What is main function of depositories?

1 Answer(s)


A depository in a simple term means a place where something is deposit for storage and security, however in our capital market, this term has a lot of relevance, we define
“Depository as an institution that works like bank”
Likewise our bank holds investor fund, similarly depository maintains an account for investors securities (share, debentures, mutual fund etc) hold by them in a dematerialised or an electronic form.