Zerodha has launched a new and easy facility for people investing in the stock market. Now you can open a second demat account with the same mobile number and login. That is, if you already have a Zerodha account, then now you can open another account with the same. This will make it easier for you to manage your investments differently. Zerodha has launched this facility on its Kite and Console platforms. According to Zerodha, this facility is currently only for Indian citizens who are living in India.

What will be the benefit of keeping two accounts?

Now you can think about why to open another demat account. If you invest in the stock market for the long term and also trade occasionally, then keeping these two separate can help you a lot. With this new facility of Zerodha, you can keep your long-term shares in one account and trade in another account. This will not affect your long-term investment due to daily fluctuations. Also, it will become easier to do accounting while paying taxes.

What will you get in the new account?

When you open a second demat account in Zerodha, the shares kept in it will not be visible in Zerodha's Kite app. That is, they will not have any effect on your daily trading decisions. But you can see these shares in Console. If you need to, you can also transfer shares online from one account to another. For this, Zerodha will charge ₹ 13 and 18% GST on it. The thing to keep in mind is that you cannot sell the shares kept in this new account directly. If you want to sell, then first you have to transfer them to your first account. Apart from this, the shares of the secondary account cannot be used for margin trading, i.e., credit trading.

Who can use it?

An annual charge of ₹ 300 + GST ​​will be levied on both Zerodha accounts. This amount will have to be paid every year, even if you are running both accounts from the same mobile number. Currently, only resident individuals will get the benefit of this facility. That is, only those who are citizens of India and live in India can use it. This facility is not available for accounts like NRI, companies, firms, or HUF.

New way to manage investments

This move by Zerodha is special for those who want to divide their investments wisely. Keeping long-term shares in one account and trading shares in another not only keeps the portfolio clean, but it also becomes easier for the investor to keep an eye on everything. Tax-related matters also become easier because you clearly know which share was bought when and where. In this way, investing has now become more accessible and sensible.