EXECUTIVE SUMMARY

Traditionally, settlement system on Indian stock exchanges gave rise to

settlement risk due to the time that elapsed before trades were settled by
physical movement of certificates. The process of physical movement of
securities from the seller to his broker to clearing Corporation to the
buyer’s broker and finally to the buyer took time with the risk of delay
somewhere along the chain. The second aspect related to transfer of
shares in favour of the purchaser by the issuer. This system of transfer of
ownership was grossly inefficient as every transfer involve physical
movement of papers. Many frauds and duplicate certificate scandal was
the main problem of physical certificate. Eg. Main Scandal of Harshad
Mehta in 1993 was the biggest scandal in the market. To obviate these
problems, the Depositories Act, 1996 was passed to provide for the
establishment of the depositories in securities with the objective of
ensuring free transferability of securities with speed accuracy.

A Depository facilitates holding of securities in the electronic form

and enables securities transactions to be processed by book entry by a
Depository Participant (DP), who as an agent of the depository, offers
depository services to investors. According to SEBI guidelines, financial
institutions, banks, custodians, stockbrokers, etc. are eligible to act as
DPs.

1
 The investor who is Known as beneficial owner (BO) has to open a
demat account through any DP for dematerialisation of his holdings and
transferring securities. The balances in the investors account recorded and
maintained with CDSL can be obtained through the DP. The DP is
required to provide the investor, at regular intervals, a statement of
account which gives the details of the securities holdings and transactions.
The depository system has effectively eliminated paper-based certificates
which were prone to be fake, forged, counterfeit resulting in bad
deliveries. CDSL offers an efficient and instantaneous transfer of
securities.

CDSL was promoted by Bombay Stock Exchange Limited (BSE)

jointly with leading banks such as State Bank of India, Bank of India,
Bank of Baroda, HDFC Bank, Standard Chartered Bank, Union Bank of
India and Centurion Bank. CDSL was set up with the objective of
providing convenient, dependable and secure depository services at
affordable cost to all market participants.

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 CAPITAL MARKET

INTRODUCTION
Markets exist to facilitate the purchase and sale of goods and services.
The financial market exists to facilitate sale and purchase of financial
instruments and comprises of two major markets, namely the capital
market and the money market. The distinction between capital market and
money market is that capital market mainly deals in medium and long
term investments (maturity more than one year) while the money market
deals in short term investments (maturity up to one year). Capital market
can be divided into two segments viz. Primary and Secondary. The
Primary market is mainly used by issuers for raising fresh capital from the
investors by making initial public offers or rights issues or offers for sale
of equity or debt. The secondary market provides liquidity to these
instruments, through trading and settlement on the stock exchanges.
Capital market is, thus, important for raising funds for capital formation
and investments and forms a very vital link for economic development of
many country. The capital market provides a means for issuers to raise
capital from. Thus, the savings normally flow from household sector to
business or Government sector, who normally invests more than they
save. A vibrant and efficient capital market, which ensures an orderly
development and contains measures for protection of interest of the
investors, is the most important parameter for evaluating health of any
economy.

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 PROBLEMS WITH PHYSIACL MODE OF SETTLEMENT

The capital market was a marginal institution in the financial market for
almost three decades after India’s Independence. However, until late
eighties the common man kept away from capital markets. Not many
companies accessed the capital market and, thus, the quantum of funds
mobilizes through the market was meager. A major problem, however,
continued to plague the market. The Indian markets were literally
weighed down by the need to deal with shares in the paper form.

The following are some of the major problems faced for physical
certificates by the investors:

a. Inordinate delay in receiving securities after transfer by the

companies.

b. Return of share certificates as bad deliveries on account of

signature mismatch or forged signature of transferor or fake
certificates.

c. Delay in receipt of securities after allotment by the companies.

d. Non receipt of securities.

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 e. Procedural delays in getting duplicate share/ debenture certificates.

f. Storing physical certificate

Thus, the Government of India decided to set up a fully automated and

highly technology based model exchange, which could offer screen based
trading and depositories as the ultimate answer to all such reforms.

Therefore, the Government of India promulgated the Depositories

Ordinance in 1995. However, both houses of Parliament passed the

Depositories Act in 1996. The unparalleled success of the introduction of
the depositary concept in the Indian capital markets is reflected in the on
going successful reduction in the period between trading and settlement.

5
 INTRODUCTION TO DEPOSITORY

THE DEPOSITORY ACT

The Depositories Act, 1996, ushered in an era of efficient capital market

infrastructure, improved investor protection, reduced risks and increased
transparency of transactions in the securities market. It also immensely
benefited the issuer companies, in terms of reduced costs and the effort
expended in managing their shareholder populace. Perhaps, no other
single Act other than Depositories Act has had such profound all round
impact on every single stakeholder in the Indian capital markets. This
legislation envisaged multiple depositories in India to ensure benefits of
competition for the users of the depository system.

WHAT IS DEPOSITORY

A Depository facilitates holding of securities in the electronic form and

enables securities transactions to be processed by book entry by a
Depository Participant (DP), who as an agent of the depository, offers
depository services to investors. According to SEBI guidelines, financial
institutions, banks, custodians, stockbrokers, etc. are eligible to act as
DPs. The investor who is known as beneficial owner (BO) has to open a
demat account through any DP for dematerialisation of his holdings and
transferring securities.

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 The balances in the investors account recorded and maintained with
CDSL can be obtained through the DP. The DP is required to provide the
investor, at regular intervals, a statement of account which gives the
details of the securities holdings and transactions. The depository system
has effectively eliminated paper-based certificates which were prone to be
fake, forged, counterfeit resulting in bad deliveries. CDSL offers an
efficient and instantaneous transfer of securities.

CDSL was promoted by Bombay Stock Exchange Limited (BSE)

jointly with leading banks such as State Bank of India, Bank of India,
Bank of Baroda, HDFC Bank, Standard Chartered Bank, Union Bank of
India and Centurion Bank.

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WHY A DEMAT ACCOUNT WITH CDSL

WHYDEMAT
WHY DEMAT
ACCOUNT WITH
ACCOUNT WITH
CDSL
CDSL

CONVINIENCE
CONVINIENCE DEPENDABILITY
DEPENDABILITY SECURITY
SECURITY

CONVENIENCE:

1. WIDE DP NETWORK:

CDSL has over 300 DPs spread around cities/towns across the country,
offering convenience for an investor to select a DP based on his
location.

