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FAQS:
What is a 'Depository'?
A Depository is an entity, which holds
shares in Demat/electronic form, at the request of the investor though the
medium of a Depository Participant.
How many depositories are there in
There are two depositories in
Who is a Depository Participant?
A Depository Participant (DP) is an agent
appointed by the Depository and is authorized to offer depository services to
all investors. An investor cannot directly open a Demat account with the
depository. An investor has to open his / her account through a DP only. The DP
in turn opens the account with the Depository. The DP in turn takes up the
responsibility of maintaining the account and updating them as per the
instructions given by the investor from time to time. The DP generates and
provides the holdings statement from time to time as required by the investor.
Thus, the DP is basically the interface between the investor and the
Depository. We being a DP with CDSL will be opening your Demat account. The
balances in your account are maintained with the depository and are available
to you through us.
Who is a Beneficiary Owner (BO)?
The person who holds a Demat account is a
beneficiary owner. In case of a joint account, the account holders will be
beneficiary holders of that joint account.
What is a BO Id?
The Demat account number of the beneficiary
holder(s) is known as the BO Id.
What is a DP Id?
A DP
Id is the number of the depository participant allotted by the
depository.
Why should I have a Demat account? /
Why should I prefer to buy shares in the depository mode?
As an investor you will enjoy many benefits
if you buy and sell shares in the depository mode. The following are some of
the benefits you will enjoy: -