What is the full form of NSDL

NSDL: National Securities Depository Limited

NSDL stands for National Securities Depository Limited. It is securities depository in India which holds the securities of investors like shares, bonds and debentures in electronic format. It is the first and largest central securities depository in India that was established to sort out the issues associated with the paper-based settlement of securities such as bad delivery and delayed transfer of title.

NSDL was established in I996, after the enactment of Depositories Act, 1996, to facilitate trading and settlement of securities in electronic format. It enabled the investors to transfer the ownership of securities through simple account transfer without involving in paperwork. It is headquartered in Mumbai, India.

Promoters

NSDL is promoted by Industrial Development Bank of India Limited (IDBI), Unit Trust of India (UTI) and National Stock Exchange of India limited (NSE).

Shareholders

Some of the renowned banks that are major shareholders in NSDL are listed below:

• Axis Bank Limited
• Canara Bank
• Citibank
• Dena Bank
• Deutsche Bank
• State Bank of India
• Oriental Bank of Commerce
• Standard Chartered Bank
• Union Bank of India
• HDFC Bank Limited
• HSBC limited

Role of NSDL

• NSDL aims to use innovative technology systems to support investors and brokers in the capital market of India.
• It aims to ensure safety and reliability in the capital market of India by developing effective settlement solutions.
• It aims to increase efficiency by minimizing risk and reducing cost in the Indian marketplace.
• It develops products and services to fulfill the growing needs of financial services industry.