धेरै सोधिने प्रश्न (शेयर डीम्याट)

The data in CDSC system is very significant. CDSC implies the proper precautions to secure the processed and stored data. This system safe guards the data from unauthorized access, misuse and unpredictable loss. CDSC uses following back up to secure the data:

  • Local Back Up
  • Remote Back Up
  • Disaster Recovery Site

 

Additionally, DP also maintains Back Up for each day transaction.

 

DP provides the following services to the investors:

  • To open the demat account,
  • Dematerialization of securities,
  • Rematerialization of securities,
  • To maintain record of securities in the electronic form,
  • Settlement trades by transferring/receiving the securities from/in BO accounts,
  • Settlement of off-market trades that is occurred between BOs outside NEPSE,
  • To provide electronic credit of securities allotted by issuers during IPOs,
  • To deposit the non financial corporate benefits (such as: bonus, right shares, etc.) issued by
    issuers in the demat account of BOs,

To facilitate in pledging of dematerialized securities.

No, different securities issued by the same issuer will have different ISIN code.

An ISIN is a unique 12 digit alphanumeric code given to the securities such as shares, preference
shares, debentures, bonds, etc. when the security is admitted in the depository system. The first
two digits of the ISIN code indicate country of registration for the security.

For instance:

NP E 002 A 01 01 8

NP=Country Code for Nepal

002=Issuer Code

 

BOID is a unique 16 digit identification number given to BO which is generated only when BO
opens the demat account in CDSC through an authorized DP. BOID must be mentioned in all
future transactions. BOID cannot be duplicate. It means two BOs cannot have same BOID which
replicates that the securities cannot be transferred into the wrong account.

For instance:

A Depository Participant is an agent of the depository who has received the registration certificate
from the Security Board of Nepal and the membership license from CDSC. To be an authorized DP,
the DP has to comply following eligibility criteria:

  • Shall be a Bank or Financial Institution, Stock Broker, Registrar and Transfer Agent, custodian or such other entity as may be prescribed by the Board from time to time,
  • Shall have minimum net worth of rupees ten million,
  • Have not been black listed by Credit Information Bureau.

A Beneficial Owner is the person who have opened the demat account with CDSC through a
registered DP in order to deposit their securities or instruments which are capable of being
deposited in demat form.

The purpose of opening a demat account are as mentioned below:

  • To convert the physical securities into the electronic form,
  • To deposit and transfer the NEPSE listed securities in a dematerialized form ,
  • To credit the securities allotted through IPO and corporate actions (such as rights share
    issue, bonus issue, merger, etc.) in a dematerialized form,
  • To receive the statement of the securities held in a demat account,
  • To pledge the securities held in a demat account,
  • To rematerialize the securities held in a demat account.

Dematerialization is a process of converting physical securities into electronic form.

The following parties are involved with CDSC:

  • Beneficial Owner (BO) : The investor
  • Depository Participant (DP) : Agent of the depository
  • Issuer : Issuing Company
  • Registrar and Transfer Agent (RTA) : Agent of the Issuer
  • Stock Brokers