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NISM Certifications · NISM-Series-VI: Depository Operations · Functions of Depository Participant - Dematerialisation

After the RTA confirms a demat request, the securities are credited to the investor's account by which of the following?

After the issuer or RTA accepts the request, it confirms the demat to the depository electronically, and the depository credits the securities to the investor's account through the DP. The register is updated to show the depository as the registered owner, with the investor as beneficial owner.

  1. AThe issuer or RTA confirms the request to the depository, which then credits the investor's account electronically through the DPCorrect
  2. BThe stock exchange credits them after the next settlement
  3. CThe DP credits them from its own holdings
  4. DSEBI credits them after verifying the certificates

Explanation

Once the RTA accepts the request, it destroys the certificates, updates the register to show the depository as registered owner, and confirms to the depository electronically. The depository then credits the investor's account and the DP reflects it. The exchange, SEBI and the DP's own holdings have no role.

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