Selling shares in the secondary market does not always mean the process is complete. After selling your shares, you may need to check your WACC, verify your holding period, and complete the EDIS process through Mero Share.
For new investors, these terms may seem confusing. This simple guide explains WACC calculation, holding period, and EDIS share transfer in Mero Share step by step.
What is WACC in Mero Share?
WACC (Weighted Average Cost of Capital) refers to the weighted average cost of the shares you have purchased.
If you purchased shares of the same company at different prices, the average cost is calculated based on the quantity and purchase price of each transaction.
For example:
- 100 shares at Rs. 500
- 100 shares at Rs. 600
The average purchase cost is determined by considering both transactions. WACC is important because the cost of shares is used when calculating capital gains.
How to Calculate WACC in Mero Share?
You can check and update your WACC through your Mero Share account. Before confirming the information, make sure your purchase details are correct.
Steps to Calculate WACC
- Log in to your Mero Share account.
- Go to My Purchase Source.
- Select the relevant company or scrip.
- Check your purchase details.
- Review the quantity and purchase price.
- Follow the available process to calculate or confirm WACC.
- Review the information carefully before submitting.
What is Holding Period?
The holding period is the length of time you have held a particular share.
Holding period information can be relevant when determining the applicable capital gains tax treatment under prevailing rules.
You can check your holding information through the My Holdings section of Mero Share. Before confirming, check that your purchase date and other details are correct.
What is EDIS in Mero Share?
EDIS (Electronic Delivery Instruction Slip) is the electronic process used to authorize the transfer of shares from your Demat account after you sell them.
In simple terms:
Sell shares → Authorize the transfer through EDIS → Complete share settlement
EDIS allows investors to complete the share-transfer instruction electronically through Mero Share instead of using a physical delivery instruction slip.
How to Transfer Sold Shares Through EDIS?
After selling shares, you can initiate the EDIS process through your Mero Share account.
- Log in to Mero Share.
- Go to My EDIS.
- Select Transfer Shares.
- Find the shares you have sold.
- Select the relevant transaction.
- Check the company and number of shares.
- Proceed with the transfer.
- Review and confirm the declaration.
Important: Complete the EDIS process within the applicable settlement timeline to avoid issues with the settlement of your sold shares.
WACC vs EDIS: What is the Difference?
WACC and EDIS are both part of the share transaction process, but they have different purposes.
| WACC | EDIS |
|---|---|
| Determines the weighted average cost of purchased shares | Authorizes the electronic transfer of sold shares |
| Related to purchase cost | Related to share settlement |
| Checked through My Purchase Source | Completed through My EDIS |
| Used in determining the cost for capital-gain calculation | Helps complete delivery of sold shares |
Important Things to Remember After Selling Shares
After selling shares, make sure you:
- Check your WACC
- Verify your holding period
- Check My EDIS
- Transfer your sold shares on time
- Verify the number of shares before confirming
- Keep your Mero Share information updated
Do not wait until the last moment to complete your EDIS transfer.
