NISM Certifications · NISM-Series-VI: Depository Operations · Functions of Depository Participant - Transmission and Nomination
A client wants to change the order of names in his joint demat account from 'A, B' to 'B, A' without changing the holders. Which process applies?
The applicable process is transposition, which changes the order of names of existing joint holders in a demat account without altering who the holders are. Transmission applies on death, while dematerialisation and freezing are unrelated to reordering holders' names.
- ATransmission
- BTranspositionCorrect
- CDematerialisation
- DFreezing
Explanation
Transposition is the process of changing the sequence of names of the joint holders in an account while the holders themselves remain the same. Transmission involves a death or similar event, and dematerialisation converts physical shares to electronic form. Freezing restricts account operations.
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