Understand the importance of Demat account
A Demat account (Short form of dematerialized account) is an account through which all mammal documents are converted into electronic documents. In order to admission a Demat account, you dependence to have the internet along in imitation of the username and password of the account.
• Benefits of Demat system
• This is an easy and most convenient way to stock every securities and shares for a longer period.It is considered to be safer than the paper documents as they are prone to any damage or theft or any misuse. That is why companies prefer fiscal dematerialization of invoices (dématérialisation fiscale des factures) as it can be saved for a long period.
• If you need to transfer your securities, less paperwork is needed.
• The transaction cost is also reduced compared to the physical document transaction cost.
• A single Demat account can hold both equity and debt shares in it
• The traders can work anywhere online as all the securities and shares are available in their Demat account and they can use that account anywhere in the world.
abet to the company
The depository system will shorten the cost for the transaction and the company can have an lively cost-cutting process even though carrying out the process through a Demat account. It provides fine communication and timely services to every shareholders and investors.
Benefits to investors
The fortune-hunter is safe from the risk of holding the swine security documents as they infatuation to preserve the document upon their own risk for a long time. The delivery problems due to signature issues can be minimized afterward the electronic transfer. No stamp duty is paid upon any transfer of shares.