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Corporate Laws Central Ministry of Finance Securities and Exchange Board of India Act, 1992

CDSL - Reiteration of SEBI Circular regarding Amendments and clarifications to Circular No. SEBI/HO/OIAE/OIAE_IAD-3/P/ON/2025/01650 on Revise and Revamp Nomination Facilities in the Indian Securities Market

28-Feb-2025 | CDSL/OPS/DP/POLCY/2025/145

CDSL has reiterated SEBI circular regarding Amendments and clarifications to Circular No. SEBI/HO/OIAE/OIAE_IAD-3/P/ON/2025/01650 on Revise and Revamp Nomination Facilities in the Indian Securities Market, effective from 1st March 2025.

By virtue of this circular, various clarifications and amendments with regard to SEBI Circular No. SEBI/HO/OIAE/OIAE_IAD-3/P/ON/2025/01650 are issued, some of which are as follows-
1. In terms of Clause 2.1.1 of the principal circular regarding the transmission of assets held to surviving joint holder(s), it is clarified that the regulated entity is required to provide the option to surviving joint holder(s) to transmit the assets held, into another existing or new account/folio.
2. In terms of Clause 2.8 of the principal circular regarding the mandatory nomination for single holding only, it is clarified that an investor having single holding / account / folio can opt-out of nomination, either online or through physical/offline mode.
3. In Clause 2.13 of the principal circular, an amendment is made to include "or statement of account" after the words, "periodic statement of holding". Therefore, regulated entities are required to provide the details as specified under the above-mentioned clause in their periodic statement of holding or statement of account.
4. The Nomination Form for Demat Accounts and Mutual Fund (MF) Folios is modified, and updated form is attached as Annexure - A to the circular.
5. The effective date of certain clauses of the principal circular is deferred as per the table mentioned in Clause 12 of the circular.

Kindly refer to the attached document for more information.

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