Tradebulls

policies and procedures

POLICY FOR CLIENT CODE MODIFICATION

Objective

To frame the guidelines for the modifications to client codes post trade execution and reporting of such Client Code Modifications.

Brief about Client Code Modification

Client Code Modification means modification / change of the client codes after execution of trades. Stock Exchanges provide a facility to modify any client code after the trade has been executed to rectify any error or wrong data entry done by the dealers at the time of punching orders. However, such Client Code modification is subject to certain guidelines as to the time limit within which the client code modification is to be carried out and also terminal / system on which such modifications can be allowed. The facility is mainly to provide a system for modification of client codes in case genuine errors in punching / placing the orders. It is to be used as an exception and not a routine. To prevent misuse of the facility Stock Exchanges levy penalty / fine for all non-institutional client code modifications.

Scope of the Policy

This policy covers all the Client Code Modifications carried out / to be carried out in any of the client accounts controlled by HO, subject to the guidelines issued by the SEBI / Stock Exchanges from time to time, in any segment of any exchange for which Moneypalm is a member broker.

“Error Trades”

signify the trades which will be modified / to be modified / allowed to be modified subject to guidelines of the SEBI / Stock Exchanges and this policy.

For the purpose of this Policy, only the following types of trades shall be modified / allowed to be modified:

  • Client code/name and modified client code/name are similar to each other but such modifications are not repetitive.
  • Family Code (spouse, dependent parents, dependent children and HUF).
  • Punching error / typing error of client codes due to any genuine error or mistake in order entry, while punching the order, by any of dealer.
  • Trade entered for wrong client due to any miscommunication from the client / authorized representative of the client.

General Conditions

  • The facility for Client Code Modification can be used only in case of Error Trade.
  • The Client Code Modification shall be carried out only on the designated system and / or as per the process as may be prescribed by SEBI / Stock Exchange.

Place for Client Code Modification

Any Client Code Modification shall, subject to compliance of this policy, be carried out by RMS at HO of all the Error Trades happened in NSE, BSE and MCX.

Penalty

The penalty or fine, if any, levied on Moneypalm for any wrong trade occurred due to any miscommunication from the client / authorized representative of the client shall be borne by the client.

ERROR ACCOUNT POLICY

  • The modification to the client code is to be done only in exceptional cases and not as a routine one.
  • The reason for modification has to be ascertained and analyzed and genuineness is to be established and also its impact on the clients should be studied before the modification.
  • The reason for modification has to be ascertained and analyzed and genuineness is to be established and also its impact on the clients should be studied before the modification.
    • Error due to communication and/or punching or typing such that the original client code/name and the modified client code/name are similar to each other.
    • Modification within relatives (Relative for this purpose would mean ‘Relative’ as defined under sec. 6 the Companies Act, 1956).
  • For easy identification of error account, we register a fresh client code in the UCC database of the Exchange for the account which is classified as error account.
  • Therefore it is imperative that the issue should be reported to the senior level Manager/Director and only with his approval, the modification should be carried after assessing the genuineness, the same is required to be done to protect the interests of the client.
  • Hence the facility to modify the client codes should be available only at the Corporate Manager level and should not be given to the branches/franchise/sub-brokers.
  • Training program should be provided to all the Dealers and they should be explained how code modifications can be misused and what steps should be taken to avoid the same. It also should be explained that code modifications should not be encouraged to the clients, except for cases like ‘punching errors’/’typing errors’.

INACTIVE ACCOUNT POLICY

Scope

To define policies and procedures to ensure that no unauthorized trades are done in any INACTIVE or DORMANT client account.

Background & Definition

Client Account would be treated as INACTIVE if there is no transaction (trade) in the account for 180 days from the last trade.

Checks & Balances

Whenever there is request for trade in INACTIVE account, the client must specifically provide in writing either through his registered Email ID or through a Letter requesting to reactivate the INACTIVE account. The back office executive should also confirm from the Client of any changes in details (like address change or contact number or email id etc.) provided by him in the interim – which should be supported by adequate duly attested documents and the same has to be updated in the back office and UCC before the Client is allowed to trade.

Clients trading in F&O segments have to update their financial status by providing one of the below listed documents.

  • Copy of ITR Acknowledgement
  • Copy of Annual Accounts
  • In case of salary income – Salary Slip, Copy of Form 16
  • Net worth certificate
  • Bank account statement for last 6 months
  • Any other relevant documents substantiating ownership of assets
ATTENTION INVESTORS - "Prevent Unauthorized Transactions in your demat / trading account. Update your Mobile Number/ email Id with your stock broker / Depository Participant. Receive information of your transactions directly from Exchanges on your mobile / email at the end of day and alerts on your registered mobile for all debits and other important transactions in your demat account directly from CDSL on the same day." - Issued in the interest of investors.
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SEBI Registration No. BSE: (Cash) INB 011461036, (F&O) INF 011461036 | NSE: (Cash) INB 231461030, (F&O) INF 231461030, (Currency Derivatives) INE 231461030 | CDSL: IN-DP-CDSL-667-2012. Commodity Trading through Moneypalm Commodities Private Limited MCX Membership Number: 55175 | FMC Code: MCX/TCM/COPR/0743
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