I have seen many pro traders who have 2 to 3 or more trading account (to neutralize pros and cons)
So, How many trading account should a trader have ? (to make the best use of it)
The answer is how effective you are with. If you are doing well with a single account, why bring unnecessary complexity. The game is already tough.
IMHO trading is about you. It’s your intimate narrative. Someone runs 4 accounts with 5 monitors, which looks like a NASA control center. And if you can manage with a 14 inch core duo laptop, with a depleted battery, and you don’t seem to have any issue with it. Then thats you.
Your strategy defines how many accounts, or charts you need to look. I need to see atleast 2 charts from 2 brokers for any chart conflict. If the broker allows multiple simultaneous logins from the same account, I need only 1 account then.
In the end, it’s all the trader’s perspective. It boils down to your need, and comfort, to execute your playbook effortlessly.
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Well it depends on what you want out of these accounts.
in my example, I use one account (Zerodha) - for mostly options. But i have another one exclusively for long term investment, so it does not clutter my Zerodha workspace. At the end of the day you will be paying same amount of Taxes and almost all discount brokers charge the same brokerage nowadays.
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The answer to this question depends upon how you want to trade. While some traders prefer to have separate trading accounts for long-term investments, intraday trading, and derivatives trading, others are comfortable using the same account for all purposes. There are no specific benefits that you can derive from opening multiple trading accounts.
If your broker is not offering all the services and features required by you to trade, then you can look at a new-age platform like Motilal Oswal that offers a wide range of services designed to cater to the needs of different types of traders.
Before you decide to open multiple trading accounts, you must also think that each of these accounts would require your time and attention. Also, tracking multiple investments through multiple accounts can use up extra time. Hence, if you are trading as a side hustle and your job or business, you might want to think about the time you can spend on trading.
Also, think about your financial goals and risk tolerance before you start trading. Then, create a plan-of-action or an investment strategy and assess how you would want to approach stock trading. While there is no harm in opening multiple trading accounts, make sure that you open them only when you need them. Else, a single trading account should suffice.
Basically all depends how much networth you have . Here account referes to different PANs ( may be wife / son / parents / relative)
if networth is less than 10L one account is more than enough.
if your networth is more than 10L best is to maintain two accounts atleast and you are working and comes in 30% sal bracket.
first account you keep for longterm investments which is your account
second account purely for trading in F&O - so that your earnings first 2.5 lacs will be exempted from Tax and also you can show it as income proof so that you can get loan eligibility for two people.
if you have more than 30 lacs you require 3 accounts to pay the optimal tax .
if it is more than 50 lacs best is open a company account and maintain two personal accounts .
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