Advantages of Dematerialisation
1. It is a safe and convenient way to hold securities.
2. It ensures immediate transfer of securities.
3. There is no stamp duty on transfer of securities.
4. Risks associated with physical certificates such as bad delivery, fake securities, delays, thefts, etc. are eliminated.
5. There is a major reduction in paperwork involved in transfer of securities, and reduction in transaction cost, etc.
6. No odd lot problem exists; even one share can be sold.
Annexure A1
Name of the companies
Group 1
Bharat Petroleum Corporation Limited (BPCL)
BSES Limited (BSES)
Industrial Credit and Investment Corporation Limited (ICICI)
Infosys Limited
Larsen & Tourbo (L&T)
State bank of India (SBI)
Wipro Limited
Group 2
Associate
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The enactment of Depositories Act in August 1996 paved the way for establishment of National Securities Depository Limited (NSDL), the first depository in India. It went on to establish infrastructure based on international standards that handles most of the securities held and settled in de-materialised form in the Indian capital markets.
In the depository system, securities are held in depository accounts, which are similar to holding funds in bank accounts. Transfer of ownership of securities is done through simple account transfers. This method does away with all the risks and hassles normally associated with paperwork. Consequently, the cost of transacting in a depository environment is considerably lower as compared to transacting in certificates. In August 2009, number of Demat accounts held with NSDL crossed one crore.
NSDL is promoted by Industrial Development Bank of India Limited (IDBI) - the largest development bank of India, Unit Trust of India (now, Administrator of the Specified Undertaking of the Unit Trust of India) and National Stock Exchange of India Limited (NSE) - the largest stock exchange in India.[6] Some of the prominent banks in the country have taken a stake in
The 1933 Securities Act governs the assurance of securities by organizations. When pertaining to securities it is talking about notes, stocks, bonds, debentures, warrants, subscriptions, voting trust certificates, rights to oil, and limited partnerships (Jennings, 2012). With so much destruction regarding securities in the communities, the Security Act of 1933 was the first document established to get a control of securities.
Tangible benefits: approve credit and loan applications more quickly; store interactions between relationship bankers and customer electronically.
5. An active secondary market for debt or equity securities makes raising new capital less expensive for firms.
E. Because the settlement and notifications are quicker when using the blockchain an organization collateral exposure would be greatly reduce. The transparences of the chain would require banks to keep less money on reserve.
thymus gland involution is associated with MS, reduced thymus output disturb the homeostasis of Peripheral naïve CD4 T cells, that will produce an autoimmune response against myelin
the ability for EC to leverage capabilities with increased effectiveness and lower transaction and distribution costs, leading to more efficient "friction-free" markets.
It eliminates redundancies which enhance the security and makes things happen in a faster, cheap and efficient way.
3. Additionally another main advantage has been shipping of the product to home which saves costs of transportation and time for the buyer.
Section 2(h) of the SCR Act defines the term “securities” to include (i ) shares, scrips, stocks, bonds, debentures, debenture stock or other marketable securities of a like nature in or of any incorporated company or other body corporate; (ia) derivative;
India adopted the Demat System for electronic storing, wherein shares and securities are represented and maintained electronically, thus eliminating the troubles associated with paper shares. After the introduction of the depository system by the Depository Act of 1996, the process for sales, purchases and transfers of shares became significantly easier and most of the risks associated with paper certificates were mitigated.it was Easy
Discuss in detail the benefits of convertible securities for the issuing company as well as the investors. Briefly discuss the potential drawback of convertible securities for both?
Net NPAs of IDBI in 2010 is 1677.91 and in 2011 is 1589.2 whereas Net NPA of Axis Bank in 2010 is 704.13 and in 2011 is 678.70. This shows IDBI bank has higher Net NPA then Axis Bank which means IDBI Bank has high quantity of risky assets for which noprovision are made.
For as long as I can remember I've overwhelmed with longing desire to care for the needy, and I feel that this ultimately led me to choose the profession of nursing. I feel more sincere when you serve and care for others, and my personal position is nursing and one that is focused on compassion and service.According to Merriam-Webster Online (2012), and the philosophy is "an analysis of the causes and concepts expressed his core beliefs", and before entering the nursing profession, it is important to explore my personal values and principles that will guide my nursing practice. My philosophies of nursing include knowledge of medicine while combining it with the relational and compassionate care that respects
Capital can be transferred by the direct and indirect ways. In direct ways only two sides participate. Savers can make investment direct into business, and business sells their securities to savers without other parties. On the other hand, investment bank or financial intermediaries can participate effectively in transfers of
Securities Exchange Act, published in 1934 and this act was made by Congress and they created the Securities and