Investing Safely is Not Enough, Keep Your Investments Safe as Well

Spread the love

Earlier when you wanted to invest money in financial instruments like shares, mutual funds, bonds or carry out investment at a stock exchange, you had to take physical possession of their security certificated. The entry of Demat account in 1996 eliminated this tedium of paperwork. It is popularly known the gateway to stock ownership. It is a lot more.

Now, you can hold certificates of bonds, shares, mutual funds, and gold funds in an electronic form in your Demat account. You can easily open a Demat account with a registered DP (Depository participant), like stockbrokers, commercial banks, among others who are registered with SEBI. However, as there is no free lunch for life, likewise, to make your investments seamless you need to pay a small amount when you open a Demat account. You need to have a PAN card, address proof, a canceled cheque, and you are ready to go!

These Demat accounts not only makes your investments safely but also keeps your investments safe. Here are myriad of reasons how a Demat account ensures the security of your finances: 

Keep Your Investment Certificates Safe

Earlier, you would have had to continuously worry about keeping your investment papers and certificates safe. Physical deeds and securities can be forgotten, stolen, lost, or sometimes destroyed in a fire. However, with a Demat account you can easily hold your investment certificates and transaction statements in an electronic form/dematerialized form. Your certifications can no longer be stolen or lost. So, decrease the risk of inefficiencies, such as delayed settlements and deliveries with a Demat account and have less cumbersome transactions while investing.

Transfer Your Shares in a Blink of an Eye

Previously when you had to transfer your shares from one place to another or from one company to another, it followed a long paper trail. However, with everything saved in an electronic form in your Demat account helps your transfer your shares with just a tap on the screen on your smartphone or laptop. Demat account also helps in eliminating the risk of false documents and frauds while transferring the shares.

Also, in case of change of any contact details, such as your phone number or your address, you can easily change the address or phone number through your Demat account, and accordingly it conveys to all the companies you have invested in.

Track & Monitor Your Investments Easily

As a Demat account holder, all your investment records, transactions, and statements are at your fingertip with the help of your unique login ID and password. You can easily track and monitor all your investments from the comfort of your home. Conduct investing and monitoring of your investments using facilities of the internet on your laptop, smartphone, or other handheld devices and increase the potential for profits with your interest and participation.

Gone are the days when investments entailed a lengthy process with much paperwork- it is the time for a smooth way of investing with Demat accounts. In India, you can check out various DP’s to apply for the best Demat account in India. Demat account options available with reputable financial institutions like Axis bank opens a at nominal charges and let you keep all your investment certificates together under one roof. So, along with a Demat account, you will go a long way in making your investments safer and more robust!

Facebook Comments
About Miss Newshand 701 Articles
A gossip queen, informer & reporter, Miss Newshand keeps you informed about all the things happening on TV, Technology, Bollywood & Indian Politics. For all the latest scoop Follow @missnewshand