A lot of new investors have been joining the stock market of late. Millennials and Gen Z are getting more investment-aware and refusing to stick to entirely safe but low-return investments. Fintech has a significant role to play in this change. The markets are developing alongside technology.
If you are a new investor and about to open Demat account online, there are certain things you ought to know about Demat accounts and their evolution in the sphere of stock market investments.
Rise of the Demat Account
Since the pandemic started in 2020, people have been facing financial issues of a kind they probably never had before. It was all too sudden for all of us. Lately, people have been turning to stock investments as a better way to invest money, make money, and make money work for them. Depository participants have noticed a rise in new Demat accounts since 2021 and 2022.
A key reason for this is that Demat accounts have gone online and become very convenient. This generation needs everything quick, including investments. Opening a Demat account online and starting investing has become so easy that many are instantly ready to give it a shot.
Demat Account Trends in 2022
Here are some trends noticed about Demat accounts in the recent past, which are being carried over to the current year.
- New Demat accounts were opened in numbers of 5-6 million in 2021, continuing in 2022. These include Demat accounts for minors and adults.
- The pandemic and the ensuing lockdown have impeded new Demat accounts and linked trading accounts. This happened because people have been looking for new and quicker ways of income.
- The WFH (Work From Home) culture has given people much more time to stay at home and read, research, and analyse markets. The WFH routine is conducive to keeping a watch on needs and dabbling in investments. This has also led to new Demat accounts being opened.
- It has also been noticed that new Demat accounts are being opened by metro and Tier 1 residents and those in Tier 2 and Tier 3 cities of India. This shows that individuals in small towns are getting more tech-savvy and investment savvy.
- Most new Demat accounts belong to youngsters, which means a strong trend of early investment is seen.
Parting Note
Opening a Demat account online is as simple as it gets. Just one search online, and you can figure it out by yourself. If you, too, need a new income source and are attracted by the world of stocks and investments, you can start by opening your very own Demat account within minutes. Plus, you do not even need to be highly tech-savvy for this purpose. It is a straightforward process. So if you feel like you are ready to enter the big wild world of online stock market investing, the first step upwards is only a few clicks away!
