Skip to content

NISM Certifications · NISM-Series-VI: Depository Operations · Functions of Depository Participant - Transmission and Nomination

A demat account holder wants to cancel an existing nomination and register a different nominee. Which statement is correct?

The holder may cancel or change the nomination at any time by submitting the prescribed request to the DP. The new nomination replaces the old one once registered, and neither the earlier nominee's consent nor any court order is needed.

  1. AOnce made, a nomination can never be changed
  2. BThe holder may cancel or vary the nomination by submitting the prescribed request, and the new nomination supersedes the earlier one from the date it is registeredCorrect
  3. CThe change takes effect only after the earlier nominee consents in writing
  4. DThe change is valid only if made through a court order

Explanation

A holder can modify or cancel a nomination at any time by submitting the prescribed form to the DP, and the latest registered nomination operates. The earlier nominee's consent is not needed. No court order is required.

Did you get it right without looking?

One question tells you little. A timed set on Functions of Depository Participant - Transmission and Nomination shows your real accuracy, how long you take and where you lose marks.

Practise Functions of Depository Participant - Transmission and NominationFree diagnostic mock

More Functions of Depository Participant - Transmission and Nomination questions