Can I Have Multiple PoAs for the Same Demat Account?

Yes, as a beneficial owner (BO), you can authorize multiple individuals or entities to operate the same demat account by executing separate PoAs, subject to the depository participant’s terms and conditions.

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What Is a Power of Attorney (POA) in a Demat Account?

By Ritesh Jain |Last Updated: February 3, 2026

What Is a Power of Attorney (POA) in a Demat Account?

When investing in Indian shares and other securities, when you open a demat account, you may see a document, i.e., Power of Attorney (POA). Often, during the demat account opening process, this document is presented by your Depository Participant (DP) or stockbroker. It plays a vital role in managing and executing transaction tasks effectively in your demat account.

Confused? This blog provides you with complete information on POA in a demat account. It further helps you in understanding what a power of attorney actually is, why brokers may request it for operational convenience., and more. So read on and clear all your doubts about it.

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Mr. Ritesh has 20 years of experience in taxation, accounting, business planning, organizational structuring, international trade financing, acquisitions, legal and secretarial services, MIS development, and a host of other areas. Mr Jain is a powerhouse of all things taxation.

Frequently Asked Questions

Yes, NRIs can grant a Power of Attorney (PoA) for their demat account to a resident Indian to operate the account. This allows the authorized person to buy, sell, or pledge securities without requiring the NRI to sign individual instructions. It also simplifies portfolio management and enables brokers to process transactions efficiently.

No, as per SEBI guidelines, signing a Power of Attorney is not mandatory to open or operate a demat account. It is optional and primarily used for operational convenience, such as enabling the automatic debit of securities upon sale.

Yes, you can trade without granting a PoA to your broker. According to SEBI guidelines, a PoA is not compulsory. Instead, you can use the e-DIS facility along with a CDSL TPIN to authorize the debit of shares from your demat account for each transaction.

A general PoA grants broad authority to an authorized person or broker to manage investments and carry out multiple transactions. In contrast, a limited PoA restricts authority to specific, predefined actions, such as pledging securities or settling trades on the stock exchange.

Yes, a Power of Attorney can be executed electronically. However, its validity depends on the applicable jurisdiction and the type of electronic or digital signature used.

What Is a Power of Attorney (POA) in a Demat Account?

Frequently Asked Questions

Can NRIs Give a Power of Attorney (PoA) for Their Demat Account?

Is Signing a PoA Mandatory to Open or Operate a Demat Account?

Can I Trade Without Giving a PoA to My Broker?

What Is the Difference Between a General PoA and a Limited PoA in Demat Accounts?

Can a PoA Be Executed Electronically (e-PoA)?

What Is a Power of Attorney (POA) in a Demat Account?

Frequently Asked Questions

Can NRIs Give a Power of Attorney (PoA) for Their Demat Account?

Is Signing a PoA Mandatory to Open or Operate a Demat Account?

Can I Trade Without Giving a PoA to My Broker?

What Is the Difference Between a General PoA and a Limited PoA in Demat Accounts?

Can a PoA Be Executed Electronically (e-PoA)?