Query on number of Demat/Trading account.an individual can hold?

Question

“Is it allowed for an individual to have more that one demat/trading account with more that one broking institutions(say Shearkhan and Indiabulls)?”
Is there some regulation set by SEBI on Demat and Trading accounts that an individual can own!!

Answer 1

An individual can hold only one demat account anywhere in India. However he or she may hold more than one account jointly with different people. Say A, B, C, D are four members. A may hold demat accounts with each one of them. For example AB, AC, AD, BA, CA, DA etc. Order of name signifies different account.

Answer 2

Until now people could have multiple demat accounts in each name. I am not sure what the limitations are with the new SEBI rule since Jan 1st,2007.

The issue is why would you have multiple demat accounts in the first place. Each one has a cost associated with it. So, consolidate it and do everything from one account. Do the same with trading account also. Consolidate it to one.

Take this advice from someone who has spread it out all over and it is difficult to manage it. I am in the process of consoldidating all the little accounts to one place.

KKP_Inv

Answer 3

the number of demat accounts is limited to the number of PAN cards a person can hold. SEBI's regulation prohibits individuals from trading without PAN card after 31st dec 2006. If they fail to submit PAN their demat accounts will be frozen till they submit their PAN. Legally a person is entitled for one PAN number and hence for a single demat account.

Answer 4

U can have only one Demat account as per SEBI guidelines..however u can have mutliple trade account linked to the same demat account.

To keep it simple, always have one trade accoune also

Answer 5

Hello

ONE only. Multiple accounts are prohibited

Thanks