"What should I do first if I want to trade in stocks?" "Should I go to the sales department to open an account?" "What is the impact of the commission level?"
When I first came into contact with stocks, these questions confused me. After asking old stock investors around me, I found out that opening an account is no longer the old fashioned way. It can be completed with just a few clicks on your mobile phone, and the whole process takes no more than 20 minutes. However, novices tend to get into trouble in the steps of "selecting a brokerage" and "filling in information." I paid a lot more handling fees because I didn't choose the right brokerage.
Today, I will sort out the complete process of opening a stock account and avoid pitfalls. From the core criteria for selecting a securities firm to the first transaction after opening an account, I will teach you step by step to avoid detours for novices.
You must understand before opening an account: 3 core questions, understand them first before taking action
Please clarify these issues before opening an account to avoid opening the wrong account in confusion and causing trouble in the future.
1. There is no fee to open an account, only fees are charged for transactions.
Many novices think that there is a fee for opening an account. In fact, all brokers now open accounts for free. What really incurs fees is "at the time of transaction". For example, if you buy a stock worth 10,000 yuan, you will be charged a few yuan in commission. When you sell a stock, you will also need to add a stamp tax of one thousandth. Opening an account itself doesn’t cost a penny, so you can go through the process with confidence.
2. One person can open up to 3 accounts, no need to open multiple accounts
A-share regulations stipulate that one person can open up to 3 Shanghai A accounts and 3 Shenzhen A accounts, that is, open accounts at up to 3 securities firms. There is no need to open too many, just choose 1-2 commonly used ones. If there are too many, it will be difficult to manage and it will be troublesome to log out later. If you have opened it before and forgot, I will explain how to check it later.
3. It is most convenient to open an account online, no need to visit the sales department
Now 99% of people choose to open an account online, which can be completed through the brokerage APP or official mini program. Only in special circumstances (such as expired ID cards and incorrect account opening information) do you need to go to the offline sales department. Newbies can directly choose online channels, saving time and effort.
The crucial first step: Choose the right brokerage firm, you can save a lot of money in a year
Choosing a securities firm is not as simple as "watching advertisements" or "listening to recommendations". It depends on three core dimensions, which are directly related to the cost and experience of your subsequent transactions.
1. Commission: The lower the better, but don’t be greedy for “extremely low”
The commission is the transaction fee charged by the brokerage, which is calculated in proportion to the transaction amount. For example, if you buy a stock worth 100,000 yuan, you will receive a commission of 30 yuan. This is the core factor that affects transaction costs, and the difference is very big in the long run: assuming you trade 100,000 yuan a day, you will have to pay 12,500 yuan in commission for 30,000 yuan a year (250 trading days). If you trade 10,000 yuan, you will only pay 3,000 yuan, which saves 9,500 yuan a year.
2. APP experience: convenience is more important than anything else
You have to use the brokerage APP every day to check the market and trade. The interface is messy, stuck, and the functions are difficult to use, which will greatly affect your mood. When choosing an APP, focus on three points: first, the market refreshes quickly and the delay is low; second, the transaction operation is simple, and buying, selling, and bank-securities transfers can be found in one step; third, it has novice guidance functions, such as "New Stock Subscription Reminder" and "Introductory Tutorial".
3. Customer Service: Find people at critical moments
Novices will inevitably encounter problems after opening an account, such as "the transfer cannot be transferred" and "forgot the password". At this time, it is important to be able to contact customer service quickly. When choosing a securities firm, pay attention to the customer service channels: Is there 24-hour online customer service? Can the phone get through? Is the offline sales department close by (although accounts are opened online, emergencies can be resolved offline).
I used to use a niche brokerage, but I forgot my password and asked customer service. I queued online for 2 hours and the phone was always busy. I finally had to go to the sales department to get it fixed. It was very frustrating. Give priority to large comprehensive securities firms, as customer service response speeds are generally faster.
Practical operation of opening an account: 6 steps, completed in 20 minutes via mobile phone
After selecting a brokerage firm, enter the formal account opening process. Taking the mainstream brokerage APP as an example, there are 6 steps in the process, just follow them, and there are pitfall reminders at every step.
1. Download the official APP and don’t click on phishing links.
Search for the official APP of the brokerage in the mobile app store (look for the "official" logo). Do not download it from text messages or web pop-ups to avoid downloading fake APPs that leak information. After opening the APP, find the "Account Opening" entrance, usually in a prominent position on the homepage, and click to enter.
2. Register with your mobile phone number and fill in the invitation code to save commissions
Use your mobile phone number to receive the verification code to complete the registration. This step is very simple. Note that if an account manager gives you an "invitation code", you must fill it in. Only by filling it in can you enjoy the agreed low commission. If you do not fill it out, the default high commission (such as 30,000 yuan) will be calculated. It will be troublesome to change the commission later.
