Team Blitz India
NEW DELHI: A record number of 4.2 million demat accounts were opened in December 2023, as per data analysed by brokerage Motilal Oswal. The average monthly additions has been around 2.1 million in FY23.This surge is a 50 per cent increase compared to the previous month, which witnessed 2.8 million new demat accounts.
“Opening of this record 42 lakh demat accounts is due to fear of missing out (FOMO) factor. The market is trading at a record high and investors have made significant profit as the rally is broadbased. New investors are coming in by hearing the noise around to participate in the rising market. Buoyancy in the IPO market is also prompting these investors to open demat accounts to participate in these IPOs,” said Mukesh Kochar, National Head Wealth, AUM Capital.
However, Kochar cautioned investors that they should avoid investing in penny stocks based on rumours and should stay invested for long and be consistent with their SIPs. “Market is at a lifetime high and volatility may increase from hereon,” he said.
