Can I buy unlisted shares using my Zerodha demat account?
A demat account allows you to hold securities in electronic form. The securities held by you need not be listed on the stock exchanges.
As long as the shares, debentures, or any other securities you hold are available on the CDSL depository, you can use your Zerodha demat account to hold them. You can check if the securities are available on CDSL by searching for the company name as shown below:
You can transfer unlisted debentures or shares of unlisted companies (pre-IPO) by using the Easiest facility from CDSL. Since the market for unlisted securities can be illiquid i.e. difficult to find buyers or sellers, you should exercise more diligence while exploring such investment opportunities.
Note: The unlisted securities will not be visible on the Kite trading platform. However, you can check them on Console once they are in your demat account.