3. Identity verification: take the right photo and pass in one go
This is the step that is most likely to get stuck. You need to upload photos of the front and back of your ID card and take a real-time face shot. Tips to avoid pitfalls: First, the ID card photo should be taken clearly, with complete borders and no reflections; second, when taking photos of faces, look for a well-lit place, take off hats and glasses, look directly at the camera, and don’t make exaggerated expressions; third, make sure it is done by yourself. Opening an account on your behalf is against the rules and will be rejected.
The first time I took a photo of my ID card, it was not approved because of the dark light. I took two more photos to get it done. Everyone can pass the photo once as required.
4. Bind bank card: use common debit card, not credit card
The bound bank card must be your own savings card (debit card). Credit cards cannot be used for stock trading. It is best to bind a commonly used salary card to make subsequent bank transfers more convenient. Check carefully when entering your bank card number and account opening bank information. Don’t enter the wrong numbers, otherwise the transfer will fail.
5. Risk assessment: fill it in truthfully, don’t make random choices
The system will pop up a series of questions, such as "How long is your investment experience?" "How much loss can you bear?" Just fill in the questions based on your actual situation. This assessment is to determine your risk tolerance. For example, conservative investors cannot buy stocks on the GEM and the Science and Technology Innovation Board to prevent you from losing money by following the trend and buying high-risk products.
Don't deliberately fill in "high risk" in order to buy more stocks. For example, you are obviously a newbie, but you fill in "have 5 years of investment experience and can withstand 50% loss." If you subsequently buy high-risk stocks, the brokerage will not be held responsible. The best one is the one that suits you.
6. Sign the agreement and wait for review
The last step is to sign a bunch of account opening agreements. You don’t need to read them word for word, just turn to the end and sign (all are required for compliance). After submitting all the information, wait for the brokerage to review it. Generally, it can be passed on the same day, and it can take 1-2 hours at the earliest. The review results will be sent to your mobile phone via text message, which contains your capital account number. Write it down or take a screenshot and save it.
Must do after opening an account: 3 things, otherwise you won’t be able to trade
Receiving a text message that the account is successfully opened does not mean that you can buy stocks immediately. You must do these three things before you can officially start trading.
1. Set a transaction password, not the same as the bank card password
Log in to the brokerage APP and set the transaction password and fund password first. The transaction password is used to buy and sell stocks, and the fund password is used to transfer money from the stock account to the bank card. It is best for the two passwords to be different. Do not use the bank card password to ensure the safety of funds. If you can't remember it, write it down in your notebook, don't save it on your phone.
2. Bank-securities transfer: transfer money to stock account
Find the "Bank to Securities Transfer" function in the APP, select "Bank to Securities", enter the transfer amount and fund password, and the money will be transferred to the stock account. Note that the transfer time is consistent with the stock trading time: 9:30-11:30 and 13:00-15:00 on working days. Transfers are received in real time during this time period and can be used to buy stocks immediately; transfers outside trading hours will be delayed until the next trading day.
For your first transfer, you can try transferring a small amount of money first, such as 1,000 yuan, and then transfer larger amounts after you are familiar with the process.
3. Open permissions (optional): To buy GEM and Science and Technology Innovation Board, you need to open it separately.
If you want to buy stocks on the GEM (stock code starting with 300) or the Science and Technology Innovation Board (starting with 688), you need to open separate permissions. The GEM requires "account opening for more than 2 years + 20 trading days with average daily assets of more than 100,000"; the Science and Technology Innovation Board requires "account opening for 2 years + 20 trading days with average daily assets of more than 500,000". Once the conditions are met, you can apply for activation in the APP without going to the sales department.
If a novice who has just opened an account does not meet the requirements, first focus on the main board stocks (starting with 60 or 00). Don't rush to open high-risk permissions. Lay a solid foundation first.
Summary: Core memory points for account opening
1. Select a securities firm: commission (12,000-25,000), APP experience, and customer service, all three are indispensable;
2. Account opening process: registration → identity verification → card binding → risk assessment → signing agreement → waiting for review, it will be completed in 20 minutes;
3. After opening an account: Set a password → Bank-securities transfer → Activate permissions (optional) before you can start trading;
4. Avoid pitfalls: Don’t click on phishing links, don’t make commissions too low, fill in the information truthfully, and don’t recommend stocks randomly.
In fact, opening a stock account itself is very simple. What is difficult is rational investment after opening the account. Opening an account is only the first step in stock trading. Later, you need to learn to read the market and analyze the company's fundamentals. Don't think about "getting rich overnight." Novices can start with small capital trading, accumulate experience, and slowly find an investment rhythm that suits them, so that they can move more steadily in the stock market.
