All Investment Details in A Single Demat Account

Bank fixed deposites (FDs), insurance products & mutual fund (MF) info will be available in the first phase

Indian investors will soon be able to access complete details of their investments in fixed deposits (FD) of banks, mutual funds (MFs), stocks and insurance products in paperless form or in a single dematerialised account with financial sector regulators starting the first phase of the project that aims to capture the financial history of an individual.

The sub-committee of the Financial Stability and Development Council (FSDC), a forum of regulators monitoring financial stability and inter-regulatory co-ordination, headed by the Reserve Bank of India (RBI) governor, has been working on this initiative after former finance minister Mr. P Chidambaram announced a single demat account for all financial investments in the interim budget.





India's savings rate, which topped over 35 % of national income in 2007-08, is still relatively high at close to 30% of GDP . There are 22.78 Crore households in India. Of these, 10.74 % households have invested in government bonds, debentures and equities of private companies, mutual funds and derivatives. 

While 89.26 % of households have chosen tradition al avenues and invested in post office savings schemes, pension schemes, public insurance schemes, bank deposits, commodities, real estate and precious metals, according to a July 2011 report by the National Council of Applied Economic Research. DHC's Haribhakti said the new system would eliminate the loss of physical papers and reduce fraudulent acts as documents would be managed and controlled better.

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