ETNow.in Business Conclave & Awards 2026: Speaking on the evolution of the Indian stock markets, CA Rachana Ranade, Teacher, Financial Educator & Entrepreneur, noted that the primary catalyst for new demat accounts remains the primary market.
Addressing the special session on ‘The Rise of India’s New Investor Class’ at the ETNow.in Business Conclave & Awards 2026, she said that the big-ticket initial public offerings (IPOs) are emerging as a key trigger for a surge in new demat account openings in India. But a lack of investor awareness is leading to a growing number of inactive accounts.
“When big headline IPOs hit the market, the maximum number of demat accounts get opened,” she stated.
According to a recent data compiled from the Securities and Exchange Board of India (SEBI), it was revealed that only one out of every three demat accounts was active as of January 2026, representing a significant decline in retail trading participation. The SEBI data showed that only 33 per cent of demat accounts were actively used, indicating that two-thirds of the total demat accounts remain dormant.
A shift from accessibility to awareness
Decoding the possible reasons behind the massive gap, Ranade reflected on her investment journey since 2006. She stated that the technical barriers to entering stock markets have vanished at present. While opening an account was once a “big task,” digitisation and seamless KYC processes have “absolutely sorted” the issue of accessibility. However, this ease of entry has created a new challenge -Accessibility has now far surpassed awareness, she pointed out.
“I started back in 2006. That time, opening a demat account was a big task…Now with more and more digitisation, ease of KYC, I think accessibility is something which has been absolutely sorted. Now it is about awareness. Accessibility has far surpassed awareness because of which the gap between active demat and dormant demat accounts has widened, said CA Rachana Ranade.
The IPO magnet and the dormancy risk
‘When big headline IPOs hit the market, the maximum number of demat accounts get opened…I am sure that with the NSE IPO upcoming, there will be way more investors who will be very much into investing and opening demat accounts. When it’s about IPO investing, I am sure more and more demat accounts will open,” he said.
Ranade further questioned, “The question is – are they really aware of which stocks do they want to choose apart from the IPO. Because once they invest in the IPO, what’s next? I think that’s where the number of dormant accounts starts to increase. I think there has to be a solution for increasing awareness. Once that is done, the number of demat accounts just lying out there will be active.”
The GenZ paradox: ‘Informed but impatient’
The shift in investor behaviour is most visible in the younger generation. Comparing today’s 20 and 30-year-olds to her own beginnings—when stock market information was limited to a few television channels—Ranade described GenZ as the most informed generation to date.
“I definitely feel that they are way more informed than other generations. Because they are the ones who have knowledge at their fingertips. When I started back in 2006, the only source of me getting knowledge was television, where very few channels used to speak about stock markets…Understanding stock market jargon was next to impossible earlier. But now Gen Z have the willingness to learn. But they are informed but impatient,” she said.
ETNow.in Business Conclave and Awards 2026
The ETNow.in Business Conclave & Awards 2026 took place against the backdrop of India’s evolving economic landscape, as the country continues to be among the world’s fastest-growing major economies. With policy focus increasingly centred on innovation, infrastructure development, digital adoption, and sustainability, discussions have largely shifted toward how these factors can support long-term growth across sectors.
The conclave brought together policymakers, industry leaders, investors, and entrepreneurs to deliberate on economic priorities, sectoral opportunities, and policy frameworks influencing India’s growth trajectory.
Conversations at the event span a range of areas, including manufacturing, emerging technologies, renewable energy, healthcare, infrastructure, and talent development, reflecting the breadth of challenges and opportunities facing the economy.
In addition to panel discussions and keynote sessions, the event also aims to highlight examples of innovation and leadership from organisations and individuals contributing to economic activity and institutional development.
The broader focus remains on fostering dialogue between government and industry stakeholders, identifying emerging trends, and examining how collaboration across sectors could strengthen India’s competitiveness and role in the global economy.
