SEBI has issued a circular dated 4th December 2013 on simplification of demat account opening process. Basically what they have done is replace the existing Beneficiary Owner – Depository Participant Agreement with the common document called “Rights & Obligations of Beneficial Owners and Depository Participants”. SEBI promises that this will harmonise the demat account opening process for trading as well as demat account besides also reducing the no. of signatures required on the documents. Depository Participants are required to send the revised document to its existing clients as well and take their signatures as an acknowledgement of having received the same – well that is one signature added to the existing process!!!
Well, let’s hope the new regime brings in more demat customers and spurs the retail boom in stock markets.
Copy of the SEBI circular is found here http://www.sebi.gov.in/cms/sebi_data/attachdocs/1386158734288.pdf