Stop-loss orders are designed to prevent investors from losing too much money on a security position. For example, setting a stop-loss at 10% below the price you paid for shares will prevent you from losing more than 10% of your investment.
Intraday trading is when you buy and sell a stock within the same day. On the other hand, when you purchase shares and hold them overnight, it is known as delivery trading.
Regular order is the order that is placed in the regular market hours between 9.15 a.m.-3.30 p.m. from Monday to Friday. After Market Order (AMO) helps you to place an order beyond the regular trading hours, which is executed when market opens the next time.
you can also place order through Phone call.
You can trade using our online website https://backoffice.easternfin.com/shrdbms/userlogin.ss
You can trade through the EF Trade app on your phone
Through mail to the client's registered mail id
A Settlement Cycle refers to a calendar according to which all purchase and sale transactions done on T Day are settled on a T+1 basis. T = Trading Day and +1 means 1 consecutive working days after T (excluding all holidays). It simply means that if the customer buys share on 30th Jan 2023 = T, Then the transaction will be settled on 31st Jan'2023 = T+1. At NSE and BSE, trades in rolling settlement are settled on a T+1 basis i.e. on the next working day.
Yes, you can sell the shares in NSE which you have bought in BSE.
Cash settlement to the trading account usually happens on T+2 day if the exchange is unable to obtain the shares in the auction. The probability of cash settlement is lower for liquid stocks and higher for illiquid stocks.
Short delivery is an event when a trader fails to deliver the required number of shares on the settlement date. There are various reasons why this scenario might occur. One can be the loaned shares' inaccessibility or errors committed during the settlement process. Another reason could be when stocks hit the upper circuit, resulting in a lack of liquidity.
Trading in the stock market entails inherent market risks, which necessitates stringent regulations. One such restriction pertains to futures and options (F&O) trading known as the F&O ban.
Interoperability allows trades executed on any exchange to be settled or cleared through any clearing corporation, not restricted to the exchange on which the trade was done. For example, trades executed on NSE can be settled through BSE's Indian Clearing Corporation and vice versa.
Different groups on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) signify the classification of companies. This classification is based on their market capitalization, trading volumes, and other criteria. These groups include Nifty 50, Sensex, BSE Midcap, BSE Small cap, and more.
Market cap is the market value of the outstanding shares of a company, i.e., the market value of all the shares that are held by the company’s shareholders. Market cap is calculated by multiplying the total number of outstanding shares by the market price of each share. For example, if a company has 5,00,000 shares trading at ₹500 each, its market cap is ₹25 crores (5,00,000 shares x ₹500).
Companies are categorised as large, mid, or small cap in order of ranking based on their total market cap, as shown below:
|
Categorisation in terms of market cap |
Type of company |
|
Top 100 companies |
Large cap |
|
Companies ranking from 101 to 250 |
Mid cap |
|
Companies ranked from the 251st position onward |
Small cap |
Securities and Exchange Board of India (SEBI) and Exchanges in order to enhance market integrity and safeguard interest of investors, have been introducing various enhanced pre-emptive surveillance measures such as reduction in price band, periodic call auction and transfer of securities to Trade for Trade segment from time to time.
Securities and Exchange Board of India (SEBI) and Exchanges in order to enhance market integrity and safeguard interest of investors, have been introducing various enhanced pre-emptive
Surveillance measures such as reduction in price band, periodic call auction and transfer of securities to Trade for Trade segment from time to time.
The main objective of these measures is to:-
Buyers won't be able to buy stocks that are present in GSM stage II or above. This is because the second stage of GSM and above requires an Additional Surveillance Deposit (ASD) of 100% of the trade value or may be higher. This is why the buyers are restricted from buying these GSM stage II or above stock
If the suspended company complies with all regulations, the exchange might revoke the suspension, and the shares will start trading again. If the company gets suspended and eventually closes, shareholders will have to write it off as a loss.
Record date: The record date is when the company checks its records to identify the eligible shareholders for a corporate action. Shareholders holding the shares in their demat accounts on the record date are eligible for corporate actions such as entitlement of rights shares, bonus shares, stock splits, dividends, etc.
Ex-Date: The date on which a stock starts trading without the benefit of corporate action, i.e., ex-benefit, is known as the ex-date. The ex-date and the record date for all the corporate actions are on the same day since all the instruments are moved to the T+1 settlement cycle. A stock will trade with the benefits of the corporate action or cum-benefit (i.e., cum-rights, cum-dividend, etc.) until the ex-date or the record date.
The date after which the company will not handle any transfer of shares requests until the benefits are transferred. Only shareholders marked in the company's register at the Book Closure Date or the Record Date would be entitled to receive these benefits.
Yes, shareholders will be eligible for a corporate action if you sell shares on its ex-date.
A stock split is a corporate action where a company increases the number of shares by reducing the face value of the stock. Companies generally split shares to increase liquidity since the price of the stock reduces after the split. A split increases the number of shares by decreasing the face value, but the total value of the investment remains the same.
Consolidation of shares is a strategic move taken by companies to decrease the number of outstanding shares by merging them and raising the face value of each share. As a result of this process, the total number of outstanding shares decreases while the value of each individual share increases.
An Offer for Sale is a simpler method wherein promoters in public companies can sell their shares and reduce their holdings in a transparent manner through the bidding platform for the Exchange.
Share or stock buyback is the practice where companies decide to purchase their own share from their existing shareholders either through a tender offer or through an open market. In such a situation, the price of concerning shares is higher than the prevailing market price.
A dividend is the distribution of a company's earnings to its shareholders and is determined by the company's board of directors.
A bonus issue is the distribution of free shares by the company to the existing shareholders. A company may decide to distribute additional shares as an alternative to dividend payout. In a bonus issue, the number of shares increases, but the value of the investment remains the same.
A rights issue is an invitation to existing shareholders to purchase additional new shares in the company. This type of issue gives existing shareholders securities called rights. With the rights, the shareholder can purchase new shares at a discount to the market price on a stated future date.
Login
Login