Market Access through Authorised Persons (NSE)

1.?????Exchange has increased AP registration charges from Rs 2000 to Rs 5000 ( per segment) (w.ef July 1, 2023)

2.?????From July 1, 2023, no need to pay any charges for cancellation of membership by?APs ( presently APs to pay Rs 1000 per segment).

3.?????TM are required to pay AP AMC charges of Rs 5000 ( all segment) towards all the registered APs as on March 31, of every year ( w.e.f financial year (24-25)).

4.?????Identify those AP terminal where no trade has been placed from last six months or have been inactive and further make sure to deactivate those AP terminal on immediate basis.

5.?????TM are required to monitor whether trade place with AP terminal are commensurate with the number of clients mapped under it.

6.?????Required to do Due Diligence like ?conducting surprise inspection, feedback from clients, necessary disciplinary actions against their APs in case of any noncompliance.

7.?????TM must be held responsible and accountable for all acts of omission and commission of their APs and/or employees at their branches in case of any non compliance like any Authorised trading on behalf of the investors, participation in any price manipulation activity, trade in instruments or amounts beyond limits.

8.?????TMs are required to do in-person verification/site visits, validating their PAN, conducting background checks for onboarding APs to make sure they do not belongs to any debarment list from Exchanges and SEBI.

9.?????TM must ensure that, authentic details such as complete address, valid email address & contact no should be valid at the time of onboarding for APs.

10. Further also ensure that, email address and contact details of an AP are not mapped to any of their existing APs and or clients of TM.

11. Authorized person shall be affiliated with only one Trading Member of the Exchange at any point in time.?

12. Name which may mislead clients/investors, including names with “Portfolio/wealth management/advisory" without a valid SEBI registration Should be avoided.

13. The scope of AP inspection has been increased from “Active APs” to “All Registered APs.”

14. TM required to conduct regular Inspection based on the volume/turnover of the registered AP.

ü?Top 50% of register APs inspected once in a year

ü?Subsequent Top 30% of Registered APs inspected once in 18 months

ü?Remaining 20% of registered APs inspected once in 2 years.

Circular Link:- https://archives.nseindia.com/content/circulars/COMP56947.pdf