Demat Account: Market regulator SEBI has made a big announcement for demat account holders. The nomination deadline has been extended till December 31. SEBI has issued a circular in this regard . In which it is said, “It has been decided to extend the last date for submission of details of choice of nomination in respect of demat account till 31st December.”
Deadline extended by three months
Let us tell you that earlier the deadline for linking the nominee to the demat account was set by SEBI by 30th September. The responsibility of monitoring this has been given to depositories, registrar and transfer agents, stock exchanges and listed companies.
There will also be an option not to choose the nominee
It is very mandatory to complete the nomination process. Failure to do so may result in freezing of the demat account. Under the new rules, investors can also choose the option of not choosing a nominee through a declaration form.
Benefits of nomination
SEBI has taken this step with the objective of protecting the assets of investors. So that the property can be handed over to the legal heirs of the investors. According to experts, many such demat accounts were opened without a nominee, leading to problems in transferring assets to heirs. But it will be very easy to do this through nomination.
