SEBI updates Demat account rules: Know about increased investment limits, reduced charges

SEBI has raised the investment limit for Basic Services Demat Accounts (BSDA) from Rs 2 lakh to Rs 10 lakh, effective from September 1, 2024. This move aims to lower costs for small investors The Securities and Exchange Board of India (SEBI) has announced an increase in the threshold for Basic Services Demat Accounts (BSDA) from Rs 2 lakh to Rs 10 lakh. Effective from September 1, 2024, investors can hold securities worth up to Rs 10 lakh in their BSDA. Introduced by SEBI in 2012, BSDA is designed to reduce the cost of holding securities for small investors by offering lower charges compared to regular Demat accounts Eligibility: To be eligible for a BSDA, you must be the sole owner of the account and should not have any other Demat account. Joint accounts are not eligible for BSDA if you are the first holder. Value of securities: Post-September 1, 2024, the value of securities in a BSDA should not exceed Rs 10 lakh. If it does, regular brokerage charges will apply, and the account will no longer qualify as a BSDA. Regular Demat accounts come with annual maintenance fees ranging from Rs 300 to Rs 800, depending on the Depository Participant (DP). Under SEBI's new guidelines: Portfolio value up to Rs 4 lakh: No annual maintenance charge. Portfolio value above Rs 4 lakh and up to Rs 10 lakh: Rs 100 annual maintenance charge. Portfolio value above Rs 10 lakh: The account will convert to a regular Demat account, with standard charges applied.

What Is It & Why Is It Important | Union Budget 2024-25

Nirmala Sitharaman set to make history with seventh consecutive Union Budget

Finance Minister Nirmala Sitharaman is set to present her seventh Union Budget as the Monsoon Session of Parliament begins on July 22. With this, she becomes the first Finance Minister to present seven consecutive budgets, surpassing Morarji Desai's record of six. Desai served as Finance Minister from 1959 to 1964 and presented five full budgets and one interim budget. Budget 2024 will be delivered in paperless form, similar to previous full Union Budgets. An Interim Union Budget for 2024 was presented on February 1 in the run-up to general elections. The Finance Ministry has concluded several rounds of deliberations with various economic stakeholders as part of budget preparations. Since June 20, Sitharaman engaged with representatives from trade unions, education and health sectors, MSMEs, economists, and more. These meetings were intended to gather input on key budgetary concerns. Economists highlighted issues like boosting capital expenditure and reducing the fiscal deficit. Industry representatives from the Confederation of Indian Industry (CII) advocated for increased capital expenditure in the upcoming budget Another official remarked, "The group of economists suggested to the ministry that the focus should be on reducing the fiscal deficit in the upcoming budget, along with the need to generate employment growth." Farmer associations have urged the Finance Minister to increase budgetary allocations for the agriculture sector. Representatives from the skilling and employment sectors suggested methods for better youth workforce utilization. This year's Monsoon Session will continue until August 12, including 19 sittings. The Modi government plans to present six bills, including the Aircraft Act and Parliament's approval for the budget of Jammu and Kashmir. Other bills include the Finance Bill, the disaster management law, Bhartiya Vayuyan Vidheyak 2024, the Boilers Bill, and the Coffee (Promotion and Development) Bill, and the Rubber (Promotion and Development) Bill. Significantly, the Bhartiya Vayuyan Vidheyak 2024 aims to replace the Aircraft Act of 1934, streamlining regulations in the civil aviation sector to assist industry players. The interim budget presented on February 1 addressed the financial needs for the intervening period until a new government was formed post-Lok Sabha polls, after which a full budget was expected in July. The Union Budget documents will be accessible via the "Union Budget Mobile App," ensuring hassle-free access for both Members of Parliament (MPs) and the public.

Microsoft outage: NSE and BSE have 'good news' for investors

Microsoft outage: NSE and BSE have 'good news' for investors It appears that Indian stock markets have weathered 'CrowdStrike storm' on Microsoft Windows machines. Despite a widespread Microsoft systems outage that disrupted global operations across various sectors on Friday (July 19), Indian stock exchanges have reported minimal impact. What the joint statement by NSE and BSE says In a joint statement released, Indian stock exchanges confirmed that all exchanges and clearing corporations functioned without any significant disruptions. While 11 trading members experienced temporary operational issues, these were quickly resolved, and overall trading and clearing activities remained unaffected. "On July 19, 2024, there was a global outage of Microsoft Systems. This outage has been reported to have caused disruptions across various sectors globally. In India, all Exchanges and Clearing Corporations functioned without any impact" said a joint statement by Indian stock exchanges. "Out of the 1400+ trading members' ecosystem, there were 11 trading members who reported disruptions to their operations, which were either resolved during the day or are being resolved. Overall, Exchanges & Clearing Corporations have not witnessed any significant impact to the trading" the statement added. The global Microsoft outage caused significant disruptions to airlines, banks, and other critical services worldwide. The root cause of the issue has been traced back to a faulty CrowdStrike Falcon Sensor update, which led to system crashes and the infamous Blue Screen of Death. While India's aviation sector was severely impacted by the outage, with numerous flight cancellations and delays, the country’s financial markets demonstrated resilience. This incident underscores the importance of robust IT infrastructure and disaster recovery plans for critical systems.