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

Mr. Rajesh Iyer holds physical share certificates of an Indian listed company and wants them converted to electronic form. With whom must he submit the Dematerialisation Request Form (DRF) along with the certificates?

The investor submits the Dematerialisation Request Form and the physical certificates to the Depository Participant with whom he holds a demat account. The DP processes the request through the depository to the issuer or its RTA, so direct submission elsewhere is not the correct procedure.

  1. AThe issuer company directly
  2. BHis Depository Participant with whom he has a demat accountCorrect
  3. CThe stock exchange where the shares are listed
  4. DThe Registrar and Transfer Agent only

Explanation

A demat request is initiated by the investor through the DP where the beneficiary owner account is held. The DP then forwards the request and certificates to the issuer or its RTA via the depository. Submitting directly to the issuer, exchange or RTA is not the prescribed route.

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