Power of Attorney (POA) is a legal document that allows your stockbroker (Fisdom in this case) to complete your transactions in a Demat account on your behalf (like debit shares from your Demat account when you sell them on the exchange, pledge or unpledge them, or so on).
If you don’t update the POA then for every sale transaction you have to authorise the broker to debit his/her Demat account via eDIS (Electronic Delivery Instruction Slip).
Please note, at Fisdom we do not mandate you to sign a POA; you can opt for the eDIS system to manage the process electronically.
However, authorising the POA has the following benefits:
- You can sell holding without completing the eDIS process
- You can place a sell order over the phone via the Call N Trade and Dealer Terminal
- You can invest in IPOs and NCDs in the HNI category