NSE Do’s and Dont’s for Investors | Security Risks Asia Humane ClubMade with Humane Club

NSE Do’s and Dont’s for Investors

Published Oct 09, 2020
Updated Oct 09, 2020

National Stock Exchange of India Ltd (NSE) has been regularly cautioning investors to be wary of fraudulent schemes that promise assured returns and huge profits. NSE has been sending Emails to investors from time to time. Here is a list of pragmatic Do’s and Dont’s for Investors which can be easily implemented by the lay person as well

Do’s & Dont’s
1. Deal only with registered intermediaries – check the registration certificate of the intermediary you are dealing with. It allows recourse to regulatory action.
2. Beware of fixed/guaranteed returns schemes. Brokers or any of their representatives are not authorized to offer fixed/guaranteed returns on your investment or enter into any loan agreement to pay interest on the funds/securities offered by you.
3. Do not fall prey to emails and SMSs luring you to trade in stock/ securities promising huge profits.
4. Ensure to fill all the required details in ‘KYC’ document by yourself and receive duly signed copy of your ‘KYC’ documents from your broker. Check for all conditions that have been agreed and accepted by you.
5. Opt for electronic (e-mail) contract notes/financial statements only if you are computer savvy and have an e-mail account of your own. Don’t ignore any e-mails/SMSs received with regards to trades done by you. Verify the details of the same and report discrepancy, if any, to your broker in writing immediately
6. Trade verification facility is also available on NSE website.
7. Check the frequency of accounts settlement opted for and verify your monthly/quarterly settlement statements. Any discrepancies observed therein should be brought to the notice of your broker in writing immediately.

As received by E mail from National Stock Exchange of India Limited