List of Demat Account Articles

Share market investing in the bygone days involved a lot of paperwork. It was complicated and cumbersome until dematerialisation of shares made buying, selling, and holding shares effortless.

Demat accounts are fairly similar to bank accounts. However, the key difference is that they hold securities and financial instruments instead of money. These accounts have become the preferred method of storing securities and are regulated and maintained by depositories such as the NSDL or CDSL in India, and traders generally avail their services through brokerage firms..

You are on your favourite trading app (like IIFL), and you’re watching happily as the stock you bought some time ago has risen to reach your target profitable price.

As the trading world has shifted to the online space, it has become more and more accessible to the average investor accompanied by several useful tools and platforms.

To invest in shares, bonds, mutual funds and other varied financial securities, it is mandatory to open a Demat account. It is also important to note that any profits booked by you by selling shares in your Demat account are liable to tax. That is why you need to be aware of tax implications on your Demat account according to the provisions of the Income Tax Act 1961.

In some respects, a Demat account is like a bank account. You have equity shares and other securities in your Demat account just as you keep your cash balances in your bank account. Shares were historically held in physical (share certificates) form (before 1997)

If you want to participate in an Initial Public Offering (IPO), purchase shares, and start trading in stock markets, one of the first requirements is to have an online Demat Account. A Demat or dematerialised account holds your shares and securities in the electronic format.

The capital markets of India have flourished magnificently over the past two decades. The equity market capitalization grew from Rs 6.1 lakh crore to more than Rs 255.003 trillion, as of October 2021.

Share market investing in the bygone days involved a lot of paperwork. It was complicated and cumbersome until dematerialisation of shares made buying, selling, and holding shares effortless.

Demat accounts are fairly similar to bank accounts. However, the key difference is that they hold securities and financial instruments instead of money. These accounts have become the preferred method of storing securities and are regulated and maintained by depositories such as the NSDL or CDSL in India, and traders generally avail their services through brokerage firms..

Read on to know common misconceptions about Demat account as well as the facts on the topic. Click here to read more on myths about Demat account at India Infoline.

Every Indian citizen is liable to pay taxes as per their tax obligation and applicable tax bracket slabs. In the process of filing income tax, the first step is to file the returns. However, your taxes are not filed completely until you verify the filed returns.

Buying real estate such as vacation homes, a residence, or an office is among a few of the investment opportunities Indians abroad seek to invest in.

You are on your favourite trading app (like IIFL), and you’re watching happily as the stock you bought some time ago has risen to reach your target profitable price.

If an investor is holding physical share certificates, then as per the SEBI Regulations these shares have to be dematerialized before they can be sold. Since more than 99% of the shareholdings are in demat mode, it makes sense to convert your physical certificates, if any, into electronic credits in demat account.