A Demat account is like a bank account for your securities or investments. The only difference is that while a bank account holds a depositor's money, the Demat account contains your stocks, debentures, bonds, government securities (Gsecs), mutual fund units, exchange traded fund (ETF) units etc. in an electronic form.
The structure of the Dematerialized system comprises a depository, which is the entity that actually holds your securities. This can be compared to a bank, which holds your money. The depository has dedicated agents called depository participants, more commonly referred to as DPs. If you want to use the services of a depository then you need to open an account with a DP, which is similar to opening an account with a bank branch.
You cannot trade in the stock market without a demat_account account
WHY DEMAT ACCOUNT REQUIRED:
- Mandatory by SEBI
- Easy Portfolio Management
- Security of Equity Investments
How to open a Demat Account:
Your first step to open a demat account is to get in touch with us - we are a depository participant (DP) with both National Securities Depositories Limited (NSDL) and Central Depository Services Limited (CDSL). Then all you have to do is fill in an account opening form, sign an agreement, provide photographs and submit documents of proof of identity, proof of address and a copy of the PAN card, we will take care of the rest of the procedure.
- Filled application form for opening Demat
- Passport size Photographs
- Proof of identity (Driving Licence, Voter's Id, Aadhar Card)
- Proof of address (Passport, Driving Licence, Voter's Id, Aadhar Card)
- Copy of PAN card