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SHREE NAMAN SECURITIES & FINANCE

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SHREE NAMAN SECURITIES & FINANCE

Est. 1995

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SEBI Prescribed Standard Agreement | Annexure 4 & DP Annexure 2.7

Rights and Obligations of the Investor

Statutory terms prescribed by SEBI, BSE, NSE, and CDSL governing client transactions, margin requirements, fund settlements, and depository custody.

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Statutory Disclosures /

Rights & Obligations

Agreement Index

Regulatory Jurisdiction & Scope

Client Information & KYC Duty

Margins, Collaterals & Liquidation

Execution & Electronic Contract Notes

Funds & Securities Settlement

Depository Participant & Beneficial Owner Rights

Termination & Dispute Arbitration

3. Margin Obligations & Liquidation Protocols

  • Clients must maintain sufficient initial and maintenance margins at all times to cover their open positions.
  • Stock Brokers have the right to liquidate client securities or close open positions without notice if the client fails to meet margin calls.
  • Collaterals must be provided only through approved securities or clear funds deposited in the designated accounts.

1. Governing Regulations & Binding Jurisdiction

  • The relationship between the Client and the Stock Broker is governed by the rules, regulations, and bye-laws of SEBI and the respective Stock Exchanges.
  • Any disputes arising from transactions conducted on the exchange platform shall be subject to the exclusive jurisdiction of the courts where the regional arbitration center of the exchange is located.

2. Client Identity, Due Diligence & Statutory Duty

The Client shall provide true and correct details as required by the Know Your Client (KYC) norms and inform the Stock Broker of any changes within 30 days. The Client shall not share their security credentials or account access with any third party to prevent unauthorized transactions.

4. Order Placement & Contract Note Delivery

  • Orders placed by clients are subject to pre-trade risk management checks and exchange availability.
  • Contract Notes shall be issued in electronic form (ECN) to the client's registered email ID within 24 hours of trade execution.
  • Electronic Contract Notes signed digitally are legally binding and valid for all regulatory and tax purposes.

5. Pay-in, Payout & Running Account Settlement

  • Fund pay-ins must happen from the client's registered bank account only; third-party deposits are strictly prohibited.
  • Securities settlement happens on T+1 basis, and payouts are credited to the client's demat account directly.
  • Clients may opt for 'Running Account' settlement, which will be settled by the broker once a month or quarter based on client preference.

6. Rights and Obligations of Beneficial Owner (BO) & DP

  • The BO is entitled to receive SMS/Email alerts for all debits occurring in the demat account directly from CDSL.
  • The DP is bound to execute all valid instructions provided by the BO for transfers, pledges, and freezes.
  • Nomination is mandatory for all individual demat accounts to ensure smooth succession of securities.

7. Termination of Relationship & Arbitration

  • Either party may terminate the relationship by giving a written notice of 30 days, subject to clearance of all dues.
  • All grievances must be first raised with the Stock Broker and, if unresolved, escalated to the exchange's SMART ODR portal or IGRP.
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