February 27, 2024
AMC for Authorized Persons
The National Stock Exchange (NSE) has recently issued Circular Ref. No: 04/2024, dated February 26, 2024, regarding Annual Maintenance Charges (AMC) towards Authorized Persons (AP). This circular builds upon previous notifications and introduces important changes that traders should be aware of.
Key Highlights:
Background: This circular is in reference to previous circulars, NSE/COMP/56947 dated June 02, 2023, and NSE/COMP/58438 dated September 18, 2023, which outlined market access through Authorized Persons (APs).
Introduction of AMC: The Exchange has introduced an Annual Maintenance Charge (AMC) applicable to Trading Members towards all registered APs across segments, effective from the financial year 2024-25.
Applicability: Starting from April 01, 2024, AMC will be applicable to all registered APs across segments. A fee of Rs 5000/- each will be imposed for all registered APs, as per the Exchange's records as of March 31 of each year.
Non-Refundable: It's important to note that once charged, the AMC will not be refunded, even if the AP registration is cancelled during the year due to any reason, including disciplinary action.
Action Required: In a previous circular, NSE/COMP/58438 dated September 18, 2023, trading members were advised to regularly review the status of all their registered APs, regardless of whether they have been assigned Trading Terminals. If an AP displays prolonged inactivity spanning a period of six months or more, trading members were advised to take appropriate action by cancelling their registration.
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