DEPOSITORY OPERATION

Paper Code: 
CBFS 302
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

Course Outcomes

Learning and teaching strategies

Assessment Strategies

  
 

On completion of this course, the students will be able to

 

  1. Familiarize themselves with the regulator bodies of capital market
  2. Evaluate the legal aspects of depositories and depositories participants
  3.  Open the depository account and understand the operations of various depository participants including clearing corporations
  4.  Acquire practical aspects of trading, clearing and settlement procedure.
  5.  Develop an understanding about the operations of special depository services in India

Approach in teaching: Interactive Lectures, Discussion, Tutorials, Practical cases Demonstration, Power point presentation.    

 Learning activities for the students:                              Self learning assignments, Effective questions, Seminar presentation, Live practical problems analysis

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects.

  

 

12.00
Unit I: 
Introduction to the Capital Market

 Introduction to the capital market- Meaning and Function,
 Regulatory environment in Indian capital market Regulators in the Indian Capital market

12.00
Unit II: 
Introduction to Depository

 Meaning of depository and depository system, need for a depository system,
 Legal framework in which the depositories function in India.
 Functions of a depository.
 Depository and its Business Partners- Understanding depository participants (DPs), Clearing Corporation (CC) and Issuers and Registrar and Transfer Agents.

12.00
Unit III: 
Functions of Depository Participant -Account Opening

 Introduction to the Functions of Depository Participant -Account Opening.
 Understand the types of account a person can open with a DP, Beneficiary Account, Basic Services Demat Account (BSDA), operation of a Joint Account, Internet Based Depository Operations of NSDL, Internet Based Depository Operations of CDSL.
 Clearing Member Account, the Closure of account, Freezing of account, Changes in client details.
 Accreditation of Investors for the purpose of Innovators Growth Platform.

12.00
Unit IV: 
Functions of Depository Participant

 Trading and Settlement Procedure
 Special Services- Pledge and Hypothecation- Concept , Procedure and Recording of Non Disposal Undertaking (NDU) in the Depository System

12.00
Unit V: 
Special Depository Services

An overview of Public Offering and Corporate Action, Debt Instruments and Government Securities, Foreign Portfolio Investor and Investor Services

Essential Readings: 

• Bhalla V.K.-“Financial Markets &Services” Anmol Publications, Delhi
• Srivastava R.M.-“Management of Indian Financial Institutions”Himalaya Publication, New Delhi
• Jain, Khanna, Tiwari, “Banking and Public Finance” V.K India Enterprises, New Delhi.
• Natarajan S, Parameshwaran R, “Indian Banking” S.Chand & Company LTD, New Delhi.
• NISM MODULE- DEPOSITORY OPERATIONS

References: 

SUGGESTED READINGS
 Pathak B.V. “ Indian Financial System”, Pearson Publications
 Regina Sibi Cleetus and , K Sasikumar ,”Capital Market and Depository System in India”New Century Publications.

E-RESOURCES
https://www.ajol.info/index.php/smj
http://www.kypublications.com/Model.pdf

JOURNALS
 Journal of Financial Markets
 Journal of Capital Market Studies

Academic Year: 
2023-2024
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