Who Can Trade and How to Trade in the Stock Market?

Who is Eligible to Trade? 

Ever wondered who can trade in the stock market? The answer is straightforward anyone with a trading account can participate in the market. There’s no academic qualification barrier or age limit (beyond legal eligibility); just the willingness to learn and the drive to act. 

Before diving in, consider these fundamental principles: 

• Be clear on whether you want to pursue stock trading seriously or as a side hustle 

• Use tech tools to enhance your learning and execution capabilities 

• Like any career, trading demands time, patience, and consistent effort 

• Keep learning markets evolve and so should you 

• The goal isn't overnight success, but longterm profitability 

How to Start Trading in India 

Just like brokers do a thorough KYC check before onboarding you, it’s equally important for you to evaluate brokers before opening an account. SEBI has enforced strict norms around margin requirements and net worth, reducing the chances of broker defaults but doing your due diligence is still smart. 

Your First Step: Choose the Right Broker 

Ask yourself the following before committing to any platform: 

Is the Trading Platform UserFriendly? 

While most brokers now offer digital trading solutions, the quality of these platforms can vary. For intraday or high frequency traders, speed and reliability are nonnegotiable. A good platform should offer: 

• Smooth and quick order execution 

• Technical charting tools and research integration 

• Strategic tools for trade planning 

• Transparent pricing 

Brokerage fees are another key factor while there's limited variation due to market competition, understanding how your broker charges (flat fees, pertrade commission, etc.) is important. 

m.Stock is built with real trader feedback at its core, offering zero brokerage on equity delivery, mutual funds, IPOs, and ETFs. For intraday, F&O, and MTF trades, you pay just ₹5 per order — making it a gamechanger for cost-conscious traders. 

Is There a Good Mobile Trading Experience? 

In today’s fast paced environment, the ability to trade on the go is a must. Ensure your broker offers a clean, fast, and functional mobile app. Some things to look for include: 

• Realtime updates and data feeds 

• Access to learning resources and technical indicators 

• Notifications for key price or trend movements 

m.Stock’s integrates all of this, making trading seamless whether you’re at home or on the move. 

How to Open a Demat Account and Begin Trading 

To get started with stock trading in India, you’ll need to open a demat and trading account. This is especially essential if you intend to trade delivery based stocks. 

Documents Required: 

Here’s a quick checklist to keep handy: 

• Proof of Residence 

• Date of Birth Proof 

• PAN Card 

• Aadhaar Card 

• A functioning Bank Account 

• Voter ID (as an optional identity proof) 

Be sure to review account opening charges and operating fees when selecting your broker. 

Prefer Online Trading? You’re in Good Company 

For those new to the market or cautious about in-person setups, online trading is an ideal choice. Modern platforms now come with advanced security protocols, multifactor authentication, and encrypted channels all designed to protect your transactions and data. 

Trading online also means you’re not tied to one location, giving you flexibility and control. 

Once your account is active, the real journey begins doing research, placing trades, and analyzing performance. This is where you're learning curve becomes your competitive edge. 

Retail vs Institutional Trading in India 

Let’s demystify the two major categories of stock traders in India: 

Retail Trading 

Retail traders are individuals trading with their own capital. Here’s what to know: 

• Anyone with a demat account qualifies 

• Less red tape, more autonomy 

• Irregular income but potential for high returns 

• You’re the decisionmaker flexible but risky 

• Low entry barrier: you can start with even ₹1,000 

SEBI defines retail investors as those applying for IPOs or holding stock valued under ₹2,00,000. It’s a great space to start if you're looking to explore trading without institutional constraints. 

Institutional Trading 

This involves professional traders working within larger financial institutions, managing portfolios or executing trades for clients or funds. Key features: 

• You’ll typically need a finance related degree or certifications (MBA in Finance, CFA, CMT) 

• Offers structured income and additional bonuses for performance 

• Relies heavily on inhouse research and analysis 

• You’ll likely be deskbound, executing rather than strategizing 

Institutional traders handle significant capital and often have access to market data and tools not available to retail traders. 

Points Remember

• Picking the right broker is critical to your trading experience 

• Evaluate a broker’s platform, mobile app, charges, and research capabilities 

• A demat account is necessary, especially for delivery-based trades 

• Decide whether you want to trade as a retail investor or work towards an institutional role 

Ready to step into the world of trading? With the right mindset, tools like m.Stock’s trading app, and a solid strategy, you're already halfway there.