February 26, 2011 1:43 pm
Please advise how the buying and selling of commodity is done on the stock market, what is the procedure and what is the minimum investment.
what is the brokerage charges charged by the broker for this.
have look at this article in moneylife on how to buy commodities in demat form – http://www.moneylife.in/article/now-you-can-buy-commodities-in-demat-form/13901.html
My personnel opinion is dont deal with commodities unless you have have sufficient expertise in that area. Lot of cheap money from US is chasing these commodities and driving their prices up leading to wild speculation. For example last year silver shot up 76% in just 4 months. i dont see any fundamentals other than speculation behind the sudden spurt.
There are 3 exchanges dealing with commoditis
1. National Commodity and Derivative Exchange
2. Multi Commodity Exchange of India Ltd
3. National Multi Commodity Exchange of India Ltd.
All three have electronic trading and settlement systems and a national presence.
You can have account with ICICI DIrect or Sharekhan to do commodity trading .
The minimum amount with which you can start is 10,000
Your email address will not be published. Required fields are marked *
Subscribe to FREE Video Course + FREE Ebook + Future Email Updates
This site uses Akismet to reduce spam. Learn how your comment data is processed.
Join 1,60,000 email subscribers
FREE Video Lessons directly in your email daily
144 page PDF ebook with best articles from Jagoinvestor
Get future articles directly on your mailbox + updates
6 PART VIDEO COURSE
You are subscribed for FREE Course now, Check your Email
New here? Create an account