NSDL provides the following services through its network of DPs.
Dematerialisation is the process by which a client can get physical certificates converted into electronic balances maintained in its account with the DP.
Trades which are settled through the Clearing Corporation/ Clearing House of an exchange are classified as "Market Trades".
Trades which are not settled through the Clearing Corporation/ Clearing House of an exchange are classified as "Off Market Trades".
NSDL provides beneficial owners with the facility to pledge/ hypothecate securities held in electronic form.
In case an investor prefers the electronic mode, he has to mention his account number and name of his Participant so that the allotted securities are credited into his account.
If the investor chooses to receive bonus, rights in the electronic form, he can get a direct credit to his account, thereby avoiding the risk of loss of certificates in transit.
A client (lender/borrower) having a beneficiary account with a DP can lend or borrow securities in electronic form through an approved intermediary, who has opened a special 'intermediary' account with a DP. The creation of lend/borrow instruction will be initiated by lender/borrower respectively through his DP. The intermediary will instruct its DP to confirm the instruction. Recall/ repay of lend/ borrow order can be initiated by the lender/ borrower or by the intermediary and is to be confirmed by the counter party.
NSDL provides details of beneficial owners as on a given day (the record date) to the issuer company/ registrar so as to enable the company to calculate the benefits arising out of these holdings. The cash benefits are forwarded to the investor by the company's registrar and transfer agents directly.
A client can make a nomination of his account in favour of any person by filing the nomination form with his DP. Such nomination is considered to be conclusive evidence of the account holder'(s) disposition in respect of all the securities in the account for which the nomination is made.
NSDL facilitates transmission of securities balances of any client due to death, lunacy, bankruptcy, insolvency or by any other lawful means other than transfer.
The client can change his address by submitting the changes in writing to the DP. The changes conveyed to the DP will be automatically communicated to the companies in which he is holding shares in dematerialised form.
Details of bank account of the client, including the 9-digit code number of the bank and branch appearing on the MICR cheques issued by the bank have to given to the DP at the time of account opening. Companies use this information for printing them on dividend/interest warrants etc. to prevent its misuse. In case the client wish to change this bank account details, he can do so by submitting the changes in writing to the DP.