What is Dematerialisation & How to Open a Demat Account

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What is Dematerialisation How to Open a Demat
Account
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WHAT IS DEMATERIALISATION

• Demat stands for dematerialisation.
  Dematerialisation is the process of converting
  physical financial instruments such as share
  certificates, mutual fund investments, and bonds
  into electronic form.
• A demat account is similar to a bank account.
  When you receive your bank statement, you will
  see 2 columns deposits and withdrawals of money
  and balance money in the account on the last day
  of the statement. Similarly, a demat statement
  will show the investments you have bought, sold
  and the balance investments held on the last day
  of the statement.

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DEMATERIALISATION OF SHARES

• An Investor who needs to dematerialise his shares
  needs to open a demat account with Depository
  Participant, a market intermediary through which
  investors can avail the depository services.
• This physical shares are then surrendered by the
  investor and in return he gets electronic shares
  in his demat account.

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ADVANTAGES OF DEMATERIALISATION
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How to Open a Demat Account
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THANK YOU
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