ANALYSIS OF GROWTH IN SHARE MARKET AFTER DEMATERIALIZATION

Share market is the place where all financial securities are bought or sold by the investor’s or traders in the stock
exchange. By buying the shares you’re making an investment within the company. Because the company grows,
the value of your share can also increase. The first organized stock exchange in India was started by Premchand
Roychand in 1875 at Bombay. Registers were maintained for recording the transactions. So there was a time lag
between the trading and the time when the actual transaction took place.
To overcome this hassle a very innovative process of having Demat Account System was generated in 1996. Today,
there is no paperwork involved and physical transfers of certificates are no longer cumbersome and tedious issues.
The main objectives of this paper is to understand the growth of share market after dematerialization and
understand the benefits accrued due to dematerialization. For this research, the researcher has used both methods
of data collection i.e. Primary data and Secondary data. Questionnaire method used for the collection of primary
data and secondary data collected with the help of various articles on website. This constitutes a disruptive
innovation in the share market - the share market before dematerialization and the share market post
dematerialization. The paper concluded that due to dematerialization the number of investors have increased and
the reason for it being, it is very much easy for them to handle the transactions with the help of demat account.
Even small investors can do regular investment in shares as well as trading to earn good monetary gain.