Question:
______ is the process of holding securities in electronic form.
______ is the process of holding securities in electronic form.
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"Demat" is short for dematerialisation — the process of converting physical shares into digital form.
Updated On: Jan 13, 2026
- Financial Intermediation
- Dematerialisation
- Allocative function
- Mobilisation of securities
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The Correct Option is B
Solution and Explanation
Dematerialisation refers to converting physical share certificates into an electronic format. This makes transactions safer, faster, and easier to track.
It is essential for modern trading and investment, eliminating risks like theft, forgery, or damage to paper certificates.
Final Answer: (B) Dematerialisation
It is essential for modern trading and investment, eliminating risks like theft, forgery, or damage to paper certificates.
Final Answer: (B) Dematerialisation
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