Press Trust of India
New Delhi, May 23: Male investors continue to dominate the securities market in India, while the percentage of women considering such market as an investment avenue has remained at less than 25 per cent, says a survey by CDSL. It further said that equity is the preferred mode of investment for capital market investors. Out of total individual demat accounts held as on March 31, 2011, till March 2015, 76 per cent of such accounts pertain to male resident investors, as per a survey by Central Depository Services India Ltd (CDSL), which has over 1.09 crore demat accounts.
Even though it is generally perceived that over a last few years women have increasingly become financially independent but only 24 per cent female resident investors have demat accounts, it added. For NRIs, the said proportion is 81 per cent of males and 19 per cent females. “The higher percentage of demat accounts opening by NRI males as compared to resident males may be due to higher percentage of Indian males working abroad as compared to Indian females,” it added. However, market sentiment plays the same role in decision making of both genders.
CDSL has compiled profile of investors in depository environment, their investment pattern and level of transactions based on the data available in its system. The top 18 cities contribute nearly 40 per cent to total (1.09 crore) demat accounts in CDSL system. Over the years the contribution of rest of the country has increased, although marginally. Even though there has been increase in demat accounts, the number of operational accounts have decreased in terms of percentage and also in absolute terms.
A very large number of investors (nearly 75 per cent) have not transacted even once during the year ended March 2015. There is a direct co-relation between number of demat accounts being opened and the activity in primary market and healthy primary market is essential for return of retail investors to capital market.
