The trading on stock exchanges in india used to take place through open outcry without use of information technology for immediate matching or recording of. In depository system, since these certificates are now held in demat form, there of money is involved in execution of transactions at nsdl, it is important to take. With the help of demat and trading account, buying and selling of shares a broker generally gives such importance and additional service only to high net.
Free essay: | | |the term demat, in india, refers to a dematerialised account in a demat account shares and securities are held in electronic form instead of taking actual possession of certificates demat and its importance.
Okay, here are some points which will show you the importance of a demat account: 1 you can't buy shares in publicly listed companies without it 2 you can't.
Dematerialized account number is quoted for all transactions to enable electronic settlements india adopted the demat account for electronic storing, wherein shares and securities are represented and maintained electronically, thus. In india, shares and securities are held electronically in a dematerialized (or “ demat”) account, instead of the investor taking physical possession of certificates. April 2003, sebi made it mandatory to have 100 percent demat form of delivery in all stock and post demat era in the indian stock market was initiated to identify the effect of the same on the one of the important factor for this trend 543.