Renewed investor drive propels new demat openings to 10-month high in October

The number of new demat accounts opened in October surged to a 10-month high, reflecting renewed investor enthusiasm amid a rebound in local equity markets, the return of foreign fund inflows, and optimism over an expected tariff deal with the US.

According to data from NSDL and CDSL, more than 30 lakh new demat accounts were opened during the month — the highest since December 2024 and a 22 percent rise from 24.6 lakh in September. With this uptick, the total number of demat accounts in the country climbed to a record 21 crore, up from 20.7 crore a month earlier.

Analysts attributed the spike in account openings to buoyant market conditions, particularly in the broader indices, and a flood of initial public offerings (IPOs) that attracted strong investor participation. India’s primary market delivered a landmark performance in October, marking its busiest month ever for mainboard IPOs. A total of 10 offerings collectively sought to raise over Rs 44,930 crore — the highest monthly fundraising target in the nation’s capital-market history.

The fundraising rush was led by Tata Capital, which raised Rs 15,512 crore, and LG Electronics India, which mobilised Rs 11,607 crore. Together, the two accounted for more than half of the total mop-up during the month. Other prominent listings included Lenskart Solutions (Rs 7,278 crore), WeWork India, Canara HSBC Life Insurance, Orkla India, and Rubicon Research.