Guide for Investors   Mission To educate and create awareness among investors.   SEBI circular on PAN to be sole identification number Circular on PAN Requirement     Introduction Department of Investor Services Safeguards' for Investors' Rights of Investors General Do's and Don't's for Investors Brokerage & Stamp Duty Investor Awareness & Education Investor Service Centres Quotation Files in Database Format (dbf) Dissemination of Daily Notices and Circulars of BSE Contact Introduction Bombay Stock Exchange Limited, established in 1875 as the "Native Share and Stock Brokers' Association" is one of the oldest stock exchanges in Asia. BSE provides an efficient market, upholding the interests of the investors. It strives to educate and enlighten the investors by making the necessary information available to them. All market related information is available on its website (www.bseindia.com). TOP Department of Investor Services Protecting the interest of the investors dealing in securities is one of the main objectives of BSE. In pursuit of this objective, Department of Investor ' Services was set up in 1986 . The grievances of investors against listed companies and BSE Trading Members are redressed by BSE. BSE also assists in the arbitration process both, between Trading Members inter-se and between Trading Members and non - Trading Members. The capital market can grow only when investors find it safe for them to invest and they are assured that the rules governing the market are fair and just to all the players. With a view to ensure speedy and effective resolution of claims, differences and disputes between Trading Members inter-se and between Trading Members and non - Trading Members, BSE has laid down a set of procedures for arbitration thereof. These procedures are duly embodied in the Rules, Bye-laws and Regulations of BSE, which have been duly approved by the Government of India / Securities and Exchange Board of India (SEBI). TOP Safeguards' for Investors' These are some of the safeguards the investors should keep in mind before trading in the securities market. Selecting a Broker/ Sub - Broker Deal only with a SEBI registered Broker / Sub - broker after due diligence. Details of the BSE Brokers can be obtained from the Member's List published by BSE and from the website : www.bseindia.com ( Please click on 'Member Directory').   Entering into an Agreement Fill in a Client registration form with the Broker / Sub - broker Enter into Broker / Sub - broker - Client Agreement. This agreement is mandatory for all investors for registering as a client of a BSE Trading Member. Ensure the following before entering into an agreement: Carefully read and understand the terms and conditions of the agreement before executing the same on a valid stamp paper of the requisite value. Agreement to be signed on all the pages by the Client and the Member or their representative who has the authority to sign the agreement. Agreement has also to be signed by the witnesses by giving their names and addresses. Please note that Regulatory Authorities have not stipulated for execution of any document other than Broker/ Sub - Broker / Client Agreement.   Transacting Specify to the Broker / Sub - broker, the exchange through which your trade is to be executed and maintain separate account for each exchange. Obtain a valid Contract Note from the Broker / Sub-broker within 24 hours of the execution of the trade. Contract note is a confirmation of trade(s) done on a particular day for and on behalf of a client in a format prescribed by BSE. It establishes a legally enforceable relationship between the Trading Member and his Client in respect of settlement of trades executed on BSE as stated in the Contract Note. Contract Notes are made in duplicate, and the Trading Member and Client, both keep one copy each. The Client is expected to sign on the duplicate copy of the Contract Note, confirming receipt of the original. Contract Note - Form 'A' - Contract Note issued where Member is acting for constituents as brokers/ agents. Contract Note - Form 'B' - Contract Note issued by Members dealing with constituents as principals.   Ensure that the Contract Note contains: SEBI registration number of the Trading Member/ Sub - broker Details of trade such as, Order no, trade no., trade time, quantity, price, brokerage, settlement number, details of other levies. Trade price should be shown separately from the brokerage charged. As stipulated by SEBI, the maximum brokerage that can be charged is 2.5% of the contract price. This maximum brokerage is inclusive of the brokerage charged by the sub-broker (Sub-brokerage cannot exceed 1.5% of the contract price.) Any additional charges that a Trading Member can charge are Service Tax on the brokerage, any penalties arising on behalf of client and Securities Transaction Tax (STT). The brokerage, service tax and STT are indicated separately in the Contract Note. Signature of authorised representative. Arbitration clause stating that the trade is subject to the jurisdiction of Mumbai must be present on the face of the Contract note.   