{"id":54,"date":"2021-10-07T10:38:54","date_gmt":"2021-10-07T10:38:54","guid":{"rendered":"https:\/\/gauravheera.com\/sharemarket\/?p=54"},"modified":"2021-10-07T10:39:58","modified_gmt":"2021-10-07T10:39:58","slug":"what-are-financial-intermediaries","status":"publish","type":"post","link":"https:\/\/assetscholars.com\/blog\/what-are-financial-intermediaries\/","title":{"rendered":"What are Financial Intermediaries?"},"content":{"rendered":"

From the time you buy a share in the stock market till that share comes in your demat account, many types of Corporate Entities i.e. many organizations are working in the backend, so that this work gets done properly. These entities working behind the scenes make your transaction possible as per the rules and regulations of SEBI so that you do not face any problem. These entities are known as Financial Intermediaries. <\/span><\/span><\/p>\n

These intermediaries are dependent on each other’s work and together they create the ecosystem without which the financial market is impossible to run. In this chapter you will be told about these intermediates. <\/span><\/span><\/p>\n

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The Stock Broker<\/b><\/h2>\n

The Stock Broker is probably the most important intermediary of the stock markets, without knowing about it your can’t work in stock markets. It is a corporate entity which is registered as a trading member of the stock exchanges and has a stock broking license. And they work under the guidelines of SEBI. In another words, a stock broker is the door to the stock markets for common people. <\/span><\/span><\/p>\n

To enter the stock markets, you need to open a trading account with a broker. You can choose the broker of your choice. It is only Your trading account which is also called a demat account with your broker through which you can buy or sell shares. <\/span><\/span><\/p>\n

So let’s say you have opened a trading account and want to buy or sell a stock. for this you need to approach your broker, what are the ways to do it? You yourself go to the broker’s office and meet the dealer sitting there and tell him what you want to deal with. The dealer sits there is only to fulfill such orders. You can also make a call to your broker & place your order after providing your identity & client code. After this the dealer will complete your order through an online terminal.
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You can also do the deal yourself. Through a trading terminal software provided by your broker. All you need to do is to log in to your demat account and you will be able to see the live prices of the stocks itself and can place the order. It is actually the most preferred method. <\/span><\/span><\/p>\n

The broker gives you some essential features, such as: <\/span><\/span><\/p>\n