Primary procedure in trading on a Stock Exchange is _______.

opening 'Demat' Account with Depository

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placing the Order

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selection of a registered broker

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executing the Order

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Solution

The correct option is C selection of a registered broker
Primary procedure in trading on a Stock Exchange is selection of a registered broker. The buying and selling of securities can only be done through SEBI registered brokers who are members of the stock exchange . The broker can be individual, partnership firms or corporate bodies.

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Similar questions

Arrange the steps in the procedure for an investor who wants to buy securities on a stock exchange:

1. Selection of broker
2. Opening Demat account with a depository

3. Place the order with the broker

4. Settlement

5. Execution of order by the broker on the instruction of the investor

Explain the steps in trading procedure on stock exchange.

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