SEBI gave Association of Persons allowed to open a demat account in its name

SEBI: Market Regulator SEBI on Tuesday allowed the Association of Persons (AOPs) to open a demat account in its name so that they can keep mutual fund units, corporate bonds and government security in their demat accounts. However, you will not be able to keep equity share in a demat account. This new rule of SEBI will be implemented from June 2, which aims to make investment easier for AOP. Let us know that AOP means Association of Person’s is a group of people who work together for the same purpose. That is, these people can run a business together or want to work together on a particular project.

Now business will be easy

SEBI said in a circular, “It has been decided to open a demat account in the name of AOP to ensure that the business grow easily after examining all the laws concerned and talking with stakeholders so that the demat account Mutual funds, corporate bonds and units of government securities can be kept. It further stated, “The use of this demat account is not allowed to subscribe or keep equity shares.”

SEBI said in a circular, “It has been decided to allow open account in the name of AOP to ensure that the business is easily allowed to increase the laws and after talking with the stakeholders, so that the demat has been allowed to open a demat account in the name of AOP Mutual funds, corporate bonds and units of government securities can be kept in the account. “It further said, this demat account The use of equity shares is not being allowed to subscribe or keep them.

In case of dispute, accountability will be sought from them

AOP has to follow its constitution rules. SEBI said that PAN details of AOP and its principal officer (eg secretary or trageer) would be needed. In any type of dispute, accountability will be sought from the Principal Officer itself. However, all the members of the AOP will be responsible. SEBI has asked the members associations and stock exchanges of the Industry Standard Forum (ISF) to publish industry standards regarding Regulations on LODR (listing obligation and disclosure requirements) on their websites.

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