What is stock basket trading?
Stock trading is the buying and selling of a company's shares with an aim to make a profit. When you buy shares in a company, you own a small part of that company and the value of your investment will change as the company's share price moves up and down.
Stock basket trading is a little different. Instead of investing in individual stocks, you can trade the price movements of a group of companies that are grouped together based on theme (for example, Green) or industry (for example, Mobile) with a single trade.
Another plus? Stock baskets involve cheaper holding costs than trading multiple single stocks, and are a great way to diversify both your portfolio and spread your risk.
Expecting big market news or a wave of volatility? Trade the trend of the affected industry more easily and quickly.