Avenue Supermarts Limited is Mumbai based firm and it’s a supermarket chain D-Mart in a well known brand in all the major cities in India. They are going to introduce their initial public offer which will hit the primary market on 8th March 2017. The company aims to raise around Rs.1, 870 crore by offering shares at Rs.290-Rs.299 per Equity Share. This is going to be one of the largest retail segment IPO to take place in long time. [Read more…]
Established in 1994, AnandRathi is one of India’s leading financial services firm offering Wealth Management, Investment Banking, Corporate Finance & Advisory, Brokerage & Distribution services in the areas of equities, commodities, mutual funds, structured products, insurance, corporate deposits, bonds & loans to institutions, corporations, high-net worth individuals and families.
The firm has a vast footprint across India and also in select international locations such as Dubai, with presence across 1200 locations through its own branches, sub-brokers and remisers and representative offices/associate companies. The group today employs over 2,500 professionals.
Citigroup Venture Capital International, the well known global private equity and Venture Capital Company holds a sizeable stake in the firm. All our offerings are supported by powerful research teams and each unit is clearly positioned to cater to the most diverse financial needs of our clients.
The Anand Rathi Group is member of the Bombay Stock Exchange (BSE), National Stock Exchange (NSE), Multi-Commodity Exchange (MCX), National Commodity Exchange (NCDEX), United Stock Exchange (USE), Central Depository Services Ltd. (CDSL), National Securities Depository Limited (NSDL) and ARN holder
The firm’s philosophy is entirely client centric, with a clear focus on providing long term value addition to clients, while maintaining the highest standards of excellence, ethics and professionalism. The entire firm activities are divided across distinct client groups: Individuals, Private Clients, Corporates and Institutions. AnandRathi has been named The Best Domestic Private Bank in India by Asiamoney in their Fifth Annual Private Banking Poll 2009. The firm has emerged a winner across all key segments in Asiamoney’s largest survey of high net worth individuals in India.
Account Opening Fees & Annual maintenance charges (AMC)
- Trading & Demat Account Opening Charges (One Time): – Rs 0*
- Trading & Demat Account Annual Maintenance Charges (AMC): Rs. 500 (Free for 1st year.)
There is no Account opening charges if Account is opened with margin of 10,000/-or more.
Documents required for account opening
PAN Card, Address proof and income proof.(You can either give 6 months bank statement or ITR or salary slip for the same)
|10000-24999||0.05%||0.50%||0.05%||Rs.100 or 1%||0.03%||0.03%||Rs.30|
Demat account is just like your bank locker. We store our important document and jewelry in the bank locker. While our investment securities, like equity shares are stored in the demat account. Demat account is essential if you have want to take delivery of stocks.
Depositories (CDSL & NSDL) ease holding of securities in electronic form in dematerialized format. This reduces a lot of paper work and enables ease in transfer and trading of securities both for investors and companies. As we transfer our money from one account to another, shares can also be transferred easily.
For any reason, if you want to transfer from one Demat to other, you can fill up the Delivery Instruction Slip (DIS), and get your shares transferred. In case you want to close you old Demat account and transfer holding to the new one, you can do that easily by getting the Client Master list from your new broker and providing the same to your old broker. They will transfer the equity in off-market transactions at a minimal cost.
In India, we have two depositories. As mentioned earlier – NSDL (National Securities Depository Ltd.) and CDSL (Central Depository Service Ltd.). Your demat account will be either of these. If both the demat accounts are with same depository, you’ll be making an intra-depository transfer. If they belong to different depository, then it will be called an inter-depository transfer.
Opening a new Demat account and transferring your holdings
If you are opening a new Demat account, you will need to transfer shares from your old Demat account. This can be done by filling the Delivery Instruction Slip (DIS) with you old demat account broker and providing the new DP ID details. DIS looks like a cheque book in which you DP ID details are already filled. You just have to provide your new DP ID details to which you want to transfer the shares. Once you do that. the transfer should be done in couple of days.
