Sebi extends deadline to add nominees for demat account holders till Dec 31

Capital markets regulator Sebi on Tuesday extended the deadline by three months to December-end for existing demat account holders to provide choice of nomination or formally opt out of nomination through a declaration form.

Additionally, submission of 'choice of nomination' for trading accounts has been made voluntary by the regulator as a move towards ease of doing business.

Earlier, the deadline for existing eligible trading and demat account holders to provide a choice of nomination was on or before September 30.

The move is aimed at helping investors to secure their assets and pass them on to their legal heirs.

"Based on the representations received from the exchanges, depositories, brokers' associations and various other stakeholders, submission of 'choice of nomination' for trading accounts has been made voluntary as a step towards ease of doing business.

"With respect to demat accounts, it has been decided to extend the last date for submission of 'choice of nomination' to December 31, 2023," Sebi said in a circular.

Further, Sebi has given time till December 31, for physical security holders for submission of PAN, nomination, contact details, bank account details and specimen signature for their corresponding folio numbers.

In July 2021, the Securities and Exchange Board of India (Sebi) asked all existing eligible trading and demat account holders to provide a choice of nomination on or before March 31, 2022. Later, this was extended by one more year till March 31, 2023 and again till September 30, 2023.