Table of content

Types of Market Segments

Table of content

How to activate a segment in m.Stock

Traders can choose to trade in a variety of segments such as equities, commodities, derivatives, and currencies. Every segment has different trading rules, and some are traded on a completely different exchange. For example, agricultural commodities such as black pepper and coffee are traded on the Multi Commodity Exchange (MCX), whereas equities are primarily traded on the NSE and BSE. By default, only the Equity segment enabled is your trading account. You have to enable the relevant segments in your account to trade in segments like F&O and commodities.

Types of segments:

  • Equities:

    This includes shares of various companies that are traded in the stock market. In the platform, the buyers and sellers participate in trading publicly listed stocks on the stock exchange. Stock exchanges are a place where stocks are traded. In India, the listed companies are traded in National Stock Exchange (NSE) and Bombay Stock Exchange (BSE).
  • Mutual Funds:

    A mutual fund pools money from thousands and lakhs of investors and invests the amount in different assets, including stocks, bonds, gold, and short-term debt. You can invest in direct mutual funds from brokers such as m.Stock at 1% extra return, no commission and select from 5000+ schemes from a single platform. Its user-friendly interface allows anyone to invest and redeem mutual funds easily, whenever they wish.
  • Derivatives:

    Derivative is contract-based trading between two or more parties. The price of these contracts is decided based on the value of the underlying assets, such as stocks, bonds, commodities, currencies etc. There are two derivatives available to trade, Futures and Options. A future is a contract where an investor participates in the trading activity at an agreed rate on a future date. On the other hand, in options, the investor has a right, but there is no obligation to execute a trade at a specific price on a given date with m.Stock best-in-class technology. You can trade in derivatives with cutting-edge technological features like advanced fundamental and technical charts.
  • Commodities:

    In commodity markets, physical substances, including crude, copper, rubber, energy, or gold, can be purchased and sold on a contract basis. Commodities are a great option to diversify your portfolio from traditional investment options. Moreover, they are not as volatile as the stock market. There are two exchanges in the commodity market, the Multi-Commodity Exchange (MCX) and the National Commodity and Derivatives Exchange of India (NCDEX). You have to enable the segment in your m.Stock account to invest in commodities.
  • Currencies:

    It is the place where one currency is changed into another at market rates electronically. Currencies can be traded 24x7 in the markets. Investors can diversify their portfolio and gain from the fluctuating currency rates in the international market. Currencies are traded by multinational companies or high net worth individuals; hence it is a daunting task for the individual investor to enter the forex market, but not anymore because m.Stock offers high leverage to individual investors and can control a large trade with a small account balance.

How do I check which segments are Activated in m.Stock?

You can check the segments that are currently activated on your m.Stock account. Follow these steps:

  • Step 1:

    Log in to your mobile application or on the web, and open your profile.
  • Step 2:

    Click on the ‘Segment’ to see the activated segments.

Why do we need to activate segments?

By activating different segments on the m.Stock account, you can invest in different asset classes, and it helps you create a diversified portfolio and gain better returns in other market conditions. So if you are looking to explore different investing segments, enable the various segments in your m.Stock’s account.

Documents required to activate segments

When you open a Demat account with m.Stock, you can directly start investing in equity shares and mutual funds, but if you are looking to invest in any other segments, you are required to submit a few documents. Here is a list of documents you will need for the segment activation procedure:

  • Bank statement for the last six months
  • Holding statement of your Demat account
  • Salary slip, if you are a salaried person
  • Mutual Fund statement
  • Receipt of fixed deposit in the bank, if you have one
  • ITR acknowledgement
  • Form 16

How can I activate segments?

Following are the steps to activate segments on the m.Stock trading app:

  • Step 1:

    Click on the taskbar and select the edit icon next to your name.
  • Step 2:

    Click on the edit icon next to ‘Segments’, select your browser, and you will be redirected to m.Stock official website.
  • Step 3:

    Click on ‘Segment Activation’. You would be able to see the activated segments.
  • Step 4:

    You must upload the required documentation in the ‘Segment’ section to activate any segment.

You shall receive a confirmation mail on your registered email ID about the confirmation within 24-48 hours.

Conclusion

Now that you are aware of the different segments of the stock market, you may activate the segment in your account and start investing. You can achieve your financial goals by diversifying in different segments. m.Stock zero brokerage Demat account allows you to trade all products at zero brokerage for life! Calculate your brokerage savings with m.Stock brokerage calculator.

Frequently Asked Questions

It is a process that allows investors to invest in different asset classes that trade in other exchanges. There are different segments to activate, such as mutual funds, futures and options, currencies, and commodities.

You can activate the segments by submitting the necessary documents, such as a bank statement of the last six months, a holding statement of your Demat account, a salary slip, a mutual Fund statement, a receipt of a fixed deposit in the bank, ITR acknowledgement and Form 16. The process can be done while creating your Demat account or later whenever you wish to activate a segment.

Activating the segment takes 24-48 hours, and you shall receive a confirmation mail on your registered email id once the segment is activated.

No, there is no minimum holding required.

Yes, you can deactivate the segment directly on the app or web platform or by reaching out to the broker’s customer support team.

You will get a confirmation mail on your registered email ID once the process is completed successfully.

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