What is difference between trading and demat account?

in blurtindia •  4 years ago 


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Hello everyone,

This is an easy thing but I'll make you understand with an example.

Let's assume you wanna buy something then you went to the shop and bought something then shopkeeper asked for money and you gave him money from your purse, Now your purse is a thing which stores your money, so suppose your purse is a demat account and your money is shares which is stored in demat account.
And you bought from shopkeeper something and you gave him money so this called trade so you're working as a trading account.

The facility of demat account had been started since 1995. Before 1995 shares used to give through certificates.

Hope you understood that what is the difference between trading and demat account.

Thank you so much for reading my blog.

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