WHAT IS DEMAT ACCOUNT...

 A Demat account (in short Dematerialized account) is an account to hold financial securities (equity or debt) in electronic form. 

In India, Demat accounts are maintained by two depository organizations, National Securities Depository Limited and Central Depository Services Limited.

Demat Account allows investors to hold shares and securities in electronic format, with an aim of facilitating safe, easy, and convenient trade for users.

A Demat account can be held by a single as well as in joint ownership. A joint Demat account can have a maximum of three account holders, which includes the main holder plus two joint holders. In effect, the joint holders acquire rights to the shares held in the joint Demat account.

You can access your Demat account online which is your storehouse for your shares, stocks, bonds, mutual funds, equities, and other derivatives. Apart from some debt instruments like bank and company fixed deposits, most of the instruments can be held in a single Demat account

The list of 9 best Demat accounts in India.

• HDFC Securities Demat account. 

• Upstox Demat account. 

• TradeSmartonline Demat account.

• Sharekhan demat acccount.

• Angel Broking Demat account.

• Motilal Oswal Demat account.

• ICICI Direct Demat account.

• Zerodha Demat account.

• Securities Demat account.

A trader may open multiple Demat accounts, however, they can open only one trading account with a broker. Investors would want to have more than one Demat account if they are active traders and use each Demat account for a different trading strategy. However, they should also keep in mind the transaction and operation (AMC) fees associated with each account.

Benefits of Demat Account

• An easy and convenient way to hold securities.

• Safer than paper-shares (earlier risks associated with physical certificates such as bad delivery, fake securities, delays, thefts

• Reduced paperwork for the transfer of securities.

• Reduced transaction cost.