The report emphasizes the sustained supremacy of Central Depository Services (India) Limited (CDSL) in the market, as it acquired both overall and additional market share in February 2024.
Motilal Oswal’s latest report on the capital market highlights a notable surge in demat account registrations during February. According to estimates, approximately 43 lakh new demat accounts were added, pushing the overall tally to 14.80 crore accounts. This uptick contrasts with the average monthly additions of 21 lakh accounts witnessed in FY23.
The report underscores the continued dominance of Central Depository Services (India) Limited (CDSL) in the market, as it gained both total and incremental market share in February 2024.
Conversely, the National Securities Depository Limited (NSDL) experienced a decline in market share on a year-on-year basis, losing significant ground in both total and incremental demat accounts during the month.
Motilal Oswal’s findings also reveal a steady increase in active clients on the National Stock Exchange (NSE), marking the eighth consecutive month of growth. The number of active clients surged by 4.8% month-on-month, surpassing the milestone of 4 crore.
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In the realm of discount brokers, Zerodha saw a 3.3% month-over-month (MoM) uptick in its client base, reaching 7.2 million, although its market share experienced a slight 30 basis points (bps) dip to 18%. Concurrently, Angel One observed a 5.2% MoM surge in its client count, reaching 5.9 million, with a market share of 14.9%.
Upstox registered a 4.1% MoM rise in its client count, reaching 2.5 million, accompanied by a marginal market share decline to 6.2%. Groww noted a notable 9.1% MoM increase in its client count, reaching 9.2 million, with a rise in market share to 22.9%.
Presently, the top five discount brokers account for 63.5% of the total NSE active clients, compared to 59.6% in February 2023.
Among traditional brokers, ICICI Securities reported a 0.3% MoM decline in its client count, reaching 1.9 million, with a decrease in market share to 4.7%. Meanwhile, IIFL Securities observed a 2.7% MoM increase in its client count, reaching 400,000, and a market share of 1.1%.
Overall, the average daily turnover (ADTO) increased by 5% MoM to Rs 485 trillion, with F&O ADTO witnessing a notable 132% year-over-year (YoY) increase. Cash ADTO also experienced a 3.7% MoM increase.
Total ADTO from BSE rose by 29% MoM to Rs 74 trillion, primarily fueled by growth in F&O volumes. On a MoM basis, BSE’s share in the total cash turnover segment improved to 8.3% in February, compared to 8% in January. Retail cash ADTO increased by 3% MoM to Rs 53,300 crore, marking a 151% YoY rise.
Conversely, total volumes on MCX declined MoM to Rs 25.6 trillion. Volumes in option futures decreased by 15.5% MoM to Rs 22.1 trillion, resulting in an overall ADTO volumes decline of 11.6% MoM to Rs 1.2 trillion.
