Investor Charter – Stock Broking

Vision

To follow highest standards of ethics and compliances while facilitating the trading by clients in securities in a fair and transparent manner, so as to contribute in creation of wealth for investors.

Mission

• To provide high quality and dependable service through innovation, capacity enhancement and use of technology.
• To establish and maintain a relationship of trust and ethics with the investors.
• To observe highest standard of compliances and transparency.
• To always keep protection of investors’ interest’ as goal while providing service.
• To ensure confidentiality of information shared by investors unless such information is required to be provided in furtherance of discharging legal obligations or investors have provided specific consent to share such information.

Services provided to Investors

• Execution of trades on behalf of investors.
• Issuance of Contract Notes.
• Issuance of intimations regarding margin due payments.
• Facilitate execution of early pay-in obligation instructions.
• Periodic Settlement of client’s funds.
• Issuance of retention statement of funds at the time of settlement.
• Risk management systems to mitigate operational and market risk.
• Facilitate client profile changes in the system as instructed by the client.
• Information sharing with the client w.r.t. relevant Market Infrastructure Institutions (MII) circulars.
• Provide a copy of Rights & Obligations document to the client.
• Communicating Most Important terms and Conditions (MITC) to the client.
• Redressal of Investor’s grievances.

Rights of Investors

• Ask for and receive information from a firm about the work history and background of the person handling your account, as well as information about the firm itself (including website providing mandatory information).
• Receive complete information about the risks, obligations, and costs of any investment before investing.
• Receive a copy of all completed account forms and rights & obligation document.
• Receive a copy of ‘Most Important Terms & Conditions’ (MITC).
• Receive account statements that are accurate and understandable.
• Understand the terms and conditions of transactions you undertake.
• Access your funds in a prescribed manner and receive information about any restrictions or limitations on access.
• Receive complete information about maintenance or service charges, transaction or redemption fees, and penalties in form of tariff sheet.
• Discuss your grievances with compliance officer / compliance team / dedicated grievance redressal team of the firm and receive prompt attention to and fair consideration of your concerns.
• Close your zero balance accounts online with minimal documentation
• Get the copies of all policies (including Most Important Terms and Conditions) of the broker related to dealings of your account
• Not be discriminated against in terms of services offered to equivalent clients
• Get only those advertisement materials from the broker which adhere to Code of Advertisement norms in place
• In case of broker defaults, be compensated from the Exchange Investor Protection Fund as per the norms in place
• Trade in derivatives after submission of relevant financial documents to the broker subject to brokers’ adequate due diligence.
• Get warnings on the trading systems while placing orders in securities where surveillance measures are in place
• Get access to products and services in a suitable manner even if differently abled
• Get access to educational materials of the MIIs and brokers
• Get access to all the exchanges of a particular segment you wish to deal with unless opted out specifically as per Broker norms
• Deal with one or more stockbrokers of your choice without any compulsion of minimum business
• Have access to the escalation matrix for communication with the broker
• Not be bound by any clause prescribed by the Brokers which are contravening the Regulatory provisions.

Various activities of Stock Brokers with timelines

DOs and DON’Ts for Investors

Additionally, Investors may refer to Dos and Don’ts issued by MIIs on their respective websites from time to time.

Grievance Redressal Mechanism

Level 1:  Approach the Stock Broker at the designated Investor Grievance e-mail ID of the stock broker. The Stock Broker will strive to redress the grievance immediately, but not later than 30 days of the receipt of the grievance.

Level 2:  Approach the Stock Exchange using the grievance mechanism mentioned at the website of the respective exchange.
Complaints Resolution Process at Stock Exchange explained graphically:

Advisory – KYC Compliance

• All investors are requested to take note that 6 KYC attributes i.e. Name, PAN, Address, Mobile Number, Email id and Income Range have been made mandatory. Investors availing custodian services will be additionally required to update the custodian details.
• The last date to update KYC is on or before March 31, 2022.
• Thereafter non-compliant trading accounts will be blocked for trading by the Exchange.
• The non-compliant demat accounts will be frozen for debits by Depository Participant or Depository.
• On submission of the necessary information to the stockbroker and updation of the same by the stockbroker in the Exchange systems and approval by the Exchange, the blocked trading accounts shall be unblocked by the Exchange on T+1 trading day.
• The demat account shall be unfreezed once the investor submits the deficient KYC details and the same is captured by the depository participant in the depository system
• To ensure smooth settlement of trades, the investors are requested to ensure that both the trading and demat accounts are compliant with respect to the KYC requirement.
• The investors are hereby requested to comply with the regulatory guidelines issued by Exchanges and Depositories from time to time with regard to KYC compliance and related requirements.