Updated 31.12.2023 A Depository refers to a place or entity that holds financial securities in a dematerialized form. In the Indian capital market, this term has a lot of relevance where they hold securities in dematerialized (Demat*) form. In demat form, all physical share certificates were converted into electronic form and the same was deposited…
The selling of Insurance products by banks to their established customers is known as Bancassurance . Banks and insurance company come up with an arrangement wherein the bank sells the insurance products of specific Insurance companies (Life and or general Insurance companies) with whom they have tied up. In this arrangement, both banks and insurance…
Foreign Institutional Investors are SEBI authorised foreign based institutions. They invest in the Indian equity market and debt market through stock exchanges. Foreign Institutional investors most notably include hedge funds, insurance companies, pension funds and mutual funds. Click below to know; What is Universal Banking? What is Bancassurance? What is Stock Exchange and stock broker?…
Reserve Bank Notification No. FEMA 5/2000-RB, [dated May 3, 2000AP (DIR SERIES) (2002-2003)] 2. RBI circular No. 5 dated 15-7-2002, and 3. A.P. (DIR Series) Circular No. 45, dated May 14, 2002 give guidelines on various debits and credits allowed in NRE accounts. The following are the permitted debits and credits allowed in NRE accounts.…
The equity market represents the trading of equities known as stock market or share market. Debt market is basically a market where fixed income instruments/securities traded. The debt instruments are issued by the central and state governments, Municipal corporations, Banks, financial institutions and corporate. The nature of equity and debt instruments are vastly different with…
Debt market is basically a market where fixed income instruments/securities issued by the central and state governments, Municipal corporations are traded. The fixed reimbursement securities may also be issued by commercial banks, financial institutions as well as corporate bodies. Regulators: The Government securities and bonds issued by banks and financial institutions are regulated by RBI.…
The fair practices code for debt collection framed by the banks is revolved around dignity and respect to customers. The codes are outlined based on recommendations of the Working Group on Lenders’ Liability Laws constituted by the Government of India. Banks security repossession policies were aimed at recovery of dues in the event of default…
Karta (Manager) of HUF have sole authority over HUF account and also on every transaction on behalf of HUF account, made by each member of the family. Therefore, it is necessary to appoint a new Karta to allow operation in the account after the death of the Karta to allow further operation in the same…
The Karta is traditionally the senior most male coparcener of the Hindu Undivided Family (HUF). He is the person who takes care of day to day expenses of the family looks after the family and protects the joint family properties. He remains to be Karta even if he becomes aged, infirm or ailing. Where a…