StockSmart Depository Services

Majority of security related transactions in the Indian Capital market has been shifted to the De-materialized form. Therefore, it has become all the more necessary for Investors to maintain Depository accounts. To facilitate our clients including NRIs and investors in general, ADCB India has started depository services in association with National Securities Depositors Ltd. at ADCB,75, Rehmat Manzil, Veer Nariman Road, Churchgate, Mumbai - 400020. (Telephone Nos: 022 39534102, 39534100 and 22875988, Fax No.39534106).

The physical security certificates are converted into electronic form that is called as "De-materialized form" ( Demat). The depository service is a facility for holding securities (tradable in Stock Exchanges) in electronic form and transactions are processed by book entry. Under the arrangement, the depository acts as registered owner of the securities in electronic form in the books of issuing company and the client is the beneficial owner.

The Depository Participant through whom the Demat accounts are operated acts as an agent of the Depository. The National Securities Depository Ltd. (NSDL) and Central Securities Depository Ltd. are the two recognised depositories in India. ADCB India has started the depository services in association with NSDL who is the major player in the market.

ADCB is offering the following services to their clients:

• Dematerialisation i.e., converting physical certificates to electronic form;
• Rematerialisation i.e., conversion of securities in demat form into physical certificates;
• Facilitating repurchase / redemption of units of mutual funds;
• Electronic settlement of trades in stock exchanges connected to NSDL
• Pledging/hypothecation of dematerialised securities against loan;
• Electronic credit of securities allotted in public issues, rights issue;
• Receipt of non-cash corporate benefits such as bonus, in electronic form;
• Freezing of demat accounts, so that the debits from the account are not permitted;
• Nomination facility for demat accounts;
• Services related to change of address;
• Effecting transmission of securities;
• Account monitoring facility over Internet IDeAS facility;
• Other facilities viz. holding debt instruments in the same account, availing stock lending/borrowing facility, etc.

• Immediate transfer of securities;
• No stamp duty on transfer of securities;
• Elimination of risks associated with loss, forged transfer, bad delivery, fake certificates etc;
• Reduction in paperwork involved in transfer of securities;
• Reduction in transaction cost;
• Nomination facilities;
• Easy and fast recording of change of address and avoids multiple correspondence;
• Easy and cost effective transmission of securities;
• Convenient method of consolidation of folios and accounts;
• Need to maintain one account for equity and debt instruments;
• Easy follow-up and verification with pass book.

The following types of Accounts may be opened:

• Individual in sole name
• Individuals in joint names
• Companies
• Trusts

Some of the important features of Depository accounts are as follows:

• More than one depository account can be opened in the same name or joint name
• Maintenance of minimum balance is not required
• One time standing instructions for receiving credits to the account/s

• Fill and sign the prescribed account opening form;
• Submit required documents.
• Execution of required agreement