Is it better to have NSDL or CDSL demat account?

There isn’t much difference in 2 however NSDL is the older depository and bigger in terms of volumes. NSDL is affiliated to NSE where as CDSL to BSE. Hence NSDL is the preferred one and brokers generally open an NSDL demat account unless you specify a CDSL.


NSDL provides numerous direct and indirect benefits

Faster settlement cycle ,No stamp duty,Elimination of bad deliveries,Immediate transfer and registration of securities

CDSL has in place a mechanism for monitoring dormant accounts

Both NSDL and CDSL are depositories, and technically there is no difference between the two. NSDL started in 1996 vs CDSL in 1998. NSDL has NSE as its largest shareholder whereas CDSL has BSE.

NSDL holds around Rs 80000 crores worth of stocks in demat and CDSL around Rs 20000 crores worth. NSDL holds more because of a tie up they managed to get with some of the big banks in India.

As an end user, it doesn’t really matter which demat you choose, NSDL or CDSL. Both are essentially the same.