Demat Account Potentail
SIVA SIVANI INSTITUTE OF MANAGEMENT
“IIP- 2012- SECOND PROJECT REPORT”
COMPANY: “RELIANCE SECURITIES LIMITED”
PROFILE: CAPITAL INVESTMENT MARKET
BY P.REWANTH KUMAR 2B2-36- BIFAAS * INTRODUCTION TO DEMAT ACCOUNT:
* EVOLUTION OF DEMAT ACCOUNT:
The term "demat", in India, refers to a dematerialised account for individual Indian citizens to trade in listed stocks or debentures in electronic form rather than paper, as required for investors by the Securities and Exchange Board of India (SEBI). In a demat account, shares and securities are held electronically instead of the investor taking physical possession of certificates. A demat account is opened by the investor while registering with an investment broker (or sub-broker). The demat account number is quoted for all transactions to enable electronic settlements of trades to take place.
Access to the demat account requires an internet password and a transaction password. Transfers or purchases of securities can then be initiated. Purchases and sales of securities on the demat account are automatically made once transactions are confirmed and completed.
Demat accounts are very popular in India. Demat account is the short form of Dematerialised Account. In fact according to SEBI, Demat accounts are now compulsory.
Previously during the time of Harshad Mehta (1992), the shares were trading in physical forms. And this was the reason why some fraudsters were taking the advantage of this opportunity to print fake shares and selling it to public. But after Harshad Mehta Scam, SEBI has decided to transact shares only in Dematerialised form (Electronic form) so that every transaction can be monitored and these types of scams can be avoided.
Demat account which refers to a dematerialised account. The Demat account is there for individual Indian citizens to trade in listed stocks or debentures the Securities
“IIP- 2012- SECOND PROJECT REPORT”
COMPANY: “RELIANCE SECURITIES LIMITED”
PROFILE: CAPITAL INVESTMENT MARKET
BY P.REWANTH KUMAR 2B2-36- BIFAAS * INTRODUCTION TO DEMAT ACCOUNT:
* EVOLUTION OF DEMAT ACCOUNT:
The term "demat", in India, refers to a dematerialised account for individual Indian citizens to trade in listed stocks or debentures in electronic form rather than paper, as required for investors by the Securities and Exchange Board of India (SEBI). In a demat account, shares and securities are held electronically instead of the investor taking physical possession of certificates. A demat account is opened by the investor while registering with an investment broker (or sub-broker). The demat account number is quoted for all transactions to enable electronic settlements of trades to take place.
Access to the demat account requires an internet password and a transaction password. Transfers or purchases of securities can then be initiated. Purchases and sales of securities on the demat account are automatically made once transactions are confirmed and completed.
Demat accounts are very popular in India. Demat account is the short form of Dematerialised Account. In fact according to SEBI, Demat accounts are now compulsory.
Previously during the time of Harshad Mehta (1992), the shares were trading in physical forms. And this was the reason why some fraudsters were taking the advantage of this opportunity to print fake shares and selling it to public. But after Harshad Mehta Scam, SEBI has decided to transact shares only in Dematerialised form (Electronic form) so that every transaction can be monitored and these types of scams can be avoided.
Demat account which refers to a dematerialised account. The Demat account is there for individual Indian citizens to trade in listed stocks or debentures the Securities