Demat, MF A/cs won't be frozen for not filing nomination
Sebi announced it won't freeze demat accounts and mutual fund folios for existing investors without nominations. New investors must provide mandatory nominations, ensuring smoother processes and compliance in the market.
The Securities and Exchange Board of India () on Monday said it would not freeze and of if they didn't submit .The decision for existing investors has been taken based on representation from market participants as it would ease compliance and . Investors holding securities in would be eligible for receipt of dividend, or redemption payment as well as to lodge grievance even if they didn't provide nomination, Sebi said in a circular.
The regulator said dividend, interest or redemption payment withheld presently by listed companies and registrar and transfer agents for want of nomination should be processed accordingly.
However, all new investors would be required to mandatorily provide nomination for accounts and mutual fund folios.
Source: Stocks-Markets-Economic Times