2. ON-LINE DP SERVICES:

The DPs and its branches can also be directly connected to CDSL
thereby providing on-line and efficient depository service to investors.

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3. WIDE SPECTRUM OF SECURITIES AVAILABLE FOR

DEMAT:

Over-5000 users have admitted their securities in CDSL consisting of

debt instruments viz. bonds, debentures, commercial paper,
government securities, certificate of deposits, etc. Thus an investor can
hold almost all his securities in one account with CDSL.

4. COMPETITIVE FEES STRUCTURE:

CDSL has kept its tariffs very competitive to provide affordable

depository services to investors.

5. INTERNET ACCESS:

A DP of CDSL can provide to its BOs their demat account statement

along with a valuation of their holding as per the last traded price on
BSE and a summary of their transactions for all account holders
through CDSLs internet facility ‘easi’. The BOs can also avail of the
facility of execution of all types of transactions viz, on market, off-
market and inter-depository, through CDSLs internet facility ‘easiest’.

DEPENDABILITY:

1. ON-LINE INFORMATION TO USERS:

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 CDSL's system is built on a centralized database architecture and thus
enables DPs to provide on-line depository services with the latest
status of the investor's account.

2. CONVENIENT TO DPS:

In case any system related problem develops at the DPs end, it does
not affect the BOs interest in any way as the CDSL database is
maintained centrally.

3. CONTINGENCY ARRANGEMENTS:

CDSL has made provisions for contingency terminals, which enables a

DP to update transactions, in case of any system related problems at
the DP's office.

4. MEETING USER'S REQUIREMENTS:

Continuous updation of procedures and processes in tune with

evolving market practices is another hallmark of CDSL's system.

5. AUDIT AND INSPECTION:

CDSL conducts regular audit of its DPs to ensure compliance of

stringent operational and regulatory requirements.

SECURITY:

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1. COMPUTER SYSTEMS:

CDSL has state-of-the-art computer systems, data storage methods and

communication networks which ensure the security and integrity of all
data uninterruptedly. All data at CDSL and is automatically mirrored
and transmitted to a Disaster Recovery site, which is located away
from the main site.

2. UNIQUE BO ACCOUNT NUMBER:

Each BO in CDSL is allotted a unique account number. This prevents

wrong transfer of securities in the event the transferee’s account
number is keyed in wrongly.

3. SYSTEM ACCESS:

Only a person at the DPs end who has been pre authorized by CDSL
can access the CDSL system.

4. INSURANCE COVER:

CDSL has obtained adequate insurance cover for any unlikely loss
occurring to a BO due to the negligence of CDSL.

AGREEMENT BETWEEN DEPOSITORY AND PARTICIPANT

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A depository shall enter an agreement in the specified format with one or
more participants as its agent.

1. SERVICES OF DEPOSITORY:

Any person through a participant may enter into an agreement in such

form as may be specified by the bye laws, with any depository for
availing its services.

2. SURRENDER OF CERTIFICATE OF SECURITY:

Any person who has entered into an agreement with a depository shall
surrender the certificate of security, for which he seeks to avail the
services of the depository, to the issuer in such manner as may be
specified by the regulations. The issuer on receipt of certificate of
security shall cancel the certificate of security and substitute in its
records the name of depository as a registered owner in respect of that
security and inform the depository accordingly. A depository shall, on
receipt of information enter the name of the person in its records as the
Beneficial Owner.

3. REGISTRATION OF TRANSFER OF SECURITIES WITH

DEPOSITORY:

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 Every depository shall, on receipt of intimation from a participant,
register the transfer of security in the name of the transferee. If a
beneficial owner or a transferee of any security seeks to have custody
of such security the depository shall inform the issuer accordingly.

4. OPTIONS TO RECEIVE SECURITY CERTIFICATE OR

HOLD SECURITIES WITH DEPOSITORY:

Every person subscribing to securities to securities offered by an issuer

shall have the option either to receive the security certificate or hold
securities with a depository. Where a person opts to hold a security
with a depository, the issuer shall initimate such depository the details
of allotment of the security, and on receipt of such information the
depository shall enter in its records the name of the allottee as the
beneficial owner of that securities.

5. SECURITIES IN DEPOSITORIES TO BE IN FUNGIBLE

FORM:

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 All securities held by a depository shall be dematerialised and shall be
in a fungible form.

6. RIGHTS OF DEPOSITORIES AND BENEFICIAL OWNER:

A depository shall be deemed to be the registered owner for the

purposes of effecting transfer of ownership of security on behalf of a
beneficial owner. The depository as a registered owner shall not have
any voting rights or any other rights in respect of securities held by it.
The beneficial owner shall be entitled to all the rights and benefits and
be subjected to all the liabilities in respect of his securities held by a
depository.

7. PLEDGE OR HYPOTHECATION OF SECURITIES HELD IN A

DEPOSITORY:

A beneficial owner may with the previous approval of the depository

create a pledge or hypothecation in respect of a security owned by him
through a depository. Every beneficial owner shall give intimation of
such pledge to depository and such depository shall thereupon make
entries in its records accordingly.

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8. FURNISHING OF INFORMATION AND RECORDS BY
DEPOSITORY AND ISSUER:

Every depository shall furnish to the issuer information about the

transfer of securities in the name of beneficial owner at such intervals
and in such manner as may be specified by the bye-laws. Every issuer
shall make available to the depository copies of the relevant records in
respect of securities held by such depository.

9. OPTION TO OPT OUT IN RESPECT OF ANY SECURITY:

If a beneficial owner seeks to opt out of a depository in respect of any

securities he shall inform the depository accordingly. The depository
shall on receipt of intimation make appropriate entries in its records
and shall inform the issuer. Every issuer shall within 30 days of the
receipt of intimation from the depository and on fulfillment of such
conditions and on payment of such fees as may be specified by the
regulations, issue the certificate of securities to the beneficial owner or
the transferee as the case may be.

10. DEPOSITORY TO INDEMNIFY LOSS IN CERTAIN CASES:

Any loss caused to the beneficial owner due to the negligence of the
depository or the participants, the depository shall indemnify such
beneficial owner. Where the loss due to negligence of the participants
is indemnified by the depository, the depository shall have the right to
recover the same from the participants.

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11. SECURITIES NOT LIABLE TO STAMP DUTY:

As per Section 8 – A of Indian Stamp Act, 1899, an issuer, by the issue

of securities to one or more depositories shall, in respect of such issue,
be chargeable with duty on the total amount of securities issued by it
and such securities need not be stamped.

