August demat account additions top 3 million for the first time in 19 months
Demat account additions in August have crossed 3 million-mark for the first time since January 2022 as investors capitalised on the rally in equity markets, especially in small and midcap stocks.
About 3.1 million demat accounts were added in August, compared with 2.98 million in the preceding month, revealed a report by ICICI Securities.
Demat account additions have grown for four months in a row. This should lead to strong H1FY24 results for capital market players, the brokerage said.
CDSL reported 3.03% growth month-on-month in demat accounts, while NSDL saw an increase of 1.09% month-on-month in August.
Indian exchanges saw strong July and August months, evident from growth in equity derivatives (over Rs 3 trillion average daily trading volume in both the months at NSE).
Meanwhile, the cash segment reported average daily trading volume of Rs 72,700 crore and Rs 76,600 crore in July and August, respectively.
BSE has also reported strong July/August with gains in cash market share (220 bps) and traction derivative (notional ADTV of 10.5/4.3 trillion in Aug/Jul '23).
NSE derivatives remained flattish in August at over Rs 3 trillion ADTV, while cash segment on the exchange has now grown for the fifth consecutive month.
Meanwhile, commodity exchange MCX continued to thrive on options, while futures ADTV declined 1.9% month-on-month to Rs 18,100 crore in August.
Gold futures ADTV declined 28.9% month-on-month while that of crude declined 11.1% month-on-month in August.
