IFSCA clarification regarding Settlement of Client’s Funds lying with Broker Dealer

IFSCA, with an objective to promote ease of doing business in IFSC and taking into account the representations from investors and discussions with the Stock Exchanges, the has announced the following:

1. Unless otherwise specified by IFSCA, settlement of funds shall be done as per the Agreement/Consent Letter between the Broker Dealer and its client. The Stock Exchanges in IFSC may specify the format of such Agreement/ Consent Letter for the Broker Dealers.
2. Such an Agreement/Consent Letter needs to be executed between the Broker Dealer and the Client at the time of onboarding itself.
3. In case of existing clients, the Broker Dealers in IFSC may adopt a procedure to operationalize the same.
4. The Stock Exchanges in IFSC shall put in place a mechanism for monitoring clients’ funds lying with the Broker Dealers.

<a href="