Page 2 - Demat Accounts

Alternative investment funds hope for Sebi leeway, clear demat guidelines

Say working with depositories on transition from physical to electronic

In the battle of brokerages, traditional brokers are fighting back

Discount brokers have sustained the rise of the equity cult and gained market share. Now the old guard looks to strike back

In a first, India's unique investor count tops 80 million: NSE data

NSE says 17% of Indian household now invest directly in stocks

Sebi extends deadline to add nominees for demat account holders till Dec 31

Capital markets regulator Sebi on Tuesday extended the deadline by three months to December-end for existing demat account holders to provide choice of nomination or formally opt out of nomination through a declaration form. Additionally, submission of 'choice of nomination' for trading accounts has been made voluntary by the regulator as a move towards ease of doing business. Earlier, the deadline for existing eligible trading and demat account holders to provide a choice of nomination was on or before September 30. The move is aimed at helping investors to secure their assets and pass them on to their legal heirs. "Based on the representations received from the exchanges, depositories, brokers' associations and various other stakeholders, submission of 'choice of nomination' for trading accounts has been made voluntary as a step towards ease of doing business. "With respect to demat accounts, it has been decided to extend the last date for submission of 'choice of nomination' to

Demat accounts grow 26% to 127 mn in Aug on returns from equity markets

The number of demat accounts rose to 12.7 crore in August 2023, a surge of 26 per cent on a yearly basis, primarily due to attractive returns from equity markets, and ease of account opening process. Also, the incremental additions of such accounts were higher in August in comparison to the preceding month. Further, this was way higher than the average 21 lakh monthly additions in fiscal year FY23, according to an analysis by Motilal Oswal Financial Services. The new account additions rose 4.1 per cent month-on-month to 31 lakh in August compared to 30 lakh additions in July. Going by the data, a total of 12.7 crore demat accounts were registered with the two depositories -- NSDL and CDSL-- at the end of August 2023 as compared to 10.1 crore a year earlier. The number of demat accounts was 12.3 crore at July-end. Of the 12.7 crore total, 3.3 crore, and 9.35 crore demat accounts were registered with NSDL and CDSL, respectively at the end of August, data from the Securities and ..

Deadline to add nominees for MF investors, demat account ends on Sep 30

All individual demat account holders and mutual fund investors have time till September 30, to nominate a beneficiary or opt out of it by submitting a declaration form, failing which their demat accounts and folios will be frozen, and they will not be able to redeem their investments. This mandate applies to both new as well as existing investors, according to the Securities and Exchange Board of India (Sebi). The move is aimed at helping investors to secure their assets and pass them on to their legal heirs. "This will ensure smooth and hassle-free transfer of securities to the legal heirs of the investors in case of any unfortunate event," Tejas Khoday, co-founder and CEO at FYERS, said. Under Sebi's rule, new investors must either nominate their securities or formally opt out of nomination through a declaration form when opening trading and demat accounts. For existing investors, including jointly-held mutual fund folios, failing to meet this deadline will result in the freezin

Over 3 million: August demat additions highest in 19 months, shows data

The new additions in August were up 2.4 per cent month-on-month and were 47 per cent higher than the previous 12-month average of 2 million

Panel to decide reversal of erroneous transfers in demat accounts

Depositories approached Sebi, highlighting the challenges faced concerning obtaining OTP for such trade reversal

Sebi provides facility to remedy erroneous transfers in demat accounts

Capital markets regulator Sebi on Tuesday decided to provide a facility for exemption from one-time password (OTP) to facilitate the reversal of erroneous transfers of securities in demat accounts. Under the rule, all off-market transfer of securities will be permitted by the depositories only by the execution of a physical Delivery Instruction Slip (DIS) duly signed by the client himself/herself or by way of electronic DIS. The depositories also put in place a system of obtaining the client's consent through OTP for such off-market transfer of securities from the client's demat account. The facility came after Sebi received representations from depositories regarding the challenges being faced with regard to obtaining OTP in case of reversal of erroneous transfers in the demat accounts, and was requested to address the issue. "It is decided that a well-balanced and operational mechanism for exemption from OTP may be provided for reversal of such erroneous transfers in the demat ..

