BY - SHANKEY DOGRA

It was registered by the SEBI on June 7 1996 as Indias first Depository to facilitate trading and settlement of securities in the demat. form. It is promoted by IDBI, UTI, NSE. NSDL aims at ensuring the safety and soundness of Indian marketplaces by developing settlement solutions that increase efficiency, minimize risk and reduce costs.

Industrial Development Bank of India Limited Unit Trust of India (Now, Adminstrator of the Specified Undertaking of the Unit Trust of India) National Stock Exchange of India Limited

State Bank of India HDFC Bank Limited Deutsche Bank A.G. Axis Bank Limited Citibank Standard Chartered Bank HSBC Oriental Bank of commerce Union Bank of India Dena Bank Canara Bank

Promoter

shareholders

Depository Participant (DP) Issuing Companies/ their Registrar & Transfer Agents Clearing Corporation / House

exchanges have linked up with NSDL

Madras Stock Exchange Ltd. National Stock Exchange of India Ltd. Inter-connected Stock Exchange of India Ltd. OTC Exchange of India The Calcutta Stock Exchange Association Ltd. The Delhi Stock Exchange Association Ltd. The Stock Exchange, Mumbai The Stock Exchange, Ahmedabad

Working of NSDL

a) Benefits of depository system

Immediate transfer and registration of securities Faster settlement cycle Elimination of all risks associated with physical certificate Reduce paper work Elimination of problems related to change of address of investor Reduced transaction cost Transparency

DPs are allowed to effect any debit and credit to an account only on the basis of valid instruction from the client. Every day, there is a system driven mandatory reconciliation between DP and NSDL. All transactions are recorded at NSDL Central System and in the databases maintained by business partners. Back-up in case of power failure Computer and communication infrastructure Insurance Cover Certification in Depository Operations Investor grievance:

Fee Payable by Depository Participants.

fee

Settlement

Pledge

fee Fee for remat. Security deposit & entry fee.

A Comparative Chart of Fees Charged by the DPs.

Fee Payable by Issuers.

Nominal Value of Securities admitted (Rs.) Amount (Rs.)

Upto 5 crore
Above 5 crore and upto 10 crore

6,000
15,000

Above 10 crore and upto 20 crore

Above 20 crore

30,000
50,000

As on June 30, 2012

Number of certificates eliminated (Approx.) 1,191 Number of companies in which more than 75% shares are dematted 3,997

Average number of accounts opened per day since November 1996 3,656
Presence of demat account holders in the country 85% af all pincodes in the country

NSDL aims at ensuring the safety and soundness of Indian marketplaces by developing settlement solutions that increase efficiency, minimise risk and reduce costs. Investor Accounts 1,23,65,710 DP Service Centres 14,334 Demat Custody Value 75,54,79 (Rs. Cr.)
(US$1,402 billion)

It is promoted by IDBI, UTI, NSE.