New Rules: There is a big news for those investing in Mutual Funds. SEBI has changed a big rule of Demat Account.
SEBI has changed a big rule. This rule (New Rules) is related to your Demat Account. If you also have a Demat Account, then read in detail what it is.
The Securities and Exchange Board of India (SEBI) has said that the Mutual Fund’s folio and demat account will not be frozen if the nomination is not submitted. Whereas earlier, the demat account used to be frozen if a nominee was not added.
Market regulator SEBI has given this information by issuing a circular on June 10. The decision has been taken on the basis of representations from market participants, citing the need for ease of compliance and investor convenience for existing investors and unitholders.
The SEBI circular said that investors holding securities in physical form will be eligible to receive dividends, interest payments or redemption payments as well as file complaints.
