The National Stock Exchange (NSE) on April 05, 2024, notified regarding the Handling of Clients’ Securities by Trading Members (TM)/Clearing Members (CM).
This has reference to SEBI circular SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2022/153 dated November 11, 2022, and Exchange Circular NSE/INSP/54390 dated November 11, 2022, on the subject “Handling of Clients’ Securities by Trading Members(TM) / Clearing Members (CM)”.
The following has been stated:
• It has stated that in view of the representation received from Broker’s Industry Standards Forum (ISF) with respect to the aforesaid provision and in consultation with SEBI, it is clarified that unpaid securities pledged in favour of CUSPA account of member (reduced by the appropriate haircut subject to minimum 20%) may be considered for collection and reporting of margin by member to the extent of debit balances in client ledger arising out of buying obligation of such securities.
[Notification No NSE/INSP/61507]