Settlement Ensure delivery of securities /payment of money to the broker immediately upon getting the Contract Note for sale / purchase but in any case, before the prescribed pay-in-day. Member should pay the money or securities to the investor within 24 hours of the payout. Open a demat account. Opt for buying and selling shares in demat form. For delivery of shares from demat account, give the Depository Participant (D P) 'Delivery out' instructions to transfer the same from the beneficiary account to the pool account of broker through whom shares and securities have been sold. The following details to be given to the DP: details of the pool a/c of broker to which the shares are to be transferred, details of scrip, quantity etc. As per the requirement of depositories the 'Delivery out' Instruction should be given atleast 48 hours prior to the cut-off time for the prescribed securities pay-in. For receiving shares in your demat account, give the Depository Participant (D P) 'Delivery in' instructions to accept shares in beneficiary account from the pool account of broker through whom shares have been purchased. If physical deliveries are received check the deliveries received as per Good/Bad delivery guidelines issued by SEBI. Bad delivery cases should be sorted out through BSE mechanism immediately. Ensure that all registration of physical shares for ownership by transfer should be executed by a valid, duly completed and stamped transfer deed.   TOP Rights of Investors To receive all benefits/ material information declared for the investors by the Company. Prompt services from the Company such as transfers, Sub-divisions and consolidation of holdings in the Company. As an equity holder have a right to subscribe to further issue of capital by the Company. Brokerage not to exceed 2.5% of the contract price. Receipt of the Contract Note from the broker in the specified format showing transaction price, brokerage, Service Tax and STT, separately. Expect delivery of shares purchased/value of shares sold within 24 hours from pay-out. Approach BSE at the following address in case of complaints against companies listed on BSE or against the Trading Members of BSE: : Department of Investor' Services , Bombay Stock Exchange Ltd., 1st Floor , Rotunda Building, Bombay Samachar Marg, Mumbai - 400001   TOP General DO's and DON'Ts for Investors More and more investors are investing / tradinag in the stock markets than ever before. It is therefore imperative for the investors to follow some DOs and DON'Ts while dealing in the stock market. Given below are some general DOs and DON'Ts for investors:   DOs 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. Give clear and unambiguous instructions to your broker / agent / depository participant. Always insist on contract notes from your broker. In case of doubt in respect of the transactions, verify the genuineness of the same on the BSE website. Always settle the dues through the normal banking channels with the market intermediaries. Before placing an order with the market intermediaries, please check about the credentials of the companies, its management, fundamentals and recent announcements made by them and various other disclosures made under various regulations. The sources of information are the websites of Exchanges and companies, databases of data vendor, business magazines etc. 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. Be cautious about stocks which show a sudden spurt in price or trading activity, especially low price stocks. 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.   DON'Ts Don't deal with unregistered brokers / sub - brokers, or other unregistered intermediaries. Don't execute any documents with any intermediary without fully understanding its terms and conditions. Don't deal based on rumours or 'tips'. Don't fall prey to promises of guaranteed returns. Don't get misled by companies showing approvals / registrations from Government agencies as the approvals could be for certain other purposes and not for the securities you are buying. Don't leave the custody of your Demat Transaction slip book in the hands of any intermediary. Don't get carried away with advertisements about the financial performance of companies in print and electronic media. Don't blindly follow media reports on corporate developments, as some of these could be misleading. Don't blindly imitate investment decisions of others who may have profited from their investment decisions. Don't forgo obtaining all documents of transactions, in good faith even from people whom you know. Don't forget to take note of the risks involved in an investment. Don't get misled by guarantees of repayment of your investments through post-dated cheques. Don't hesitate to approach concerned persons and then the appropriate authorities. Don't get swayed by promises of high returns. TOP BSE has installed a Toll Free line 1800 22 6663 at which the investors can inform on any specific lead with regard to any type of undesirable trading practices in any scrip or any type of market aberration observed by them. Investors are requested to get their messages recorded in English or Hindi. Identity of the investor will be kept confidential.   