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      Question

      Which of the following is not considered a function of a

      depository in India under SEBI regulations?
      A Holding securities in dematerialized form Correct Answer Incorrect Answer
      B Facilitating transfer of securities Correct Answer Incorrect Answer
      C Providing loans to investors against securities Correct Answer Incorrect Answer
      D Enabling settlement of trades in stock exchanges Correct Answer Incorrect Answer
      E Keeping records of beneficial ownership Correct Answer Incorrect Answer

      Solution

      Depositories like NSDL and CDSL hold and transfer securities electronically. Lending against securities is a function of banks or NBFCs, not depositories.

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