Delivery Instruction Slip
There are 2 types of DIS slip. One is for doing transfer within same Depository. So if you your broker have account with NSDL and new broker also have the account in NSDL, you will need this type of slip.
The second type of DIS are known as Inter-Depository Delivery Instructions(IDTs) which will be used if you have to transfer share inter-depository so from NSDL to CDSL or vice versa. So before you ask for DIS slip, make sure that your new account is with which DP, so that you can ask for specific DIS slip from your broker. These DIS have a nominal charge of about Rs 30- Rs 50 would depend on your broker.
Details you have to provide for filling the DIS forms are as follows:
DP ID: Depository Participant’s ID. Your broker, through whom you opened the demat account is your DP. An investor can not directly go to the depository and open the demat account. The DP stands between you and the depository i.e. NSDL and CDSL.
Insert your current DP’s ID.
BO Client ID: BO means Beneficiary Owner i.e. you. The demat account holder is called the BO.
First/ sole holders name: the demat a/c holder’s name.
Now a days, in almost all DISs the above information comes printed. If not, it will be on the cover or first page of DIS booklet.
There are 2 date you need to fill. One is the date when you submit the DIS to the DP. This will be on the top right side of the DIS. Another one is the execution date. The date when you want the transfer to take place. These dates can be same or can vary. It is suggested to write the execution date after consulting your DP.
Now the table, where securities to be transferred is mentioned.
Every security is given an ISIN (International Security Identification Number). For Indian securities it starts with “IN”. So, IN may be printed on the DIS.
You can get this number from your transaction statement or contract note. Or just confirm with your broker. You cannot put a wrong ISIN. Each share, each Mutual fund, bond, every security in this world has an ISIN.
Then write the share name and the quantity you want to transfer. Here we are talking about transferring all the shares and other securities to a new account. So, write the total number of units you hold.
- You will be making an off-market transaction if the new demat a/c is with same depository.
- You will be making an on-market transaction if the new demat a/c is with another depository.
So put a tick mark accordingly. And below or further, again, the DP id –Counter BO ID, Counter DP ID this is about the new demat a/c. Here you have to fill up the details of where the securities should be transferred.
The relationship managers of your broker (DP) are for your assistance. Consult and fill the DIS properly.
Some of the bigger brokers have started providing e-instruction so you don’t have to provide DIS every time you want to transfer share. Most of these brokers have 2 page form which you have to fill and provide your new DP ID details. You can add upto 5 DP ID in which you can transfer the shares.
This is a onetime registration which have to be done physically at your broker premises. Once you do that, you can directly transfer your holding from your Demat account to your new Demat account online. So there will be no need for visiting the office every time. This facility is right now provided by ICICI Direct.
Transfer Demat holding from ICICI Direct to Zerodha
I will provide you with an example of how you can transfer your share from ICICI direct to Zerodha. ICICI DP is mostly with NSDL and Zerodha DP is with CDSL. So in this case you will need Inter-Depository Delivery instruction slip from ICICI direct. You will also need DP details from your new Zerodha account which can be found in Zerodha back office at q.zerodha.com. If you are not able to find it in backoffice, you can call their customer service and ask from CML from Zerodha.
Once you have this, just fill DIS slip at any ICICI direct office and provide CML copy to them. In case you are closing account, you can ask them to transfer all your holding to Zerodha. The transfer should happen within 24 hours.
Some people think that instead of transferring, can we not sell our share from old brokers and then buy again from new broker. This is possible but in this case, the transaction cost which include brokerage and Govt. taxes have to be paid twice. While if you use DIS for transfer, there is no brokerage and Govt taxes. Also long term tax benefit would have to be forfeited if you sell that share and buy again. So it is always a better idea to transfer share using DIS. The process is simple and transaction cost are low.
Partial transfer from one Demat to your other Demat account
In case you want to transfer some of the holding from one DP to other, please follow the instructions below. The DIS slips are becoming uncommon as more and more people are moving towards online trading. I would advise you to keep you holding in one Demat account as it will make maintenance of the account easier.
