Unlisted shares are shares of companies that are not listed or traded on any recognised Indian stock exchange (like NSE or BSE). They are typically held by private investors, founders, employees, or strategic investors and traded privately or over-the-counter. Unlisted shares are not as tightly regulated as listed shares and are accessed via private markets.

Listed shares are traded transparently on NSE/BSE, are highly liquid, and must follow strict SEBI regulations, including disclosure of financials and governance norms. Unlisted shares, on the other hand, are traded privately, offer lower liquidity, have fewer regulatory requirements, and their valuation is often done privately between buyer and seller.

Documents that are compulsory for legal transfer and settlement of unlisted shares in India are
PAN card
Aadhaar card
Cancelled bank cheque
Demat account details (Client Master Report)
KYC verification

Any Indian resident (including retail investors), HNIs, NRIs (via NRO account), and institutional investors can buy unlisted shares.

Unlisted shares in India can be purchased through intermediaries, brokers, or specialized platforms that deal in private market securities. However, many of them add platform fees, brokerage, or insist on a minimum investment size when dealing in unlisted shares. Unlike many brokers, Ashika does not charge brokerage, platform fees, or enforce a minimum investment size.

Unlisted shares appear alongside listed shares in the holdings section of your demat account. You can download your DP (Depository Participant) holding statement from your broker’s back office or directly via the CDSL/NSDL portal. This statement shows all shares held, including unlisted ones.

Buying or selling unlisted shares is possible, but the ease of doing so largely depends on liquidity; that is, how actively those shares are traded in the private market. Platforms like Ashika help simplify this process by connecting investors with genuine buyers and sellers, ensuring smoother transactions at fair market prices.

With Ashika, there are no charges, no brokerage, no platform fee, and no minimum lot size. While other brokers or online platforms may have hidden charges, minimum lots, or markups, Ashika offers a transparent, zero-fee model for retail investors.

Yes, unlisted shares are higher risk than listed equities. Risks include low liquidity, less price transparency, fewer disclosures, and volatile prices. An investor can lose money if company performance worsens, if the company never lists, or if market conditions change, so careful assessment and willingness to accept risk is essential.

If the company is listed through an IPO, SEBI mandates a six-month lock-in period for pre-IPO/unlisted shares. After this lock-in, the shares can be freely traded in the listed market using regular procedures.

Yes, you will need a demat account to hold unlisted shares. All unlisted shares are now transferred and held in demat (electronic) form; physical certificates are not permitted in India as of current regulations.

Yes, unlisted shares are included for all sorts of corporate actions.

Yes, unlisted shares in India can be transferred or shared, but since June-August 2025, NSDL requires private companies to provide a formal consent letter for each transfer and can restrict, block, or delay transfers to ensure compliance with their internal rules or shareholder agreements. Always check company policies before planning a sale or gift of such shares.

After buying unlisted shares, the time it takes for them to show in your Demat account can vary. Unlisted shares are usually credited on the same day the seller receives payment and can be transferred anytime between 10am and 7pm. Delays may occur on holidays or non-working days.

It allows exposure to early-stage companies, giving retail investors access alongside venture capital and private equity funds. Also, it helps diversify portfolios by including sectors and regions underrepresented in public markets.

When you sell unlisted shares in India, the profit is taxed as capital gains. The applicable tax depends on how long you held the shares and on your slab basis.

Liquidity risk: These shares are not listed on any exchange. This is why it may be difficult to buy or sell them quickly.

Limited market size: The market for unlisted shares is much smaller compared to the regular stock exchanges.