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To Buy To Sell

Updated on March 11, 2023

In stock markets, ‘to buy’ means buying stocks or securities and ‘to sell’ means selling stocks or securities.To buy or to sell securities, there are certain requirements which need to be fulfilled, like a Demat & Trading Account, a Depository Participant, a broker and a bank account. Once these are fulfilled and the account is funded, the buy or sell transactions can be completed, through the broker. A broker can be a full-service broker, providing additional services like research and analysis or an online/discount broker. Stocks are listed and traded on Stock exchanges, like the NSE and the BSE in India.

How to buy and how to sell stocks?

Shares are bought and sold with the assistance of a broker or intermediaries, who are members of the stock exchanges. They buy and sell shares on the client’s behalf with the help of Depository Participants. Depository participants are intermediaries which connect investors with the two depositories, the National Securities Depository Limited (NSDL) and Central Depository Securities Limited (CDSL).