The Delivery Instruction Slip is like a cheque. You need it transfer your shares to your other demat account or to another person. At first look it may seem too complicated. It’s easy to fill it. However, no errors should be there.
Often, the stock broker and the DP are not the same. Hence, keep in mind that you have to deal with the DP, where you have your demat account. It is not necessarily that brokerage house is your DP. A third party can also be your DP. But if you have signed up with one, they’ll provide you all the facilities. In case, you have opened a demat a/c with one entity and have trading a/c with another, go to the Demat a/c entity.
For complete transfer of securities to a new demat account, no charges are imposed. And you can have many demat accounts.
BSE IPO allotment status is not available at this time. The IPO allotment is expected to take place within 7 days from the closing of the issue on Jan 27th. The allotment status should be available by
Feb 3rd Feb 1st. The issue will start trading on the market from Feb 3rd. The issue was oversubscribed, so expect partial allotment.
Once the issue is allotted you can check the status here just by providing your PAN card number, application number of Client ID. Just select the option of Application Status, from the drop down select BSE IPO and check by providing your PAN Card Details.
The link is slow as lot of people are trying to access it. Please be patient and wait for it to open.
Interested in paying low Brokerage while trading in stocks, check our Top 10 list of Stock brokers in India.
Do check this page again once the Allotment is done. You can check the status just by your PAN card number, Application number or DP ID/Client ID of the applicant.
Note: The BSE IPO allotment is at the sole discretion of Registrar of the company.
CPSE ETF Background
CPSE ETF FFO was a success with bid were done for 12,000 crore while the offer was only for 6000 crore. There allotment is going to take place within next 10 days.
Anchor investors portion was Rs. 1500 crore but the bid was received for almost Rs. 6,000 crore on 17th January 2017 which is 4 times of the amount decided for retailers to be offered. (Some of the anchor investors for the fund are the State Bank of India (SBI), Axis Bank, Birla Mutual Fund, Nomura, Morgan Stanley and the Life Insurance Corporation of India (LIC)).
The quantum of bids for Qualified institutional buyers and retail investors was opened from 18th January 2017 to 20th January 2017 received was over two-and-half times of the base issue size of Rs 4,500 crore i.e. Rs. 6, 000 crore.
Reliance Mutual Fund CPSE ETF FFO received application over 2 lakh investors across 300 cities and towns in India. As part of the CPSE ETF FFO norms Retail Investors will get first preference and assured allotment for a minimum of 5000 units. What it mean is if there is oversubcription, the minimum unit you will receive would be 5000 units.
A finance ministry statement said ,”This was the largest Disinvestment Program undertaken by the Government of India using ETF and largest fund offering by any Mutual Fund in India till date”.
Purchase price will be average of the full day volume weighted average price of the constituents of Nifty CPSE Index on NSE during Jan 18 and Jan 20. Based on this the price is expected to be around 26.70 but then there is a 5% discount for retail investor which should bring the allotment price closer to 25.5
CPSE ETF allotment status is done on Jan 31st. The CPSE ETF allotment is expected to take place within 10 days from the closing of the issue on January 20th. The issue was oversubscribed, so partial allotment is expected. You should be able to check the status of the issue on your Demat account.
The government is now ready to launch a FFO or “Further Fund Offer” exchange-traded fund (ETF) based on the central public sector enterprises (CPSE) index. This is going to be the sale of the second tranche of central public sector enterprise (CPSE) exchange traded fund (ETF) by raising an offer to deploy Rs.6, 000 crores (base size is Rs. 4500 crore and Rs. 1500 crore for green shoe option) on 17 January, 2017 which is managed by Reliance Mutual Fund. Anchor investors reserve is 30% and rest is offered to other categories. The offer opens for Anchor Investors for only a day on 17th January 2017 while for other categories including retails it’s open on 18th January 2017 and end on 20th January 2017.
