Latest news with #VijayChandok
Mint
4 days ago
- Business
- Mint
NSDL has onboarded majority of new brokers, says CEO Vijay Chandok
National Securities Depository Ltd (NSDL) has onboarded the majority of new brokers entering the market in recent quarters, surpassing its competitor in this segment, according to the company's managing director and chief executive Vijay Chandok. 'These newly onboarded brokers are primarily new-age players who are currently small but are expected to grow significantly in size and scale,' Chandok told Mint, speaking after NSDL's press conference in Mumbai announcing the price band for its initial public offering (IPO). Bringing in new brokers could be a key move for NSDL, especially as rival Central Depository Services Ltd (CDSL) currently leads in terms of new demat account openings. As of FY25, CDSL had 37.38 million new investor accounts, while NSDL had added 3.68 million. The next growth driver and a natural opportunity in the market for NSDL is by providing better settlement pricing, said Chandok. NSDL has removed the settlement fees per debit instruction for the first 36 months from the date of opening a new demat account for individuals below the age of 24. 'The YUVA plan is meant for the young investors, because we see this as a growing market, and to facilitate this opportunity, we have brought the pricing of settlement to zero,' Chandok said. Settlement fees refer to the charges paid to the depository for transferring the ownership of shares between buyers and sellers. The transaction revenue per account for NSDL has fallen from ₹ 72 in FY21 to ₹ 63 in FY23, according to NSDL's draft red herring prospectus (DRHP). 'You will find younger investors coming as compared to the senior guys who have participated earlier in the market, they tend to have lower per capita capability, which brings down the average.' This number is naturally expected to fall further as more young investors come in, he said. But, as more investors come, there are more opportunities to generate revenue, he said. On the slow adoption of same-day trade settlement (T+0), Chandok said that was for brokers to decide. 'We are very supportive of all the regulatory changes as it is in the interest of market risk and a safer environment. In that spirit, we would have already provided this service to our brokers, and now it is really for the brokers to follow and then implement it,' Chandok said. However, Chandok said that the market participants will have to wait for it to play out as 'we have seen things moving from T+2 to T+1'. Chandok said the agenda for further investments in technology will be laid out soon. 'All of that is self-sustained in terms of financing as the company is cash-rich,' Chandok added. Investments in technology started during Covid 19, when companies had to meet the regulatory requirement of conducting AGMs. NSDL launched e-AGM, which revolutionized or changed the way people conduct and attend AGMs, Chandok said. NSDL also launched a product for debt capital markets — a DLT-based platform for covenant monitoring, he added. NSDL has the highest market share by value of securities in demat form at ₹ 464 trillion in FY25 compared with CDSL's ₹ 71 trillion. NSDL has set its price band ₹ 760-800 per share for its IPO. At the upper end, the company is expected to raise ₹ 4,000 crore. The issue an offer for sale (OFS) of 50.1 million shares. Among the sellers offloading their stakes would be IDBI, State Bank of India, National Stock Exchange, Union Bank of India, HDFC Bank, and Specified Undertaking of the Unit Trustof India. The IPO will open for subscription on 30 July and close on 1 August.
