Where is the recession? In the Corona crisis, 5 lakh new demat accounts were opened every month

New Delhi, Thursday 20 August 2020

During the Corona crisis, a large number of new investors have joined the stock market. In the lockdown, especially the youth, the stock market has become a source of additional income, as many people's earnings have declined during this period due to pay cuts and layoffs. According to SEBI, an average of 5 lakh new demat accounts are opened every month in the Corona crisis.

The Koro crisis has not only locked people in their homes but also forced a large number of job seekers to cut their salaries and lay off, with people rushing to the stock market to offset the losses, according to market regulator SEBI, an average of Rs 5 lakh per month. New demat accounts have been opened. About 65 percent of these are new young investors between the ages of 21 and 35.

About 24 lakh demat accounts were opened between April 1 and June 30, according to SEBI data. While in June, more than 1 million demat accounts were opened. So far, the total number of demat accounts has reached about 4.5 crore. According to experts, the stock market was at its lowest level around March 23. In such a situation there was a golden opportunity for new investors to enter the market.

30% of new investors joined the market

During the Corona period, the market share among the youth of big cities and metros increased a lot, especially about 30 per cent new investors from Delhi, Mumbai and Bangalore joined the market. Apart from this, the youth of metros like Ahmedabad, Chennai, Kolkata also joined the stock market. It started with trading but now young investors are doing a lot of research before investing in the market.