Its a good news for all the traders that they would not have to now open trading account with a demat account. Now it would be possible for all the investors to open a Demat account in electronic form without needing any trading account to be linked with it.
Earlier all the investors were required to open the 3 in 1 bundled account which is demat, trading and a bank savings account. Without these they were not able to trade. Demat account is an account which is useful to hold the shares and securities in a dematerialized form. While the trading account is for trading purpose, buying and selling of the securities. These are automatically debited to the Demat account and the payment or receipt of the trading activities directly gets transferred the savings account of the bank. Another bundle 2 in 1 account is just of the Demat and trading account.
Now people would be able to choose the account they want. They can now choose for the demat accounts alone. The investors who have already bought the securities and are just looking for an account to hold will find it useful. Although, whenever they would want to sell the securities they would be required to open a trading account for that.
Even investors can choose to use the demat account and the trading account of the different service providers if they want. This they can choose to save the fees.