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Can a minor open a trading and demat account?
Yes, a trading and demat account can be opened in a minor’s name, but only for the limited purpose of selling securities acquired through IPOs, inheritance, corporate actions, or off-market transfers such as gifts, family transfers, or regulatory directions. Active trading or intraday trading is not allowed. The account must be operated solely by the guardian (Natural or court-appointed guardian) until the minor attains the age of majority, after which it can be converted into a regular account in the name of the now-major individual.
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