Demat Account related FAQs

What are the benefits of holding shares in a demat account? Is it mandatory for all investors to open a Demat account in order to trade on the stock market?

In the event of a purchase, shares held in depository can be immediately transferred. There is no stamp duty that must be paid for securities transfers. All risks associated with physical certificates such as fake securities, bad delivery, and other issues are not required. This is not the case. It is recommended that securities be kept in demat format with all depository participants (DP) as more than 99% settlements at stock exchanges take place in the demat format.


What are the charges for a Demat account?


In my Demat account what are the value added facilities?


To prevent the misuse of securities in the Demat account, what precautions one must take?


With Identical names, can I open multiple accounts with one DP?


Can we open a depository account with four holder's name?


In a demat account opening form, what is the given standing instruction ?


Can someone be allowed to operate my demat account on my behalf with the powe of attorney?


Define clearing account. How is it different from beneficiary amount?


How much Demat accounts can I add to my trading account?


How many Demat account is needed?


In Demat account is there any Nominee facility?


For how long I can hold shares of a company? Is there any change for holding shares for long time?


How can someone safeguard their Demat account with power of attorney to broker?


Are there different categories of Power of Attorney?


Is there any validity of Power of Attorney for Demat account?


Are there any additional charges related to the Demat Power of Attorney?


Is there any time bound Power of Attorney allowed by the broker?


Is it necessary to print Power of Attorney to the stamp paper?


Can Power of Attorney be signed online?


Can Power of Attorney be misused by a broker?