Demat Account: How to invest in stocks via SIP? Here's a step-by-step guide

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Also Read: Demat Account: Benefits of handling mutual fund investments through demat SIP in stocks is a method of investing a fixed amount in selected stocks at regular intervals. This helps benefit from rupee-cost averaging and the power of compounding. Stock market investing becomes easier with the use of demat accounts.

To start an SIP in stocks, you need to open a demat account. Below are the steps on how you can use demat account for SIP in stocks: Choose a Broker: You need to select a reputable brokerage firm that offers the facility of SIP in stocks. The online platform of the broking firm should be user-friendly for seamless transactions.

Open a Demat Account: As mentioned earlier, you must open a demat account for SIP in stocks. You need to submit all the required documents for opening a demat account. Also Read: Demat Account: How to resolve disputes related to transactions? Here are 6 steps to follow Select Stocks: You then need to identify stocks for investment.

A thorough research or professional advice is must to identify the stocks for SIP. The selected shares should align with your investment goals, risk appetite, and time horizon. Set SIP Frequency and Amount: The next step is to determine the frequency of the SIP investment.

This can be the monthly, quarterly, etc. Further, you need to select the amount for investing in each stock through SIP. This amount gets automatically debited from your bank account and the shares will get credited to your demat account.

Initiate SIP: After logging in to your demat account, navigate to the SIP section and then initiate SIP for the selected stocks. Here, you need to specify the investment amount, frequency, and duration of the SIP. Monitor and Review: It is