Laxmi Capital News
Demat: A necessity

IPOs of some major organizations are in the pipeline with consolidated aggregate of the offer measuring NPR one arba and 20 crore. There are five hydropower companies, three microfinance institutions and one development bank in line to issue IPO.
Some of them are:

  • RSDC Laghubitta Bittiya Sanstha Limited, with total issue of NPR four crore with per unit share value Rs.100. The issue administrator for the IPO is NIBL Capital Markets Limited.
  • Green Development Bank Limited with the working zone of the bank situated at Baglung, Myagdi and Kaski. It is the first development bank of Baglung.
  • National Microfinance Bittiya Sanstha Limited, who will be floating IPO worth Rs 3 crore (3 lakh unit shares) to general public.
  • Synergy Power Development Limited, with initiative to issue IPO of Rs 7 crore (7 lakh unit shares). Civil Capital Market Limited is the issue manager for the IPO.

If you want to read more please visit the sharesansar page.

Furthermore, it has also helped that the regulatory boards like CDS and SEBON have issued a public notice that one must have a De-mat account to invest after Shrawan 2073. For full announcement from CDS please click here.

Today in most of the countries one must have a demat account or similar platform to invest shares. A Dematerialized record is opened by the financial specialist while enlisting with a broker (or sub-broker). The Dematerialized account number is cited for all exchanges to empower electronic settlements of exchanges to happen. Where, each shareholder will have a Dematerialized account to trade the shares from. (Wikipedia, 2016)

Advantages of having a demat account are

  • Eliminates risk associated with physical certificates:
  • Immediate transfer of securities
  • Immediate settlement cycle
  • Immediate distribution of shares allotted in IPO:
  • Easy in portfolio management:
  • Solve the problem of address change
  • Easy in pledge of securities: 

With so many good investments in the pipeline De-mat has become popular within the capital markets in recent months. De- mat account can be opened at DP license holder institutions from CDS and Clearing Limited. Laxmi capital Market Limited is a DP License holder institution from CDS and Clearing Limited and provides services to open a De-mat account. The following documents are required to open De-mat account:

  • Copy of citizenship
  • Photograph-(1 number)
  • In the case of minor 
    - Copy of citizenship of any of the guardian
    - Copy of birth certificate
    - Photograph- (1 Number)
  • Account opening charges- Rs. 50 
  • Annual maintenance charges- Rs. 100 at the end of one year.

To open a demat account form Laxmi Capital market Limited please click here to download Anushuci 12(DP Form Individual) and 16(Demat Request Form) and submit it to any branches of Laxmi bank or Laxmi capital with the relevant documents mentioned above. Please note that if you have already invested your previous share certificate is needed along with your citizenship while registering a Demat account. 

Bibliography

  • sharesansar.com. (2016). 5 hydropower companies, 3 microfinance companies & 1 development bank in pipeline to issue IPO — sharesansar.com. [online] Available at: http://www.sharesansar.com/5-hydropower-companies-3-microfinance-companies-1-development-bank-in-pipeline-to-issue-ipo/ [Accessed 22 Apr. 2016].
  • Wikipedia. (2016). Demat account. [online] Available at: https://en.wikipedia.org/wiki/Demat_account#Transfer_of_Shares_between_.28depository_participant.29_DPs [Accessed 22 Apr. 2016].
  • Raju, T. M., & Patil, R. P. (2001). Dematerialisation:A Silent Revolution in the Indian Capital Market. Mumbai: Securites and Exchange Board of India.
Demat: A necessity


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