1. where an issuer certificate of securities under sub section (3) of

section 14 of the Depository Act, 1996, on such certificate duty
shall be payable as is payable on the issue of duplicate certificate
under the Indian Stamp Act, 1899.

2. Transfer of registered ownership of shares from a person to a

depository or from a depository to a beneficial owner shall not be
liable to any stamp duty.

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 TECHNOLOGY

HARDWARE

The server infra structure is procured from Hewlett Packard Company.

HP 9000 (64 Bit RISC architecture) Enterprise server system Model is
powered by mission critical HP UNIX operating system. Which is proven
for Reliability, Scalability and High Availability These systems are highly
scalable and provide main frame class Reliability and Robustness.

This system is connected to one of the most robust and secure storage
systems in the world from EMC, the world leader in products, services,
and solutions for information storage and management. CDSL has
invested in an end-to-end fiber architecture storage system, which
combines sixth-generation Fiber Channel 2GB connectivity, non-
disruptive capacity and performance scalability, multiple 2GHz
processors, resulting in faster performance, continuous data availability
and data integrity. The EMC systems also provide the most advanced
software capabilities, including full and incremental replication and
anytime/any distance mirroring for business continuity protection.

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SOFTWARE

The software is developed and supported by CMC Ltd., who have also
developed the BOLT system for BSE and Indian Railway Reservation
System. The software is a modified version of the banking software-TC4
developed by a subsidiary of CMC Ltd. (in USA), which is currently
being used by several banks worldwide. The software has been
customized to suit the requirement of CDSL.

DATABASE ARCHITECTURE

CDSL has gone in for a centralised database system. This centralised

architecture provides distinct advantages to the users. The initial set-up
cost for Issuer Companies/their RTAs and Depository Participants is low.
Information on investor's holdings is available to the Depository
Participant and the Issuer or its RTA immediately.

Disaster Recovery Site (DRS)

From the business continuity angle, CDSL has in place, a robust system
with multiple back-up levels including a redundant fail-over cluster and a
DRS, which has achieved "disaster-ready connectivity" status.
Consequently, in the event of a disaster at the main site, users connected
to the CDSL connectivity network viz. Depository Participants (DPs),
Clearing Corporations and Registrar & Transfer Agents (RTAs) can
electronically connect to the DRS for carrying on day-to-day operations.

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WIDE NETWORK OF ONLINE DEPOSITORY PARTICIPANTS

With the introduction of shorter settlement cycles, the significance of live

connectivity for DP branches assumes greater importance for enabling
settlement of trades within the stipulated time. CDSL has made it possible
for the DPs to provide full range of depository services “online” from
their branches without having to make substantial investments in
hardware and software. CDSL system facilities the main branch of a DP
to monitor and control functioning of its branches. A DP of CDSL can,
therefore, provide online depository services to BOs at their doorsteps.

THE EASI ACCESS

Electronic Access to Securities Information (easi) is the internet facility

for CDSL DPs, BOs and clearing Members to have anywhere access, 24
hours a day, seven days a week, to get information about their demat
accounts through CDSL’s dedicated website www.cdslindia.com. Apart
from proving almost real time information of their holdings in their
Demat accounts, easi also provides the status of instruction, details of past
transaction and enables users to take a printout of their statement of
accounts. easi also offers a useful facility of daily valuation of the stocks
helps in a Demat account and aggregate value of the portfolio.

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SAFETY AND SECURITY

CDSL has established a world class secure and robust accounting and
transaction management system, which accurately processes over one
hundred thousand transaction daily. An additional server is on standby at
CDSL’s main site of operations to meet any contingencies, thereby,
ensuring uninterrupted accessibility of the CDSL system to all users. The
data and message communicated between CDSL and its users are
encrypted in transmission to protect the interest of all users. CDSL does
not provide dial up access and only authorized users can access CDSL
system. Each BO in the case CDSL system is allocated a unique BO
account number known as BO-ID.

EFFICIENT SETTLEMENTS

With the ever evolving market practices, CDSL provides clearing

Members with tailored solution to meet their specific requirements which
require multiple methods for pay in of securities to enhance their
operational efficiency. CDSL provides facilities to CMs to opt for any of
the pay in options like early pay in, normal pay in , auto pay in and O
level pay in based on their conveniences. CMs / BOs can delicer securities
directly to the Clearing House immediately after trade or deliver the
securities at the pay – in time. CDSL system also has a facility for part
deliveries just in case the available balance is inefficient to meet the pay
in obligation in full.

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 CDSL system enables CMs to carryout auto pay in for their pay in
based on data received from Clearing House, without any additional effort
from the CMs or their DPs. A comprehensive settlement report assist the
CM to find out which client have given instructions and whether the
balance in his account is sufficient to fulfill the pay in obligation. Once
pay in is completed the total pay in and storage qty if any for each
instruction are made available to the CM through a simple Singe report.

ON –LINE INTER DEPOSITORY TRANSFER (OLIDT)

The OLIDT facility launched in India with effect from December 14,
2002 connecting CDSL with the other depository on –line, is one of its
kind in the world. It enables instantaneous transfer of securities between
accounts held with different depositories as per convenience of investors,
CMs and DPs any time during the specified hours. The OLIDT facility
has increased the users options to utilize securities received in pay outs
for subsequent transactions for pay in. The securities received in CDSL
account would be immediately available to meet the pay in obligations
using the multiple convenient pay in options available in the CDSL
system.

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ENSURING CUSTOMER SUCCESS

CDSL is continually developing ways to automate and enhance

processing efficiencies for the benefit of DPs, CMs, issuers and BOs. The
user centric business model finds reflection even in CDSL traffic
structure. CDSL does not collect any custody or ISIN charge from DPs
and transaction charges have always been pegged at levels reasonable and
competitive by industry standards. With CDSL extensive DP network,
local market expertise, advanced technological solutions and
comprehensive range of depository services are offered to all types of
discerning investors the convenience to handle their securities efficiently
at affordable costs.

PROMPT AND COURTEOUS HELPDESK

At CDSL, convenience comes in many forms – one of which is CDSL’s

ever dependable prompt and courteous help line facility. This facility
enables DPs, investors, issuers and CMs to obtain any assistance,
clarification or guidance and for speedy redressal of any issues.

