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

Mr. Arjun Mehta wants to convert his demat holdings back into physical certificates. What is this process called?

The process is called rematerialisation, where securities held in electronic form in a demat account are converted back into physical certificates. The investor submits a rematerialisation request to the DP, which routes it through the depository to the issuer or registrar for issuing the certificates.

  1. ARematerialisationCorrect
  2. BImmobilisation
  3. CTransmission
  4. DHypothecation

Explanation

Rematerialisation is the process of converting electronic holdings back into physical certificates, initiated by a Rematerialisation Request Form submitted to the DP. Immobilisation refers to keeping physical securities in custody, transmission is transfer on death, and hypothecation is a charge on securities.

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