- Always deal with the market intermediaries registered with SEBI, stock exchanges.
- Collect photocopies of all documents executed for registration as a client, immediately
on its execution. Ensure that the documents or forms for registration as Client
are fully filled in.
- Always insist on contract notes from your broker
- Adopt trading / investment strategies commensurate with your risk-bearing capacity
as all investments carry some risk, the degree of which varies according to the
investment strategy adopted.
- Carry out due diligence before registering as client with any intermediary. Carefully
read and understand the contents stated in the Risk Disclosure Document, which forms
part of the investor registration requirement for dealing through brokers.
- There are no guaranteed returns on investment in the stock market.
- Always keep copies of all investment documentation (e.g. application forms, acknowledgements
slips, contract notes).
- Always keep copies of documents you are sending to companies, Trading Member, Registrar
and Transfer Agent, etc.
- Send important documents by a reliable mode (preferably through registered post)
to ensure delivery.
- Ensure that you have money before you buy.
- Ensure that you are holding securities before you sell.
- Follow up diligently and promptly e.g. If you do not receive the required documentation
within a reasonable time, contact the concerned person; i.e. the Trading Member,
company etc., immediately.
- Mention clearly whether you want to transact in physical mode or in Demat mode.