For investing Stocks listed in NSE and BSE, you open Trading and Demat Account with us. Trading Account allows you to buy and sell shares based on the amount you have funded while the Demat Account with NDSL allows you to hold the shares bought by you in electronic form
When you buy shares, we receive the shares on your behalf from the exchanges (NSE/ BSE) which are then transferred to your Demat Account with NSDL. Likewise, when you sell shares, we debit your demat account and give it to the exchange. For debiting your demat account when you sell, we have been until now taking a POA (power of attorney) on the demat account. This had to be done to enable seamless online trading. Else, you would be required to transfer shares using a physical DIS slip to us before placing a sell order which is quite a cumbersome exercise.
The problem with POA is that it cannot be signed digitally as per the IT Act. While the account opening is completely online through e-Sign using AADHAAR, you need to physically sign a POA and send it to us before you sell any stock which again is a huge inconvenience.
Introducing NSDL’s e-DIS (Electronic Delivery Instruction Slip) in Rocket
NSDL (National Securities and Depositories Ltd), one of the two major Depositories in India has introduced e-DIS (Electronic delivery instruction slip) to get over pain points in POA. Instead of giving POA or a physical signed DIS slip before selling a stock from your Demat Account, you can just logon to our Rocket Trading Platform give e-DIS mandate before placing the order.
Here is how it works:
1) Select a stock that you have in your Holding and place a sell order
2) Select ‘Confirm’ on the pop up that you get as seen in Image 1 below
3) You will receive an OTP to your registered mobile number.
4) Key in this to authorize the transaction when you do it for the 1st time.
5) This will prompt you to set a MPIN for future use. Set MPIN
6) On setting the MPIN you will be directed to NSDL Authorisation page
7) Enter the MPIN that you had set
8) An auto-filled NSDL Electronic Instruction page will open. Verify details
9) You will simultaneously get an OTP from NSDL to your registered no
10) Enter OTP and a success message pops up
The page will then automatically navigate to Rocket Platform from where you may complete the sale transaction. To note, the EDIS facility will not be available in BOW EXE. Hence, to avoid short selling by clients using BOW terminal, the Exe version will be disabled for all clients and will be enabled only on request from clients who have enabled POA on their demat accounts.
Steps in Image
EDIS confirmation screen – Image 1
NSDL Authorisation Page 1
NSDL Authorisation Page 2
NSDL Authorisation Page 3
With the introduction of eDIS , buying and selling of shares have become convenient and secured. Email [email protected] if you have any queries in this regard.