Special Demat account for non-equity holdings

We have always felt the need for a demat account which can help people to hold on to various financial instruments, like Mutual Funds, Debentures, Non-convertible bonds, Deep Discount bonds etc., who don't normally invest in direct equities. There is a huge section of people who desist from investing in equities but would like to hold other debt and MF instruments in demat form. Off late, we are also seeing an increasing tendency among the issuing companies to go for electronic form of holding these debt instruments as it makes their lives easier.

Sensing this requirement correctly, Integrated Enterprises have come out with a special purpose demat account to hold these non-equity financial instruments at a very nominal cost of a refundable deposit of Rs1000/-. Integrated Enterprises claims that they would not charge any other charges during the lifetime of the account, which makes it all the more interesting.

Key features of this demat account are:

• You can maintain all existing Mutual Fund units in the Demat account.
• Demat account is compulsory for investing in Corporate Bonds/NCDs. There is NO TDS, ONLY if you maintain them in the Demat mode.
• Demat account is compulsory for investing in Gold ETFs.
• You can invest & maintain Long Term Infrastruture Bonds (with income tax benefit 80-CCF) in the Demat account

We think this is a significant development for small and retail investors and it also helps to further deepen the reach of these financial products.

For more information, you may please visit their website.

Happy Investing!!

Disclosure: The above information is collected from the publicly available information disseminated by Integrated Enterprise and shared on this blog without any obligation. We don't have financial or business dealing with Integrated Enterprise. Please check their terms and conditions carefully before concluding any transaction.