NSE and BSE rolls out framework for Trading Members to provide the facility of voluntary freezing/blocking the online access of the trading account to their clients

The National Stock Exchange (“NSE”) and the Bombay Stock Exchange (“BSE”) have issued circular/s for trading members to frame policy in line with the framework which must be a part of their Risk Management Policy.

Key Highlights:

1. The trading members must disclose the policy on their website alongwith process and mode through which the client can place the request to freeze / block & unfreeze / unblock the trading account along with the timelines that will be followed by the trading members.
2. For the new clients onboarding after 1^st July, 2024, the policy will form a part of account opening kit.
3. For the existing clients, the policy framed must be communicated to the client by 1^st July, 2024 through e-mail, or any suitable mechanism and in case the communication gets bounced then the same should be communicated through alternate channels.

Please refer to the hyperlink for a detailed read of the circulars.

Source: National Stock Exchange and Bombay Stock Exchange