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Step-by-Step Process for Demat Registration & Obtaining ISIN

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Financial Analyst

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PART A — Step-by-Step Process for Demat Registration (For Investors)

Opening a Demat account with a Depository Participant (DP) is the first step toward holding securities digitally.

Step 1: Choose a Depository Participant (DP)

Select a SEBI-registered DP such as a bank, broker, or financial service provider.
Factors to consider:

  • Account opening fees
  • Annual maintenance charges
  • User experience
  • Customer support
  • Trading & investment features

Step 2: Start the Application Process

Begin the Demat account opening online or offline by providing basic details such as mobile number, email, and PAN.

Step 3: Complete KYC Verification

Submit proof of identity, proof of address, and financial documents.
Most DPs now provide online e-KYC + Video KYC, making the process quick and paperless.

Documents Required for Demat Registration

  • PAN (mandatory)
  • Aadhaar / Passport / Voter ID
  • Bank account proof (passbook/cancelled cheque)
  • Photograph
  • Signature specimen

Step 4: Sign Account Opening Documents

You must sign:

  • Demat Account Opening Form
  • Rights & Obligations document
  • Tariff sheet

Signing can be done via e-sign (OTP-based) or physically.

Step 5: Complete In-Person Verification (IPV)

Required for identity validation.
Can be completed through:

  • Video verification, or
  • DP branch visit

Step 6: Receive Your Demat Details

Once your application is verified, you will receive:

  • DP ID
  • Client ID (Your Demat Account Number)

Your account is now active, and you can hold shares, bonds, mutual fund units, and other securities electronically.

PART B — Step-by-Step Process for Obtaining ISIN (For Companies / Issuers)

An ISIN is a unique 12-digit code required for a company to issue, dematerialise, and transfer securities under NSDL/CDSL.

Step 1: Appoint a SEBI-Registered RTA (Registrar & Transfer Agent)

RTAs such as KFin, Link Intime, or Bigshare manage:

  • ISIN application
  • Shareholder record maintenance
  • Corporate actions
  • Dematerialisation processing

Step 2: Choose a Depository (NSDL or CDSL)

Your ISIN will be created under one of these depositories based on preference or RTA guidance.

Step 3: Collect Necessary Documentation

Documentation varies based on type of security (equity, preference, debenture, etc.).
Common requirements include:

Documents Required for ISIN Allotment

  • Certificate of Incorporation
  • MOA & AOA
  • PAN of the company
  • Board resolution approving dematerialisation
  • Share capital structure
  • Specimen signatures of authorised signatory
  • Shareholder list (if converting physical shares)
  • ISIN application form (provided by RTA)

Step 4: Submit ISIN Application to RTA

The company submits all documents to the RTA.
The RTA verifies the paperwork and sends the approval request to NSDL/CDSL.

Step 5: Depository Review & Verification

NSDL/CDSL checks:

  • Company registration details
  • Share capital accuracy
  • Documentation completeness
  • Compliance status

If everything is in order, the depository proceeds with ISIN creation.

Step 6: ISIN Allotment

Once approved, the company receives a unique ISIN for its security.
Each type of security requires a separate ISIN.

Step 7: Shareholder Dematerialisation Begins

After ISIN allotment:

  • Shareholders submit physical certificates to their DP
  • DP forwards demat requests to RTA
  • RTA validates certificates
  • NSDL/CDSL credits shares to Demat accounts

This completes the transition from physical to electronic holding.

Timelines & Fees

Demat Account Opening:

  • Same day to 2–3 working days

ISIN Allotment:

  • 5 to 15 working days (varies by RTA & depository)

Fees:

  • Demat: Account opening + AMC charges
  • ISIN: RTA charges + annual maintenance + depository service fees

Common Mistakes to Avoid

  • Submitting inconsistent documents (name mismatch, wrong capital structure)
  • Not preparing proper board resolutions
  • Appointing an unregistered or inexperienced RTA
  • Delay in shareholder communication for dematerialisation
  • Missing signatures or incorrect file formats

How SavingMantra Helps

SavingMantra provides end-to-end assistance for both processes:

For Investors

  • Smooth Demat account onboarding
  • KYC assistance
  • Guidance for selecting the right DP

For Companies

  • RTA appointment support
  • Complete documentation preparation
  • Filing ISIN application
  • Coordination with NSDL/CDSL
  • Handling dematerialisation requests
  • Ensuring regulatory compliance at every step

With our expert compliance solutions, companies and investors can complete these processes quickly and confidently.

FAQs

1. Is ISIN mandatory for private companies?

Yes, if they intend to dematerialise shares or issue new securities.

2. Can a company have multiple ISINs?

Yes. Each security type—equity, preference, debenture—requires a different ISIN.

3. Can an investor open a Demat account online?

Absolutely. Most DPs offer fully digital onboarding.

4. Who allots an ISIN?

ISIN is allotted by NSDL or CDSL through an RTA.

The information provided in this blog is for general informational and educational purposes only and should not be construed as legal, tax, or professional advice.While every effort has been made to ensure accuracy and compliance with the applicable provisions of the Companies Act, 2013 and related rules, laws and regulations may change over time and interpretations may vary based on specific facts and circumstances.

All services are subject to applicable laws, rules, and government approvals prevailing at the time of execution.

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