Trading money of family members and relatives

#1
Are there any processes I need to follow before I take money from my immediate and extended family, and trade on their behalf? Any licenses, tax liabilities, rules etc. I should be aware of? I was told that I will need a broker's license first before I trade someone else's money. Is it true?

Please clarify. Thanks.

Just FYI, I want to do algo trading, using Zerodha or IB APIs.
 
#4
Are there any processes I need to follow before I take money from my immediate and extended family, and trade on their behalf? Any licenses, tax liabilities, rules etc. I should be aware of? I was told that I will need a broker's license first before I trade someone else's money. Is it true?

Please clarify. Thanks.

Just FYI, I want to do algo trading, using Zerodha or IB APIs.
it is better to take sub broker ship or franchise of some national broking house. it will cost you around 1 to 1.25 lakh. plus you have to pass NCFM exams also (you will be guided by your broker in this regard). normal brkg sharing ratio is 60:40 (60 for you and 40 of brker).
the above way is what most ppl do. or you can pool in the money and trade in your account but then you have to be very careful as who has made/lost money and how much pre and post tax etc.

regds,
 

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