Mutual fund Account Holder: If you also trade in the share market, then definitely complete this work in 11 days. Demat account holders and mutual fund account holders will have to complete their work by 31 December 2023.
If you do not do this, then you will not be able to buy or sell shares in the stock market in the new year. It is mandatory for demat account holders and mutual account holders to file nomination by December 31, 2023.
It is mandatory to file Demat nominee
Investors cannot buy or sell shares on BSE and NSE until they update the nominee. The Securities and Exchange Board of India (SEBI) has made it mandatory for all personal demat account holders to file a nominee. Investors have to complete this work by December 30, 2023. Investors have 11 days left to do this work. If you do not file the nomination by December 31, your account will be frozen. This means that until the nominee is updated, you will not be able to trade in the stock market.
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SEBI has extended the deadline for filing nominee several times.
SEBI has extended the deadline for filing nomination multiple times for all existing trading and demat account holders. The process and deadline for filing the nomination was initially fixed as March 31, 2022, but till now this deadline has been extended several times. Earlier its deadline was 30 September 2023 which was extended to 31 December 2023.
MF and Demat account holders have to do this work by 31st December
The reason for this move by SEBI is to help stock market and mutual fund investors secure their assets and pass them on to their legal heirs. It is also mandatory for mutual fund investors to file their nominee by December 31, 2023. Market regulator SEBI has also said that the order to file nominee applies to both new and existing investors.
Under SEBI rules, new investors have to either nominate their securities at the time of opening trading and demat accounts or formally opt out of the nomination through a declaration form. That is, through this declaration form you will tell that you do not want to make anyone a nominee.
