Demat account, explained
A demat (dematerialised) account holds your shares and securities in electronic form, the way a bank account holds money. Instead of physical certificates, your holdings sit safely with a depository — NSDL or CDSL — in your own name. When you buy shares, they are credited to your demat account; when you sell, they are debited.
Demat vs trading account
They do different jobs and you need both. The demat account stores your securities; the trading account transacts — it places buy and sell orders on the exchange. ROAR opens both together in one application.
Benefits of a demat account
Dematerialisation made investing safer and simpler.
- Safety — no risk of lost, stolen or damaged physical certificates.
- Convenience — hold stocks, ETFs, bonds and mutual funds in one place.
- Fast settlement — shares are credited and debited electronically.
- Easy corporate actions — dividends, bonuses and splits are handled automatically.
Charges on a demat account
Common charges include account opening (free on ROAR), annual maintenance (AMC) and small transaction/DP charges on sell transactions. All charges are disclosed up front — see pricing.
Frequently asked questions
What is the difference between a demat and trading account?
A demat account holds your securities electronically with the depository; a trading account is used to place buy and sell orders on the exchange. You need both, and ROAR opens them together.
Is a demat account safe?
Yes — your securities are held with the depository (NSDL/CDSL) in your own name, and a SEBI-registered broker provides access with bank-grade security.
Do I need a demat account for mutual funds?
Not necessarily — mutual funds can be held in a statement (non-demat) form too. But a demat account lets you hold funds, stocks, ETFs and bonds together.
What are NSDL and CDSL?
They are India’s two central depositories that hold securities in electronic form. Your broker is a depository participant that connects you to one of them.