Demat additions slow in April despite sharp market rally, shows data

Market experts said that a combination of direct equity investors reaching a saturation point and less number of initial public offerings or IPOs in the market have contributed to this trend

Deadline for nomination for demat, trading accounts extended till Sept 30

Decision taken on the basis of assessment of accounts where it has not been updated yet, says Sebi

Declare nominee by March 31 or risk having your demat, MF folio frozen

Appointing a nominee is vital as it protects the family of a person who has passed away from a lot of hassles

NSDL warns brokers 'opting out' of demat nomination without investors' nod

Some brokers were opting out on behalf of investors who hadn't submitted choice of nomination and whose trading accounts will become inactive after March 31 if they don't exercise their choice by then

Freeze demat accounts of MDs and CEOs for non-compliance, says Sebi

Regulator proposes to beef up listing obligations and disclosure norms

CDSL demat tally tops 80 million, overall count crosses 111 million

2.2 mn new accounts added in January, highest since August last year

Demat additions in Jan hit six-month high to take total past 110 mn

Nearly 2.2 mn new accounts added despite turbulence in the market

Demat accounts rise 39% to 106 million in Nov 2022: Economic Survey

The number of demat accounts rose to 10.6 crore in November 2022, a sharp surge of 39 per cent on yearly basis, Economic Survey 2022-23 said on Tuesday. However, the incremental additions of demat accounts have been on a declining trend during FY23 relative to FY22, probably because of the increased volatility in the secondary market and subdued primary market performance, amid prevailing global headwinds during the current financial year, it added. During FY23 (till November 2022), 1.71 crore demat accounts were added as compared to 2.2 crore demat accounts during the year-ago period. As per the survey, the number of demat accounts was at 10.6 crore in FY23 (till November 2022) from 7.66 crore at the end of November 2021, registering a growth of 39 per cent. Market experts attributed the growth in demat to attractive returns from the equity markets, ease of account opening process and increased financial savings. The Indian stock market saw a resilient performance, with the bluec

Number of Demat accounts rises 34% to 10.8 cr in Dec on attractive returns

The number of demat accounts rose to 10.8 crore in December 2022, a surge of 34 per cent on yearly basis, on attractive returns from the equity markets, ease of account opening process and increased financial savings. Also, the incremental account additions of such accounts were higher in December in comparison with the preceding three months, however, below the financial year 2021-22 (FY22) average run-rate of 29 lakh. The incremental additions of such accounts were 21 lakh in December 2022, compared to 18 lakh each in October and November and 20 lakh in September, according to an analysis by Motilal Oswal Financial Services. This decline is mainly due to volatility seen in 2023 on account of Russia-Ukraine war, high-interest rate environment and rising inflation and hawkish US Federal Reserve policies, Nistasha Shankar- Head PRS Equity Research, Yes Securities, said. Also, a lesser number of new initial public offerings (IPOs) hitting markets in 2022 compared to 2021 has also ...

Demat additions lukewarm despite market's extended run in November

About 1.8 million new accounts added, 20% below monthly average for calendar 2022

Demat accounts up 41% to 10.4 cr in Oct; incremental additions slowing down

The number of demat accounts rose to 10.4 crore in October, 41 per cent higher from a year earlier, on attractive returns from the equity markets, even as incremental additions of such accounts have been on a declining trend for the past few months. According to an analysis by Motilal Oswal Financial Services, incremental additions of demat accounts have been continuously declining since August. The additions stood at 26 lakh in August, fell to 20 lakh in September and further dropped to 18 lakh in October 2022. The incremental addition in dematerialised (demat) accounts was 36 lakh in October 2021. The primary reason for the declining trend in additions of new demat accounts is the market volatility seen in the current calendar year due to global factors and relative under-performance of broader markets compared to frontline indices, said Roop Bhootra, CEO Investment Services, Anand Rathi Shares and Stock Brokers. Lesser number of new initial public offerings (IPOs) hitting market