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DIFFERENCES AND SIMILARITIES BETWEEN BANK AND
DEPOSITARY

Bank and Depository are though similar yet different in several ways
as under:

Bank Depository

For opening a bank account, such as saving Demat account can be opened by an
Bank account a minimum balance has to be investors even without having any
Form. Securities i.e. with zero balance.

A customer having an account with a bank An account holder of the Depositary

is called as an account holder. is called Beneficial Owner.

A bank is entitled to use funds lying in the A depositary is not entitled to use the
saving or current deposit accounts of the securities lying in the Demat account
customers in the normal course of business of the customers and hence does not pay
and pays interest to them for the use. any interest.

A Bank account can be operated upon A Demat account can be opened,

Jointly or by either or survivor of the operated upon by all the account
account holder or by any one/ two/ three of holders jointly.
the joint account holder.

In the bank account, addition or deletion of In the Demat account, addition

names of one or more account holder is of names of one or more of the account
permitted. Holders is not permitted.

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Bank and Depositary are similar in several ways, as under:

Bank Depository

Promoted by persons and institution Promoted by persons and institutions of

of repute and good standing repute and good standing.

Renders services like safe keeping of Renders services like safe keeping of
the money of customers in book entry securities of the customer in book entry.

Has an administrative Central Office Has administrative central office and

and renders services generally through renders services through DPs and their
Branches. Branches.

Is required to verify the identity and Is required to verify the identity and
address of the customer before opening address of the investor before opening a
a bank account demat account.

The bank is entitled to charge some fees The depositary is entitle to charge some
For the services like account fees for the services like
Maintenance, safe custody, etc dematerialization , pledging, etc.

INTERMEDIARES INVOLVED

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1. DEPOSITORY PARTICIPANTS

CDSL’s demat services are extended through its agents called

Depository Participants (DP). The DP is the link between the investor
and CDSL. An investor who opens a demat account with a DP can
utilise the services offered by CDSL. While the DP processes the
instructions of the investor, the account and records thereof is
maintained with CDSL. A DP is thus a "service centre" for the
investor.

CDSL's system is based on centralised database architecture with on-

line connectivity with DPs. Because of this centralised architecture, the
cost for setting up a DP outfit under CDSL system is significantly
lower. Similarly, the recurring costs to be incurred by a CDSL-DP in
terms of maintaining back-ups and the related data storage are
minimal. This enables a CDSL-DP to offer depository services to
investors at an attractive price and at the same time achieve break-even
faster at much lower volumes. The centralised architecture also allows
CDSL-DP to make available to the investors a to-the-minute status of
their account and transactions. CDSL-DPs can also set up branches
with direct electronic connectivity with CDSL.

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The Depository Participant (DP) is the link between the shareholder,
the company and CDSL and provides the following services:

SERVICES

1. ACCOUNT OPENING

To utilise the services offered by a depository, any person having

investment in any security or intending to invest in securities needs to
have a demat account with a CDSL-DP. This holder of such demat
account is called as "Beneficial Owner (BO)". A BO can maintain a
demat account with zero balance in such account. A BO can open
more than one account with the same or multiple DPs, in the same
name/s and order, if he/she desires so. The investor can approach any
DP/s of his/her choice to open a demat account.

2. DEMATERIALIZATION

Dematerialisation is a process by which physical certificates (of shares

/ debentures / other securities) are converted into electronic balances.
A BO has to submit the request for dematerialisation by submitting the
demat request form (DRF) duly completed along with the concerned
physical certificates, to his/her DP.

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3. PROCESSING DELIVERY & RECEIPT INSTRUCTIONS

To settle trades done on a stock exchange (on-market trades) and

trades, which are directly settled between two BOs (off-market trades),
BOs submit duly completed delivery instructions in the prescribed
form to DP. For receipt of securities into his/her account, a BO can
give one time "standing instruction" to DP. Once such a standing
instruction is given to the DP, there is no need to submit separate
instructions for receipt every time the investor buys securities.

4. ACCOUNT STATEMENT

Generally a DP sends to the BO, a statement of his account, monthly,

if there is any transaction in the account or every quarter if the account
is not operated during that period.

5. REMATERIALISATION

Rematerialisation is the process by which the electronic balances held

in the demat account can be converted back into physical certificates.

6. PLEDGING

If the BO decides to pledge any securities in his BO account, he can

avail of the same by submitting the pledge creation form duly
completed, to his DP.

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7. NOMINATION

BO accounts also have a facility for nomination in favor of any person.

8. TRANSMISSION OF SECURITIES

CDSL offers a facility for transmission of balances held in BO

account/s (to other BO account/s) if so required due to death, lunacy,
bankruptcy, insolvency or required due to operation of any law.

9. CHANGE IN ADDRESS

A BO who wishes to register his change in address submits his/her

request in writing to his/her DP. The changes entered by the DP in the
CDSL system will be automatically downloaded to all the companies
in which the BO is holding securities. This facility offered by CDSL
saves money, time and effort for the BO.

10. BANK ACCOUNT DETAILS

SEBI has made it mandatory for companies to print details of bank

account of the BO on dividend/interest warrants etc. to prevent
possibilities of misuse of the warrants. All BOs should submit a
request in writing to the DP if they wish to record / change their bank
account details.

ADMISSION CRITERIA

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An applicant has to meet the following conditions to get admitted in
CDSL as Depository Participants.

1. The applicant has to furnish information and details pertaining to

its business and equity holding to a minimum period of 3 years
immediately preceding the date of the application or from the date
of its inception, if less than 3 years.

2. The applicant should not have been convicted in any of the five
years immediately preceding the filing of the application in any
matter involving misappropriation of funds and securities, theft,
fraudulent conversion or any other offence involving moral
turpitude.

3. The applicant should not have been expelled, barred or suspended

by SEBI or by any recognized stock exchange. Provided however
that, if a period of three years or more has elapsed from the expiry
of the period of expulsion, debarment or suspension, as the case
may be, CDSL in its discretion consider such application.

4. If the applicant is a Stock Broker or a Non Banking Finance

Company or an RTA, the applicant has and undertakes to maintain
the net worth specified in the SEBI Regulation.

29
5. The applicant shall furnish the details of its Board of Directors /
Partners / Authorized Official, as the case may be , who shall be
responsible for the conduct of the business of the applicant as a
participants.

6. The applicant shall have on its staff sufficient number of persons

as CDSL may specify who are adequately trained or who, in the
opinion of CDSL otherwise sufficiently qualified or have adequate
skill and knowledge relating to the operational, functional and
technical aspects of the working of CDSL system.

