NISM Certifications · NISM-Series-VI: Depository Operations · Introduction to Depository
Mrs. Leela Menon asks how many depositories operate in India and who holds the securities of investors in their records. Which is correct?
India has two SEBI-registered depositories, NSDL and CDSL. Investors' holdings are recorded in beneficial owner accounts opened through depository participants, who act as the depositories' agents. Neither RBI nor stock exchanges maintain retail demat accounts directly.
- ANSDL and CDSL operate as depositories, and investors' holdings are recorded in BO accounts maintained through DPsCorrect
- BOnly NSDL operates and CDSL is a DP
- CRBI acts as a depository for all equity shares
- DStock exchanges maintain all demat accounts directly
Explanation
India has two depositories, NSDL and CDSL, both registered with SEBI. Investor holdings are maintained as beneficial owner accounts through DPs acting as agents. RBI and exchanges do not maintain retail demat accounts.
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