TOP Brokerage & Stamp Duty BSE has not prescribed any minimum brokerage, and hence the same is negotiable. Though the maximum brokerage allowed is 2.5% percent of the contract price, the brokerage generally charged by the Members is much lower. A Member may have different scales of brokerages for delivery transactions, trading transactions and the like. The present duty for equity shares transfer is 25paise for every Rs.100 or part thereof, on the amount of consideration while the duty for transfer of debentures varies from state to state, applicable on the basis of the location of the registered office of the concerned issuing company. TOP Investor Awareness & Education Investor Awareness Program Investor Awareness Programmes are being regularly conducted by BSE at various places in the country to educate the investors and to create awareness among the investors regarding the capital market and in particular the working of the stock exchanges. The Investor Awareness Programmes cover topics like DOs and DON'Ts for investors, Instruments of Investment, Portfolio approach, Mutual funds, Trading, Clearing and Settlement, Rolling Settlement, Investors' Protection Fund, Trade Guarantee Fund, Dematerialisation of Shares, Debt Market, Investors' Grievance Redressal system available with SEBI, BSE & Company Law Board, information on Sensex and other Indices, Derivatives etc. BSE also takes initiatives through: BSE Training Institute (BTI) which organises investor education programs periodically on various subjects like Capital Markets, Fundamental Analysis, Technical Analysis, Derivatives, Index Futures and Options, Debt Market etc. For the Derivatives market, BTI conducts BCDE i.e. BSE's certification on Derivative Exchange, a certification test recognized by the SEBI. For details, please contact : BSE Training Institute, 18th Floor, P.J.Tower, Dalal Street, Mumbai - 400001. BSE's official Website : www.bseindia.com which is the focal point for information dissemination. It updates the investors with the latest information on the stock market on a daily basis through real time updation of statistical data on market activity, corporate information and results. Educative articles on various products and processes are also available on the site. Publications: BSE regularly comes out with publications for investor education on various products and processes. Investor Service Centres BSE Investor Service Centre, Delhi BSE Investor Service Centre Floor 7, Mercantile House, Kasturba Gandhi Marg New Delhi - 110 001. Contact Persons :  P. R. Prasad / Ritesh Kumar / Anupam Jha phone : 011- 41510968, 41510481 Telefax : 41510480 E-mail : iscdelhi@bseindia.com BSE Investor Service Centre, Kochi BSE Investor Service Centre 4th Floor, M.E.S. Dr.P.K. Abdul Gafoor Memorial Culture Complex, Judges Avenues, Kaloor Kochi - 682017. Contact Persons : Sumith C. S. Phone. : 0484-2405275 Telefax : 0484 - 2405276 E-mail : isccochin@bseindia.com BSE Investor Service Centre, Kolkata BSE Investor Service Centre 1st Floor, Kishor Bhavan 17, R. N. Mukherji Road, KOLKATA - 700001 Contact Persons : Purushottam Saraf / Anirban Guha /Sanjeev Kumar Jaiswal Phone :  033 - 22133184 Telefax : 033 -22130530 E-mail : isc.kolkata@bseindia.com BSE Investor Service Centre, Ahmedabad BSE Investor Service Centre 804, Corporate House, Ashram Road Ahmedabad - 380 009 Contact Persons : Anoop Dwivedi / Malav Chokshi Phone : 079 - 2754 0445 Telefax : 079 55610755 E-mail : isc.ahemedabad@bseindia.com BSE Investor Service Centre,Chennai BSE Investor Service Centre 4th floor,Exchange Building, No.11,Second Line Beach, Chennai - 600 001. Contact Persons : S. Periyasamy / J . Nirmala Phone : 044 - 42163999 Telefax : 044 - 42164999 E-mail : iscchennai@bseindia.com BSE Investor Service Centre, Rajkot BSE Investor Service Centre 401, 4th Floor, Aalap - B, Limda Chowk, Opp. Shastri Maidan Rajkot - 360 001 Contact Persons : Kartik Bavishi Phone : (0281) 6595542 Telefax : 0281 - 2464348 E-mail : iscrajkot@bseindia.com     TOP Quotation Files in database format (dbf) Rates of scrips traded (Group A+B1+B2+F) (with volume) The rates include open, high, low and close prices of all the scrips traded and also no. of trades, volume and value of shares traded. Annual subscription Charges - Rs 15,000 Timings - 5.30 p.m. to 7.30 p.m. (Monday to Friday) TOP Dissemination of Daily Notices and circulars of the BSE Installation and maintenance charges for first six months - For members of BSE Rs. 1,500 For non-members Rs. 5,000 Please make the payment by cheque/demand draft in favour of Bombay Stock Exchange Ltd and send to the Research and Information Dept, BSE, P.J. Towers 25th Floor, Dalal Street, Mumbai 400 001. TOP CONTACT For further information/clarification, please contact: Business Development, BSE Phone : 2421233/4 Extn :8390 TOP