Demat
Why DEMAT?
In the late 1970's and 1980's, buying a share meant physical certificates that were sent and received through posts, involving time, money and effort. The introduction of technology and thrust on dematerialisation proved to be the biggest transformation in the financial services industry. A Demat account converted all physical share certificates held by investors into an equivalent number of securities in electronic form, making it easy to track. With Demat, bad delivery and counterfeit of securities, counter party risk have become history.
Are you Demated?
All in one Demat Account
With constant change and multiple accounts the ability to keep track of all financial assets in one account has become a necessity. Demat lets the Investor buy, sell, modify and track accounts at Any Place, Any Time.
While in the Depositories Act, 1996, an investor was given the option of holding shares in either electronic or physical form, SEBI has since then notified that settlement of trades in listed securities should only be electronic.
Do you know?
A Demat account is not only for maintaining shares. You can also maintain other investment products like
Mutual Funds
ETFs
Corporate Bonds
Why is Demat Important ?
Paperless trading eliminates the risk of forgery, theft, signature mismatches and other fraudulent behaviour, making Demat the safest method of trading.
All transactions are credited on the same day.
External disasters such as fire and mutilation do not affect the safe upkeep of a Demat account in anyway, physical or transactional. For example - Storing Gold using your Demat account with Gold ETF.
Dematerialising ensures the real time access to all transactions for investors.
Convenience of a Demat Account
No Stamp Duty for transfer of shares held in Demat Account.
No odd-lot problem. Even 1 Share can be sold.
Easy and online access to all investments, statement online.
Purchase and sale of mutual fund schemes are only a click away.
A Single Demat account for all financial assets like Mutual Funds, ETFs and Corporate bonds.
Auto Credit of sharing during Rights/ Bonus/ Public Issues.