Selecting the right type of stock broker is one of the biggest step as a beginner. You have to choose wisely while entering the world of trade market and investment. If you have no direct experience about trading, it’s good to start with a decent broker. Choosing a bad stockbroker can ruin your first experience in trading which is not at all motivating. It may also ruin your money as switching to another broker.

There are some pros and cons that you need to check before choosing a stockbroker

Research: Listen to the advice of the veteran traders or investors but do not follow them blindly. Do your own research and use your gut feeling or intuition. You can do that by visiting various stock broker’swebsite. Get a general idea about the stockbroker, account opening charges, facilities offered etc. The main point of consideration is to choose a broker with low brokerage and high exposurefacilities.

Background and reputation of the broker: In today’s world stock market is basically based on online platform. Check the background of the broker you want to choose and their reputation from the website. You can check out the reviews, complaints, and can conduct a survey of the personal experience by the existing users. If you are going to use the smart phone platform , don’t forget to check the mobile app rating on the app store.

Brokerage and other charges: Stockbrokers are registered member of the stock exchange and they can directly purchase and sell shares in the share market for their clients. They charge some commission for their work. This is known as brokerage charge. Now there are two  types of brokers in the industry, full service broker and discount broker. These broke charges commission on every trade of their client. Discount brokers only provide trading facility. They offer low fee and charges a flat fee per trading. Choose a suitable broker according to your interest.

Customer service: You will need a proper guidance and lots of advice and communication to clear your doubts as a beginner so check the customer service provided by the broker. An easy way to try their customer care helpline number. If it takes long time to pick up the phone , then avoid .If you want one to one customer service, then check the website of the stock broker if they provide personal service.

Trading platform: Inspect whether the trading platform offered is friendly and easy to use. This is one of the most important factor to look after as a beginner. Check the website and watch the demo videos of the trading platform on youtube.

Hidden charges: There should be a clarity and no hidden charges and all the charges incurred while transactions should be specifically mentioned. Ask the customer care service clearly before selecting the stockbroker. If they are transparent then it is good to go.

Look for extras/ add- on : Many trading farm provides extras as like no annual maintenance charges for the first year. Free brokerage amount of some rupees etc. Check the add-on and added benefits. It’s always good to have some bonus.

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