Who are stock Brokers?
As the name itself suggests, these are brokers who deal in stocks (along with commodities, currency, equity etc.). So, stock brokers are the middlemen that buy or sell securities on investors’ behalf at the exchange(s). They provide trading platforms to the investors where the transactions can be executed and tracked. In simple words, stock brokers are those without whom you can not open your demat account. And, without a demat account, you can not invest or trade. So, stock brokers are an important part to start your investing journey.
What stock brokers do?
Whenever you hear the term ‘broker’ you would think about a middleman or an agent that makes two parties meet for a deal. A stock broker, in the same way, is a middleman between the listed companies and the investor (or trader). A stock broker is the only medium through which your demat account is opened i.e. you need to compulsorily register with a broker for opening your demat account. The broker also provides you with a platform for trading and investing. Your broker is authorized to buy and sell securities on your behalf at the exchanges.
Basically, a stock broker would provide you services in exchange of brokerage or annual fee or commission.
Who are the top 10 stock brokers in India?
You would find many articles on the web that claim to inform about the list of top 10 stock brokers in India. But, here the important point is that what are the aspects or criteria based on which the list has been prepared. Usually, a beginner would be excited to know about the top 10 stock brokers in India and would try searching the web for the same. But, there are various criteria based on which a stock broker should be evaluated like – type of broker (discount or full-service), quality of services, customer support, the interface of trading platform etc.