7. The applicant shall appoint a Compliance Officer to interact to

with CDSL on its behalf for compliance with the CDSL Bye Laws
and for resolution and redressal of BO’s grievances.

8. The applicant has adequate office space exclusively for CDSL

operations.

9. The applicant has made adequate arrangements for conducting

effective and safe Depository operations including security
measures, software and hardware requirements, risk containment
and insurance requirements as specified by CDSL.

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 ELIGIBILITY

In terms of the Depositories Act, 1996, SEBI (Depositories &

Participants) Regulations, 1996, only the following entities are eligible to
become a Depository Participant:

• Public Financial Institution

• Banks including Foreign Banks

• State Financial Corporation

• Custodian of Securities

• Clearing Corporation or Clearing House of a Stock Exchange

• Stock Broker

• Non Banking Financial Company

• Registrar & Transfer Agents

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2. CLEARING MEMBER

Clearing Members (CMs) are the members of the Clearing

Houses/Clearing Corporations who facilitate settlement of trades done on
stock exchanges. They could be a broker or custodian registered with
SEBI as such is an important intermediary in the capital market and an
essential link in the depository system. The various categories of CMs
are:

• Trading Members

• Custodians

• Subsidiary companies formed by regional stock exchanges to

facilitate their members to trade on BSE/NSE.

CM's main activity is to facilitate pay-in/pay-out of securities to/from

Stock Exchanges/Clearing House/Clearing Corporations either on their
own behalf or on behalf of their clients. The securities which are due for
delivery can be delivered directly from client's account (depending on
whether exchange provides this facility) or through CMs to the Stock
Exchanges/Clearing House/Clearing Corporations Account. Similarly,
pay-out of securities can be delivered directly to client's account on the
basis of information given to Clearing House by the CMs or to CMs A/c.

32
 Compulsory settlement of trades in demat, introduction of 'T+2'
rolling settlement, higher volume of securities traded daily requires
monitoring of CMs demat account on continuous basis. In order to
facilitate smooth functioning for CMs CDSL has introduced a special
Depository Participant Type i.e. CM DP.

A CDSL CM DP can derive the following benefits:

• He can continuously monitor the deliveries received for pay-in or

from pay-out, their movement and subsequent reconciliation of
trade settlements very easily.

• Can subsequently reduce cost of his operations for himself as well

as for his clients.

• By offering one stop services to clients both in respect of trading

and depository services, not only he increases his business but can
effectively monitor client a/c position and insulate from failure in
settlement.

33
 CONVENIENCE

1. CLIENT LEVEL PAY-IN

CDSL system provides a facility wherein pay-in of securities can be

done directly from the client's account. This facilitates faster
settlement of trades as well as quick reconciliation.

2. MINIMAL INSTRUCTION

At CDSL, a CM is not required to give Inter Settlement Instructions.

This facilitates settlement of trades with minimal instructions. There is
also no need for a member to arrange for various instructions for
transfer of securities from one settlement to another. This reduces the
transaction cost, time and efforts of the CM.

3. LOWER TRANSACTION COST

CDSL settlement fee for its DPs being very competitive saves on
transaction cost when a CM settles all his transactions through CDSL
system.

4. NO CUSTODY FEE

CDSL does not collect any custody fees from depository participant
for holding the securities in the electronic form. Thus, further reduces
the cost of DP operations.

34
3. ISSUER COMPANIES

Corporates / Companies which issue any kind of security are known as

'Issuer' in the depository system. Only those securities, which are
admitted into the CDSL system are available for dematerialisation to
the holders of such securities or can be allotted in electronic record
form by the issuer. Securities include shares, debentures, bonds,
commercial paper (C.P.), and certificate of deposits (C.D.), pass
through certificates (PTCs), government securities and mutual fund
units. Both listed and unlisted securities can be admitted into the
CDSL system. CDSL functions as the central accounting and record
keeping office in respect of the securities admitted by issuer
companies.

It is mandatory for all listed companies to have their securities

admitted for dematerialisation with both the depositories viz CDSL &
NSDL. It is however desirable that all securities are admitted on both
the depositories so that investors having account with any of the
depositories can acquire that security.

Before the admission of any security into the CDSL system, it is

necessary for the issuer to establish an electronic connectivity with
CDSL either directly or through a registrar and transfer agent (RTA),
who has already established connectivity with CDSL. All leading
RTAs have already established electronic connectivity with CDSL.

35
 At CDSL, data is centrally stored with state-of-the-art
systems and having a 'Disaster Recovery Site' facility as back up. The
centralised database architecture of CDSL places it in a unique
position to provide issuers up-to-the-moment details of holdings of the
securities.

36
 BENEFITS

Dematerialization of securities with CDSL offers numerous benefits

to the issuer of securities. Some of the benefits are:

• In the demat form transfer of securities takes place at CDSL and if

the entire issue of a security is held in demat form, the issuer can
save considerable time and money being incurred on its share
department

• Dematted securities are not subject to loss, theft, mutilation or

misuse by faking or forging certificates, thereby saving companies
from lengthy correspondence, litigation and complaint handling. It
will therefore eliminate instances of bad delivery.

• All non-cash corporate actions such as rights, bonus, mergers,

consolidations, subdivision of holdings, conversion of securities,
issuing securities on mergers/amalgamations and in initial public
offerings (IPO) can be handled in demat form without any hassles
in the shortest possible time and at very low cost.

• With the CDSL's centralised database, the issuer can get upto-the-
moment information on any changes in its holding pattern of a
security. Thus, the company effectively monitors the change in
holding and is alert to any undue threat.

37
4. REGISTRAR AND TRANSFER AGENT

In the depository system, companies who wish to admit their shares

and securities into the system should obtain electronic connectivity with
CDSL or avail the services of a registrar and transfer agents (RTA), for
connectivity. CDSL functions as the central accounting and record
keeping office in respect of the securities admitted by these companies

CDSL's system is based on centralised database architecture with

on-line connectivity with RTAs. Because of this centralisation, the cost
for setting up RTA connectivity is significantly less without
compromising in any manner on security and safety of the system. RTAs
also need not incur high recurring costs in terms of maintaining back-ups
and the related data storage. These advantages provide the wherewithal to
RTAs to offer services to issuer companies at a significantly lower cost.
The centralised architecture also allows the RTAs to provide the
companies with a to-the-minute status of the holdings of their
shareholders.

