Page 215 - DCOM510_FINANCIAL_DERIVATIVES

Financial Derivatives

Notes (f) Bank pass-book.
(g) Documents register showing full particulars of shares and securities received and
delivered.

2. Every member of a recognised stock exchange shall maintain and preserve the following
documents for a period of two years:
(a) Members’ contract books showing details of all contracts entered into by him with
other members of the same exchange or counter-foils or duplicates of memos of
confirmation issued to such other members.

(b) Counter-foils or duplicates of contract notes issued to clients.
(c) Written consent of clients in respect of contracts entered into as principals. (Rule 15)

Self Assessment

Choose the correct answer from the following options:
13. The dealer/broker and sales persons in the F&O segment shall be required to pass which
of the following examinations?
(a) MBA (Finance)
(b) Chartered Accountancy

(c) Certified Financial Analyst
(d) NCFM
14. Which of the following Acts governs trading of derivatives in India?
(a) Securities Contracts (Regulation) Act, 1956
(b) SEBI Act, 1992

(c) Capital Issues (Control) Act, 1947
(d) Depositories Act, 1956
15. A clearing member of F&O segment is required to have a net worth of and keep collateral
security deposit of:
(a) ` 3 Crore, 50 lakh.
(b) ` 5 Crore, 50 lakh.

(c) ` 3 Crore, 80 lakh.
(d) ` 5 Crore, 10 lakh.

Case Study NSE in Indian Securities Market

he National Stock Exchange of India (NSE) was recognised as a stock exchange in
April 1993. NSE was set up with the objectives of (a) establishing a nationwide
Ttrading facility for all types of securities; (b) ensuring equal access to all investors
across the country through an appropriate communication network; (c) providing a fair,
Contd.....

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