Time of India
09-06-2025
- Business
- Time of India
Explained: Why holding mutual fund units in demat form makes sense
We live in an age where everything is becoming digital — faster, smarter, and more transparent. The financial sector has been relentlessly trying to innovate to make transactions seamless and investment journeys more efficient. Those who've witnessed the open outcry system of stock exchanges will gladly recall how the shift to online trading and the dematerialization of securities marked a defining leap. What once took days and physical paperwork, now takes just minutes — with a few clicks on a screen. And now, we are witnessing the logical evolution in this journey: Mutual Funds in demat form. Over a decade and a half ago, the Securities and Exchange Board of India ('SEBI') enabled investors to hold Mutual Fund investments — earlier available only as Statement of Account ('SOA') — in demat form through the stock exchange infrastructure. Best MF to invest Looking for the best mutual funds to invest? Here are our recommendations. View Details » by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Help abandoned elders today HelpAge India Donate Now Undo Since then, the depository ecosystem has continually evolved, enabling investors to manage their Mutual Fund holdings with ease. Today, you can convert your Mutual Fund SOA into demat form through your existing account — without the need to open a separate one. This facility is available to the Non-Resident Indians too, offering a unified experience for all investors. Each mutual fund scheme is assigned a unique ISIN, simplifying tracking and portfolio consolidation. Investors can subscribe to fresh units, Systematic Investment Plans , Equity Linked Savings Schemes, and/or New Fund Offers directly through their stockbroker and the units are credited straight into their demat account. Redemption is equally effortless—through your Depository Participants, broker, or electronically via NSDL 's SPEED-e services. Live Events Holding Mutual Fund units in demat form offers several advantages: a single consolidated portfolio view, automatic updates across all holdings, the ability to pledge for margin or loans, simple off-market transfers for gifting, and unified nomination—all within one digital framework. In a nutshell, this evolution aims to bring greater control, efficiency, and transparency to your mutual fund investments. While investors should factor in demat maintenance charges and brokerage fees. At NSDL, we remain committed to trying to enhance investor experience by building digital infrastructure that aims to support financial inclusion and investor empowerment . We believe holding mutual funds in demat form is not just a technical upgrade—it is the foundation of a more connected, secure, and simplified future of investing. So, start your investment journey by holding mutual fund units in your demat account. (The author Vijay Chandok is Managing Director and CEO, NSDL. Views are own) ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Economic Times
09-06-2025
- Business
- Economic Times
Explained: Why holding mutual fund units in demat form makes sense
iStock The system simplifies investing. NSDL highlights this as a transformative step in India's financial evolution. We live in an age where everything is becoming digital — faster, smarter, and more transparent. The financial sector has been relentlessly trying to innovate to make transactions seamless and investment journeys more efficient. Those who've witnessed the open outcry system of stock exchanges will gladly recall how the shift to online trading and the dematerialization of securities marked a defining leap. What once took days and physical paperwork, now takes just minutes — with a few clicks on a screen. And now, we are witnessing the logical evolution in this journey: Mutual Funds in demat form. Over a decade and a half ago, the Securities and Exchange Board of India ('SEBI') enabled investors to hold Mutual Fund investments — earlier available only as Statement of Account ('SOA') — in demat form through the stock exchange then, the depository ecosystem has continually evolved, enabling investors to manage their Mutual Fund holdings with ease. Today, you can convert your Mutual Fund SOA into demat form through your existing account — without the need to open a separate one. This facility is available to the Non-Resident Indians too, offering a unified experience for all investors. Each mutual fund scheme is assigned a unique ISIN, simplifying tracking and portfolio consolidation. Investors can subscribe to fresh units, Systematic Investment Plans, Equity Linked Savings Schemes, and/or New Fund Offers directly through their stockbroker and the units are credited straight into their demat account. Redemption is equally effortless—through your Depository Participants, broker, or electronically via NSDL's SPEED-e services. Holding Mutual Fund units in demat form offers several advantages: a single consolidated portfolio view, automatic updates across all holdings, the ability to pledge for margin or loans, simple off-market transfers for gifting, and unified nomination—all within one digital a nutshell, this evolution aims to bring greater control, efficiency, and transparency to your mutual fund investments. While investors should factor in demat maintenance charges and brokerage NSDL, we remain committed to trying to enhance investor experience by building digital infrastructure that aims to support financial inclusion and investor empowerment. We believe holding mutual funds in demat form is not just a technical upgrade—it is the foundation of a more connected, secure, and simplified future of investing. So, start your investment journey by holding mutual fund units in your demat account. (The author Vijay Chandok is Managing Director and CEO, NSDL. Views are own) (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
