When you buy shares using your demat account without the intention of selling them off the same day, they are known as your holdings. Before the advent of online trading, shares were held in physical form. With online demat accounts, shares are held in non-physical or dematerialized form. A demat holding statement gives details of all the shares held by you, much like a bank statement gives an account of the assets in your bank account.

Understanding Demat Account Holding Statements

To able to buy and sell shares online you need to open a demat account with a depository participant or DP. DPs are registered with a central depository – either CSDL or NSDL that keeps a record of all demat transactions. DPs also act as brokers fulfilling the role of an intermediary between the customer and the stock exchange. So what happens each time you place a buy order? Although it sounds like a simple enough matter of clicking the buy button, the process is in reality a complex that one that unfolds over several days and through multiple steps.

1. The shares are transferred first to the DP’s pool account and from there they are transferred to the client’s account. This process is usually completed within T+2 business days where T is the day on which the transaction was initiated.

2. Funds have to be cleared from your bank account linked to the demat account, which is to say that you must have sufficient funds in your bank account to pay for the transaction.

3. Shares are finally transferred to your demat account. When you keep the shares in your account for more than one day, they begin to show as holdings. If on the other hand, you sell them on the same day, they are displayed as positions.

But how do you know that the shares have indeed been transferred to your account? This is where the demat holding statement comes in. The demat account holding statement is conclusive proof that ownership of shares has been transferred to you. While this might sound like an obvious fact, however, there are often cases where DPs keep the shares in their own pool account instead of transferring to the client. Thus, it is advisable to constantly monitor your demat holding statement. A  demat account holding statement is a detailed account of all the shares you hold, the dates they were purchased on, their current value, and other relevant details. Besides giving you a clear picture of your assets, demat holding statements are also relevant for tax purposes. It is therefore important to know how to download demat holding statements.

How to Download Demat Holding Statement

There are two ways in which you can view your statement of demat holdings:

1. Directly From the Central Depository Website

There are two main central depositories in India – CSDL and NSDL. You can download your demat account statement directly from the website of CSDL or NSDL, depending on which national depository your demat account is registered with. Demat accounts registered with the NSDL usually have a 14-digit number whereas those registered with the CSDL are 16-digit. Simply log on to the website of the required national depository and enter your demat number to view your demat account holding statement.

2. Using Your Broker’s Trading Platform

When you open an online demat account, your broker provides you a trading platform using which you perform online buying and selling of stocks. You can view your demat account holding statement using this trading platform as well. For instance, in the case of Angel One, you need to first log in to the Angel One trading website using your login ID and password. Then, from the dashboard that opens up, click on “Reports” followed by “Security Holdings”. This will open up your demat account holding statement which you can then either view or download as you deem fit. You may follow a similar procedure for whichever DP your trading account is with.

Conclusion

Demat account holding statements are a summary of all the shares you hold in your demat account, the dates they were purchased on, along with their current value. It is important to constantly monitor your demat account holding statement in order to make sure that the shares you purchased have indeed been transferred to your demat account. This is important as there are a number of intermediaries such as the DP, the depository, and the stock exchange between a buyer and a seller of shares and the share transfer can sometimes get stuck at any one of these intermediaries. Your demat account holding statement is conclusive evidence of your ownership of shares. It is also useful for tax purposes. You can download your demat account holding statement either directly from the website of the relevant national depository or through your broker.