Depositories Flashcards
What are depositories
Similar to bank safeguard your money
Depositories safeguard shares using share account
In India who are the ones and when started and located
Central Depositories Services India Ltd CDSL in 1999 for BSE
National Securities Depository Limitrd NSDL in 1996 for NSE
Both are based in Mumbai
Depositories owners
NSDL promoted by NSE, IDBI Bank, unit trust of India
CSDL promoted by BSE, SBI, and others
Who is the regulator
SEBI
What type of instruments are stored
Shares, debentures, mutual funds, and others
Demat account length and type
CDSL has 16 digit number
NSDL has 16 digit with IN and 14 digits
Depository benefits
Hold the shades
Help companies to issue dividends
Transfer of shares between accounts
Who are Depository participant DP
Financial institution, custodian, of a broker
Open demat account with DP