The general belief is that you can only hold equity shares in your demat account. That is not the case. A single demat account can hold your equity shares, corporate bonds, RBI bonds, government securities, tax saving bonds, mutual funds, gold ETFs, index ETFs etc. It is always better to hold all your securities in a single demat account or couple of demat accounts for the purpose of simplicity and easier tracking. Demat is a lot more convenient and hassle free compared to physical holding and maintenance of certificates.