CPSE ETF is Central Public Sector Enterprise (CPSE) Exchange Traded Fund (ETF) which functions in mutual fund scheme, comprises the scrip of 10 PSUs — ONGC, Coal India, IOC, GAIL (India), Oil India, PFC, Bharat Electronics, REC, Engineers India and Container Corporation of India. [Read more…]
BSE limited is the operator and owner of BSE Exchange. They are going to be public soon and is going to be the only exchange after MCX to go public. They are coming with an initial public offer which will hit the primary market on 23 January 2017. The company aims to raise around Rs. 1,243 Crore by offering shares at Rs. 805 – Rs. 806 per equity share. [Read more…]
Commodities are basic physical stuffs, or you can call them resources, which we use as raw materials.For example, gold- we use gold to make jewelry, cotton- used to make clothes, rice and dals- used to cook food. As consumers, we do not trade in them. We just buy and consume, use it. However, as we know there are people who buy and sell them further for profits.
The returns from investing in commodities is based on the price fluctuation of therespective commodity. Unlike shares and debentures, there is no additional dividend or interest income here.The way we hold equity and debt securities for longer period for better yields, holding commodities means more storage expense. Not to forget, to transfer the ownership of this investment requires transportation costs too. [Read more…]
One of the most asked question on this blog is “Tell me who is the best broker in India” and that is very difficult question to answer. For example if someone ask you ” Tell me which is the best bank”, can you tell him 1 bank which is the best. The best answer you can give is ” IT DEPENDS, on what you are looking for in a Bank. If someone is looking for best online service, one set of bank will be good for him(maybe ICICI, AXIS). But if someone is looking for many physical locations, another bank will fit him needs(SBI, Bank of Baroda). [Read more…]
Before we tell you which is the Best Demat account in India, I would try to explain what DEMAT account mean.Demat is the shorter version of word Dematerialized account, which just means that the stock are in electronic form rather than in material (paper) form. You can think of Demat account as a safe for keeping electronics share.
Demat services are provided in India by just two Depositories namely
Both are them are approved by SEBI. The important thing to understand is that you broker will become a part of one of the Depository and would be known as Depository participant (DP). Brokers cannot legally hold your stock and they have to maintain them with one of the Depositaries. But as a client, your broker manages your relationship with CDSL/NSDL and you never need to worry about it. So when you open trading account with your broker, they will also open your Demat account with one of the Depository.
You would think that the charges of all the DP would be same but that is not so and each DP could charge as it deems fit. Just so that you understand fully, you cannot trade if you just have a DEMAT account, you need a trading account with one of the brokers to trade. The DEMAT account would come in picture only when you take a delivery of the stock. In case you are day trading or trading in F&O, you don’t even need Demat account.
Demat charges are generally very small and wouldn’t affect you much in the long term. Most of the brokers charges anywhere from Rs 300 – Rs 600 AMC for managing the Demat account. It is much more important to choose a broker which have a lower brokerage than a lower AMC charge as AMC is more of a fixed cost irrespective of the number of stocks you keep, while broking charges is applied on every trading you do.
I have tried to provide rates of some of the main brokers in India and charges for their DEMAT account opening. Do remember that there is a Annual maintenance charge associated with maintaining the account. It is generally in a range of Rs 300 – Rs 600.
Zerodha Demat account charges
AMC charges for first year is FREE. From second year, there is an AMC charge of Rs 300 per year.
Angel Demat Account Charges
Account Opening – Free
Annual maintainence charge for Demat account – Rs 450
Upstox Demat account charges
Annual maintenance charge (AMC) for the first year towards your demat account of Rs.400/ and AMC of Rs 350.
ICICI Demat Account Charges
NSDL – A/C opening NIL, Rs.600 ( Rs.500 for customers receiving email statements)
CDSL – A/C opening NIL, Rs.600 ( Rs.500 for customers receiving email statements)
One more question which lots of reader have is whether an individual can have more than 1 Demat account. The simple answer is Yes, you can have as many Demat account as you want. There is no limit on number of accounts. But remember the more Demat account you have the more yearly maintenance charge would be payable by you.
So we would advise you to try to consolidate all your Demat holding in one Demat account. In case you still have some questions, please ask it below so that other may also benefit from it.
You can find more detailed information about opening of Demat account here