Depository System in India

Multi-Depository System: The depository model adopted in India provides for a competitive multi-depository system. There can be various entities providing depository services. Dematerialisation as against immobilization: The model adopted in India provides only for dematerialisation of securities. This is a significant step in the direction of achieving a completely paper-free securities market. Many of the …

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What is dematerialisation?

Dematerialisation is the process by which physical share certificates of an investor are converted to an equivalent number of securities in electronic form and credited into the investor’s account maintained with his/her depository participant (DP). It is like having a bank account where instead of money, you hold securities in your account. Format: HTML | …

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