All leading RTAs are currently connected to CDSL and are

providing services to a number of companies across the country. A
company can also obtain direct in-house connectivity with CDSL, the
procedure and the cost for doing so is similar to that of a RTA.

38
 WORKING PATTERN

ACCOUNT OPENING AND MAINTENANCE

INTRODUCTION

An Individual who wants to keep his / her cash safe in a bank has to
open an account with a bank as a first step and maintain cash in book
entry form. Similarly, an investor has to open a demat account with any
DP of CDSL as a first step to hold securities in demat form in the
depository system. The investor can open an account with any DP of
CDSL. CDSL system facilitates opening of demat account for different
categories of investors.

Demat account opened with CDSL are referred as “Beneficial

Owner Accounts” or “BO Account”. When securities are held in physical
form name of the investor is recorded in the books of the company as
“Registered Owner”. When the same securities are converted into
electronic form and held in demat account, the depository becomes
registered owner of the securities. Since depository is acting as a
custodian of the securities, original investor is legally entitled for all
rights / liabilities attached with the securities and hence is called a
Beneficial Owner. All accounts opened on CDSL system are beneficial
accounts irrespective of the type of accounts.

39
 A Demat account may be opened and maintained in the name(s) of
one person or more than one persons. All the joint –holders have to sign
the application form and the agreement. The supporting documents and
photograph should also be provided for all joint holders. Though the
beneficial ownership of jointly held securities vests equally in all joint
holders, communications about depository account are provided only to
the first holder.

TYPES OF ACCOUNTS

TYPES OF
TYPES OF
ACCOUNTS
ACCOUNTS

CLEARING
CLEARING
CORPORATION/
CORPORATION/
ACCOUNTTO
ACCOUNT TOBE
BE CLEARINGHOUSE
HOUSE
CLEARING
MAINTAINEDBY
MAINTAINED BYDP’S
DP’S ACCOUNTS
ACCOUNTS

40
ACCOUNT OPENING PROCEDURE

The main objectives of accounts opening are to allow investors to

perform the following activities:

• Dematerialize physical securities currently held by investors and

reflect securities ownership by electronic book entries in C
• DSL.
• Buy and sell dematerialized securities, which are admitted in
CDSL.
• Receive statements of all dematerialized holdings of securities
as BO.
• Receive securities in electronic form in case of Initial Public
Offering, Rights issues, Bonus Issues, Mergers, Acquisition, etc.
• Pledging of securities

41
 FLOW CHART

CDSL
CDSL

TYPES
TYPES
OF
OF
ACCOU
ACCOU
3. Confirmation 2. Set up details on CDSL System
NTS
NTS

DP
DP BO
BO

1. Account Opening form

TYPES
TYPES with supporting documents TYPES
TYPES
OF
OF OF
OF
ACCOU
ACCOU 4. Confirmation Letter ACCOU
ACCOU
NTS
NTS NTS
NTS

42
 DEMATERIALIZATION

Dematerialization or demat is a process to convert the securities

held in physical form into an electronic record form or to directly allot
securities in electronic record form. These electronic records of securities
are shown as "electronic balances" in the demat account of investors. Any
investor (Beneficial Owner or BO) can open a demat account through a
depository participant (DP). DP provides a link on one hand between the
BO, Company and CDSL and on the other hand between the BO, the BO's
broker and the Stock Exchange. CDSL publishes from time to time an
updated list of DP's registered with it.

Pre – requisites for Dematerialization

• Investor should have a Demat account with any DP of CDSL

• Securities to be dematerialized must have been admitted in CDSL

i.e. ISIN for the securities should be available in CDSL.

• Investor should be registered holder for the securities in the books

of the Company.

43
 The BO submits a request to the DP in the Dematerialization
Request Form along with the certificates. The DP verifies the information
on the DRF and physical certificates and enters the details in the system to
set up a request electronically. The DP sends the physical documents to
the concerned Issuer/ RTA. If the Issuer / RTA finds the DRF and
certificates in order, it registers CDSL as the registered holder of the
securities and confirms the DRF electronically to CDSL. On receiving
such confirmation CDSL credits the BO accounts.

If the issuer rejects all or some of the certificates in a demat request

then the same are sent back to the DP mentioning the rejection reason. DP
will then ask the BO to rectify the reason of rejection and send the
certificate again for Dematerialization as under afresh demat request.

44
 FLOW CHART

1. DRF with Certificate

BO DP
7. Settlement of Holdings

2. Set Up

Electronic
3. DRF with Certificate 6. Credit BO’s Request
Accounts

5. Confirm Electronic Request

Issuer/RTA CDSL
4. Access Electronic Request

45
 SETTLEMENTS

INTRODUCTION

When securities are purchased or sold the same need to be taken

into buyers account or transferred out to seller account. Since settlement
of trades in all listed securities is to be compulsorily done in a
dematerialized form, the transaction has to be routed through the
depository system. The securities could either be sold or purchased
through stock exchange mechanism or outside the stock exchange
mechanism.

A demat account can be debited / credited only on instruction of the

BO. BO therefore needs to give instruction to his / her DP to effect debit /
credit of securities out of his / her demat account. However, most of the
time instructions are required only for debit since BO can give a one time
standing instruction to DP, for crediting the account without a credit
instruction, at the time of account opening. This one time instruction is
known as “Purchaser Waiver”. The DP executes all the instructions in
CDSL system, only after verification of the signature of the account
holder.

46
Transfer securities in / out of the demat account can arise in the following
instances:
1. For execution of off market transaction i.e. transaction between two

accounts on mutually agreeable terms, i.e. a transaction done on a

person to person basis, without going through the stock exchanges
mechanism.

2. For settling on market trades i.e. trades done by the investors

through stock exchange mechanism and settled using the settlement

mechanism of the same exchange.

3. For inter depository transfer i.e. transfer of securities from an

account held in one depositary to an account held in the other
depository.

47
 PLEGDE

INTRODUCTION

As per section 12 of Depositories Act, 1996, securities in demat mode can

be pledged. Regulation 58 of SEBI Regulation on depository’s prescribes
the manner in which a pledge is to be created. When the securities are to
be pledged for advance / loan, two entities are involved in this transaction
i.e. the pledgor and the pledgee. The entity taking loan against securities
is called Pledgor and the entity who gives loan is called Pledgee Pledge
may be financial institution or any other entity providing advance / loan
against securities. The ownership of securities continues to remain with
the pledgor but the pledgee has a lien on them. For creating pledge in
depository system, the pledgor as well as pledgee should have demat
account. For the securities in demat form, the pledgor may be able to get
higher loan amounts with reduced margins and lower rate of interest as
compared to securities in physical form. Bankers, share brokers, investors
and entities dealing in securities make frequent use of the pledge facility
in the normal course of their business. CDSL system permits creation of
pledge against such securities held in demat mode.

