NSE Raises Claim Limit To Rs 35 Lakh For Defaulter Cases
The NSE has set up an Investor Protection Fund with an aim to reimburse investors when the assets of defaulters are inadequate to cover the recognised claims of investors.
The National Stock Exchange announced on Tuesday that the maximum amount payable from its Investor Protection Fund Trust has been raised to Rs 35 lakh. This new ceiling will apply to claims made against trading members who are declared defaulters or have been expelled.
As per the exchange bylaws, the Investor Protection Fund Trust has increased the maximum permissible limit for an individual claim to Rs 35 lakh per investor, which is an increase from the previous Rs 25 lakh, as announced by the NSE in a statement.
The NSE has set up an Investor Protection Fund with an aim to reimburse investors when the assets of defaulters are inadequate to cover the recognised claims of investors, and to support initiatives in investor education, awareness, and research.
(With PTI Inputs)
