CSDL ventures limited (CVL) is owned subsidiary of central depository services India limited it is one of the leading depository in the country. CSDL is promoted by Bombay stock exchange in association with most of the leading banks such as bank of India, bank of Baroda, state bank of India, HDFC. cdsl was set with the motive to provide convenient, dependable services at affordable prices to all the market participants. According to SEBI norms any one can act as depository participant (DP) which includes banks, financial institutes, or even a stock broker and many more. Person who wants to invest in this field is popularly known by the name beneficial owner has to open a DMAT account through any of the depository participant for holding and transferring securities. A person who wants to open an cdsl need to fill a cdsl modification form Some of the important milestones of central depository services India Limited are Discussed as Under:
- Central depository services India limited received a certificate for business by SEBI in February 1999.
- CSDL started the operating in July 15 1999 when union finance minister flagged the operation.
- National stock exchange, Delhi stock exchange, Calcutta stock exchange and many other lading stock exchanges in India got connected with central depository services India limited.
At present there are two main depositories in India namely cdsl and nsdl. Nsdl is public limited companies which are incorporated under companies act, 1956. Whereas cdsl- central depository services India limited is an agency that has a main function is centralizes data base and accounting. There are some important function which is to be performed by cdsl and nsdl which are:
- Main investors holding in an electronic form which is the main function performed by cdsl and nsdl.
- Another function of cdsl and nsdl is surrender and withdrawal of securities to and from the depository.
- Settlements of traders which are done by stock exchange of india are done by cdsl and nsdl.
In order to open an account under cdsl a beneficial owner will to have to fill cdsl modification form under which he has to fill all the basic information regarding his identity and all other information which is required in the form. CSDL modification form is mandatory to be filled by every depository participant. CSDL modification form is not complicated to be filled because it is easy to fill the cdsl modification form online and at the same time it can be submitted online.