How Many Things Can I Do With My Demat Account?


The online trading system came into existence more than two decades ago and changed the face of stock markets forever. Retail investors can directly invest in the market without worrying about the tiresome process involved in the previous offline trading system. The introduction of an online trading system based on Demat accounts in 1996 was a proud moment and a turning point for the Indian stock market.

 The rising number of Demat accounts shows that more Indians are looking beyond traditional investment options and benefitting from demat accounts in different ways. A demat account does not just make investing processes easy and fast but also facilitates investors and traders on several trading trails.

You can hold all your financial securities in your demat account and use them as a pledge to trade using the leveraging facility as margin trading with the stock brokers. Many financial institutions allow you to collateralize your demat securities to get a loan, called a loan against securities. You can diversify your investment portfolio in the US stock market using your demat account. Also, demat accounts cater to NRI investors. They can open a repatriable or non-repatriable demat account to invest in the stock market. Another significant use of a demat account is access to live share market updates. 


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