48
FEATURES OF CDSL SYSTEM TO PLEDGE

• Pledging is not treated as a disposal by the pledgor or an acquisition

by the pledgee.

• Beneficial interest in the securities pledged continues to remain

with the pledgor.

PRE-REQUISITIES
• The pledgor and the pledgee must have Demat accounts in CDSL to
create a pledge. However the pledgor and the pledgee may hold
accounts through same DP or through two different DPs.

• The pledgor and the pledgee should have entered into a pledge
agreement in the normal course of business.

• The pledgor and the pledgee account should not be tagged for
closure.

• Pledgor as well as pledgee accounts should be on CDSL only as

inter depository pledge is presently not permitted.

49
 TRANSMISSION

INTRODUCTION

The objective of transmission functionality is to allow the transfer of title

of securities from one owner to other in case of death, lunacy or
adjudicated insolvency etc. In case the BO is declared as lunatic or
adjusted insolvent or otherwise incapable to operate his BO account,
CDSL shall, on production of the certified copy of the order passed by the
competent court, the securities shall be transmitted to such account as
directed in the court order to that effect. However if the BO undergoes a
voluntary winding up the securities shall be transmitted to such account as
provided in the resolution passed for such voluntary winding up.

50
FEATURES

The securities are transferred to the account of the nominee or the

legal heir in case of death of sole holder. The securities are transferred to
the account of the surviving holders in case of death of any joint account
holder.

The transmittee BO should have an account with CDSL. If the

transmittee BO does not have an account with CDSL, then the DP of the
deceased BO must ensure that the transmittee BO has opened an account
with CDSL.

In case of death of sole holder the DP should measure to verify the

identity of the successor mentioned in the succession documents. In case
of death of joint holder the surviving joint holder should open a new
account with CDSL only in the names of surviving holder

51
 CASE STUDY

CDSL exists to facilitate the electronic settlement of securities. The

company connects and performs tens of thousands of transactions every
day, linking hundreds of companies to India’s stock exchange. E–mail is
the company’s key communications medium to guide, verify and control
the participants.
Linux – based e-mail and security, however, did not DSL securely records
describing ownership of securities. This service makes it possible for
securities settlement in offer sophisticated audit trail or security of
sufficient strength to engender confidence among CDSL’s clients.
Microsoft Exchange 2000 and Internet security and Acceleration Server
CDSL to plan for future expansion to meet its customers expectations.

SITUATION

CIndia to be conducted electronically, instead of requiring the

presentation of physical scrip such as share certificates. The facility to
settle trades in electronic form also reduces the risk of counterfeit
certificates being presented and makes the process faster and more
accurate. Established in 1999, CDSL is owned by a group of 8 banks, and
the Stock Exchange of Mumbai ( BSE) and Calcutta. The company was

52
second depository established in India and is constantly looking for new
business opportunities.

CDSL services are offered y more than 160 different participants

from over 340 centers operating in more than 100 cities and the company
processes between 30000 and 50000 transaction every day, operating 13
hours a day. To facilitate these transactions which are increasing day - by-
day, the company’s network connects its 340 + participant centers, India’s
Stock Exchanges and over 4300 issuers of securities. CDSL’s Linux
based e mail and security applications used from the company’s inception,
proved to be increasingly inadequate. “With Linux we have no control
over incoming or outgoing e mails,” said Hitendra Patil, Vice President –
Operations, CDSL. We were getting any number of files by e mail from
our users that were often choking one of our communication channels to
customers. As a business operating 13 hours a day you must be able to
communicate with your users, so during that window of time I needed
control of what could get in and out.

Linux also offered insufficient audit trail, as all incoming e-mails

were stored on the individual PCs operated by their receipts. For legal
reasons, every communication CDSL receives or sends must be recorded
scrupulously and a detailed audit trail must be identifiable. CDSL creates
much of this audit trail while using e mail. All communications must also
be secure it is conceivable that hundreds of thousands of dollars are at
stake.

53
 Reliability and support were also issues. E-mail became a very
important means of communication for us, but sometimes they did not
arrive for two days, Mr Patil said Discovering why was Hard, “ With
Linux, there was nobody offering us support. If there was a problem we
had to do our own R&D to find our out what was wrong.” “Meanwhile,
the company was creating expensive workarounds for the problem,
installing separate links between offices in an attempt to ensure reliability
of communications. Eventually Patil and his team decided that a
completely new system addressing these issues was required. “We wanted
control of our system, support and the confidence that we would be able
to operate between 8.00AM and 9.00 AM with no interruption,” he said.

CDSL also needed to provide security for three different networks

one operated by s small pool of user to test services, another for its
customers and a third its security team. And while each had different
needs, the Company desired a single solution so it would not introduce
extra complexity.

54
SOLUTION

PWC Recommends Secure Solution

CDSL employed the services of Price Warehouse Coopers to audit the

systems implementation specifically as CDSL was using multiple
networks to service business requirements. PWC suggested that the
emails system at CDSL could turn out to be a weak link, if it was not
controlled meticulously. CDSL’s commitment to provide secure services
to its customers resulted in a careful evaluation of alternative available.
CDSL selected a combination of Microsoft Windows 2000 Advanced
Server with its Active Directory service, Microsoft Exchange 2000, and
Microsoft Internet Security and Acceleration Server. Windows 2000 acts
as the operating system underpinning the other applications while Active
Directory has become the sole responsible for defining security policies,
authenticating users and controlling access to different parts of CDSL’s
network. ISA server provides firewall and caching functions, the former
ensuring that connection between CDSL and all stakeholders are secure
and the latter speeding communication by storing relevant data locally
and reducing the need for traffic on the company’s external links. Caching

55
is also used to ensure that important documents like daily reports are
made available to users faster. ISA server is also used to create virtual
network. CDSL’s three networks are now completely separated from each
other, even if they sometimes use same physical connections.

Microsoft Exchange 2000 is used to process all incoming and

outgoing e - mail and also provides remote access to e mail through its
built in web mail service, ISA server and the Active Directory service
back this facility with security and authentication to give CDSL the
confidence to allow access to mail through a browser for staff and
customers.

