What Is Depository?
Depository Participant (DP) is described as an agent of the depository. They act as the intermediaries between the depository and the investors. The relationship between the DPs and the depository is governed by an agreement made between the two under the Depositories Act. Investors must consider the trust-worthy stock trading platforms like Ajmera Group. An effective and fully developed depository system is essential for maintaining and enhancing the efficiency of stock markets.
- No problem of bad deliveries and fake certificates
- No loss of certificates in transit and delays in transfer
- Quick refund and remission of dividend
- Hypothecation of dematerialized securities for a bank loan