Opening Demat Account Online Becomes Easy


Promising stock markets have witnessed a remarkably increased number of demat accounts. Screen-based trading using demat accounts provide solutions to trading issues faced by investors in ground-based stock exchanges transactions. 

Every investor needs a demat account to participate in the stock market. Investors are not allowed to approach stock exchanges directly. You can buy or sell shares on a stock exchange through online demat accounts and trading accounts with a registered depository participant or stockbroker with authorities in the stock market. These authorities are Depositories in India (CDSL and NSDL) and SEBI (Securities Exchange Board of India). Registered stockbrokers and DPs execute trading transactions in the stock market for investors. 

You can open your demat account online quickly following easy steps. The data shows that the number of demat accounts has increased exponentially within the past two years. Around 4 lakh new demat accounts were created every month in FY20. This figure rose to 20 lakh per month in 2021. It further increased to 29 lakh per month in November 2021. Such growth in the number of new demat accounts is about seven times higher than the monthly average in FY20. The foremost reason is that it is easy to open, operate and manage a demat account. 

The post is elaborating on some important aspects of a demat account and the ease of creating an online demat account.

Also read:- Are volatile markets safe for investment?

 

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