Zerodha’s Nitin Kamath Simplifies the Dematerialization of Physical Share Certificates
Last week, a Chandigarh man discovered forgotten share certificates of JSW Steel that his father had purchased in 1990 for Rs 1 lakh. These shares are now worth approximately Rs 80 crore. This is just one of many stories emerging in India about finding forgotten physical share certificates.
However, the Securities and Exchange Board of India (SEBI) no longer accepts physical certificates, and investors are required to dematerialize them into electronic form. Recognizing the time-consuming and tedious nature of the dematerialization process, Zerodha has established a dedicated team to assist such investors.
Nitin Kamath, the Chief Executive Officer of Zerodha, expressed his commitment to helping investors on X (formerly Twitter). “We’ve set up a dedicated team to assist with the dematerialization process. You don’t need to be a @zerodhaonline customer or even have an account with us; we’ll still help you convert your physical shares to demat,” Kamath stated in a post on X.
Zerodha has outlined the requirements and process for dematerializing old purchased shares on its website. Customers need to courier all necessary documents, including the Completed Dematerialisation Request Form (DRF), a self-attested PAN card copy, original share certificates, and address proof documents of the investor.
The company explains that it will process the documents, and the dematerialization process could take up to 25 days. Zerodha has also listed its charges, which include Rs 50 plus 18 percent GST per share certificate and Rs 100 plus 18 percent GST for the courier fee per request.
While there is no specific last date for dematerializing physical shares, SEBI has strongly encouraged investors to convert their physical shares to demat form. This process not only enhances security but also provides greater convenience. In demat form, investors can receive dividends directly into their bank accounts, making the investment process more streamlined and efficient.
Zerodha’s initiative to simplify the dematerialization process is a significant step towards making the Indian stock market more accessible and user-friendly. By providing dedicated support, Zerodha is helping investors unlock the value of their forgotten shares and ensuring that they can benefit from the modern, digital financial ecosystem.
For more information on the dematerialization process and to access the necessary forms, investors can visit Zerodha’s official website. Zerodha, a leading online stockbroker in India, is committed to providing innovative solutions to enhance the investment experience for all.
