Demat Account for Minors: How to Open and Which Broker to Choose?
Introduction
Opening a demat account for minors in India is a smart move to start their financial journey early. Whether it’s for gifting shares, investing in mutual funds, or long-term wealth building, parents or guardians can open an account on behalf of their child. This blog explains the steps, required documents, and the best brokers to consider in 2025.
Who Can Open a Minor’s Demat Account?
A parent or legal guardian can open a demat account for a minor (under 18 years of age).
The account will be operated by the guardian until the child turns 18.
Documents Required for Minor Demat Account
For the Minor:
- PAN card (mandatory)
- Aadhaar card or birth certificate (identity proof)
- Passport-size photo
For the Guardian:
- PAN card
- Aadhaar card
- Relationship proof (birth certificate of child)
- Address proof
- Signature
Steps to Open a Demat Account for a Minor
- Choose a Depository Participant (Broker)
Not all brokers support minor accounts. Recommended options: Zerodha, ICICI Direct, HDFC Securities, Angel One (offline) - Download & Fill Minor Account Form
Forms are available on the broker’s website or at their branch. - Attach Required Documents
Submit minor’s and guardian’s KYC documents along with photos and relationship proof. - In-Person Verification (IPV)
Some brokers may conduct IPV of the guardian. - Account Activation
Once verified, the demat account is opened under the minor’s name, with the guardian as the operator.
Note: Trading in F&O is not allowed in a minor account. Only equity delivery and mutual fund investments are permitted.
Best Brokers for Minor Demat Accounts
| Broker | Mode | Key Features |
|---|---|---|
| Zerodha | Offline | Zero delivery charges, simple KYC |
| ICICI Direct | Online/Offline | Full-service, linked to bank account |
| HDFC Securities | Online/Offline | Suitable for existing HDFC customers |
| Angel One | Offline | Branch support available |
Things to Remember
- A minor cannot operate the account until they turn 18.
- Once the child becomes a major, the account must be converted into a regular demat account.
- No margin, F&O, intraday, or pledge facility is allowed.
- All instructions must be signed by the guardian.
FAQs
1. Can a minor buy shares in India?
Yes, through a guardian-operated demat account. Only equity delivery and mutual fund investments are allowed.
2. Is a trading account required for minors?
No. Only a demat account is needed, as trading in derivatives or intraday is not allowed.
3. Can I open a minor’s demat account online?
Most brokers require offline processing for minors due to IPV and document checks.
4. What happens when the minor turns 18?
The account must be converted to a regular demat account in the minor’s name with full KYC.
5. Which broker is best for minors?
Zerodha and ICICI Direct are considered user-friendly and transparent for minor accounts.