BENEFITS
Huge Time Savings

The new system is already saving CDSL a lot of time, especially when
conducting Issues of Commercial papers - very high value, short term
loans. “The system that is required to support this product has to be very
fast and reliable,” Mr Rahul Abhyankar, Manager – Information
technology, CDSL said. “ In the past you would stand by the facts and
wait. It now takes just 10 -15 minutes to guide the processing of these
transactions, down from 3 – 4 hours on the previous system. Banks

56
demand that we perform this in as close to real time as possible. Our new
system lets us satisfy this requirement.”

Reliability Generates Cost Savings

The Microsoft solution is also saving CDSL money. “We need to

concentrate on our core business,” Mr. Patil said. “We couldn’t find
skilled professionals to support us on Linux. The reliability we get from
Microsoft means we are productive, which saves us money.

A Platform for Growth and Innovation

CDSL’s new Microsoft systems are also giving the company a platform
on which they can confidently innovate with new services. “ We will soon
start of offer investors the ability to access details of their accounts over
the Web,” Mr. Patil said. “ They will be able to come online and conduct
transactions.

We think this could expand our client base by a factor of 100, and
we are confident the Exchange 2000 will be able to handle this for us.”
Mr. Patil also believes that using Microsoft software it will be faster and
easier to implement these services. “ We have improvement our time to
market” he said.

Control over E mail Pays Off with Better Audit Trail

57
Exchange 2000 has given CDSL the control over e mail it desired, with
better manageability and reliability into the bargain. Mr. Patil said,
explaining that the company no longer needs to take telephone calls. “ We
could find no Linux anti virus application to screen incoming e mail,” Mr.
Abhyankar said “ Now we have a good choice and feel much more
confident.” CDSL also enjoys Exchange’s screening functions, as it now
receives far fewer unsolicited e – mails. “ We are more efficient overall,”
Mr. Patil concluded. “ Our security is better, we are much more reliable
and we have more sophisticated applications. This was a very worthwhile
move.”

MILESTONES OF CDSL

SOME OF THE IMPORTANT MILESTONES:

1. CDSL received the certificate of commencement of business from

SEBI in February, 1999.

2. Honorable Union Finance Minister, Shri Yashwant Sinha flagged

off the operations of CDSL on July 15, 1999

3. Settlement of trades in the demat mode through BOI Shareholding

Limited, the clearing house of BSE, started in July 1999.

4. All leading stock exchanges like the National Stock Exchange,

Calcutta Stock Exchange, Delhi Stock Exchange, The Stock

58
 Exchange, Ahmedabad, etc have established connectivity with
CDSL

5. As at the end of Dec 2005, over 5000 issuers have admitted their
securities (equities, bonds, debentures, and commercial papers),
units of mutual funds, certificate of deposits etc. into the CDSL
system.

CDSL LATEST NEWS

CDSL has signed a Memorandum of Understanding (MOU) with The

Depository Trust & Clearing Corporation [DTCC] of New York, designed
to build a cooperative relationship. Under the terms of the MOU, DTCC
and CDSL will establish a mechanism whereby board members, senior
management and staff of both sides could meet on a regular basis to
increase mutual understanding and exchange market updates,
improvement opportunities and information on business operating
models.

CDSL AND DTCC (U.S.A.) SIGN INFORMATION

SHARING AND COLLABORATION PACT

59
Mr V.V. Raut, MD & CEO, CDSL, signing the MOU Mr D.F. Donahue,
Chairman-Elect & CEO,DTCC

The MOU also noted that “the parties anticipate developing a closer
working relationship in the future and wish to maintain channels of
communication for exchange of information and to promote visits for
reasons of friendship and other business purposes.”

“India is one of the fastest growing areas of the world, and CDSL is
a major part of the securities infrastructure in the country,” said Donald F.
Donahue, DTCC Chairman-elect and Chief Executive Officer. “This
agreement with CDSL will give us a structure to exchange ideas, share
market insights and develop oordinated ways of working with each other
in what is rapidly becoming a global trading environment.” “The MOU
with DTCC is an extension of the good relations that CDSL shares with
them. I see it as an initial formal handshake, the beginning of a long and
mutually beneficial business relationship,” said Vijay V. Raut, CDSL
Managing Director & CEO. “We are sure that this event will result in
significant, tangible benefits, not just to both organizations, but also to our
stakeholders and to the securities markets at large.” He further added,
“Although DTCC and CDSL have different legislative frameworks and

60
settlement systems; it would be beneficial for both depositories to share
their experiences to reduce risks and to enhance the efficiency of systems.
We look forward to sharing our experience and tapping DTCC's expertise
on global market practices.”

CONCLUSION

Beneficial Owners

During the last 12 months, the number of active BO accounts with CDSL
has increased by 40% from 18.46 lakh on June 30, 2006 to 25.94 lakh on
June 30, 2007.

61
Depository Participants

As on June 30, 2007, CDSL has 372 DPs offering live DP services from
639 locations in 125 cities/towns across the country.

62
Securities Admitted
The securities of Public (listed & unlisted) and Private Limited companies
have been admitted with CDSL for demat. These securities include
equities, debentures, bonds, units of mutual funds, Govt. securities,
Commercial papers, Certificate of deposits, etc. As on June 30, 2007,
CDSL has admitted 30218 securities of which 5202 are equity, 4461 are
debt instruments and 20555 are other securities.

63
 Securities Dematerialized

During the last 12 months, the volume and value of securities under
custody has increased by 14% and 63% respectively.

64
 The depository system - its advent, the extent of its geographical
spread and most pertinently its favourable reception by the securities
market populance – has become one of the great success stories of the
Indian financial sector. From the conception stage itself, CDSL chose to
benchmark itself against investors expectations and concerns. Provision of
convenient, dependable and secure services at an affordable cost has been
at the heart of CDSL’s unwritten contract with all classes of investors.

This project would be effective aid to a candidate seeking

certification. The project covers the elementary features of the capital
market, depository system and goes on to detail the manner of delivery of
the range of services offered by CDSL. The subject matter is based on the
Depositories Act, 1996, The Securities and Exchange Board of India
Regulations, 1996 and the bye laws and Operating Instructions of CDSL.

BIBLIOGRAPHY & WIBLIOGRAPHY

BIBLIOGRAPHY
• NSE’s Certification In Financial Markets

65
WIBLIOGRAPHY
• www.google.com
• www.cdslindia.com
• www.sebi.gov.in

66