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What is a demat account?

What is a demat account?

Wednesday, March 1, 2017, 10:51 AM

This is basically a dematerialized account where shares are held in an electronic format. This account is very necessary to buy and sell shares in the stock market. Physical shares may be lost, stolen or forged. No such problem exists with a demat account. In addition a demat account can also be used to store mutual funds, debentures and exchange traded funds.
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