TMI BlogRequirement of Base Minimum Capital for Stock Broker and Trading MemberX X X X Extracts X X X X X X X X Extracts X X X X ..... ircular no SMD/SED/RCG/270/96 dated January 19, 1996 and circular no MRD/DoP/SE/Cir-07/2005 dated February 23, 2005 had prescribed the requirement of Base Minimum Capital (BMC) for stock brokers trading on stock exchange. BMC is the deposit given by the member of the exchange against which no exposure for trades is allowed. 2. The BMC deposit requirement was prescribed to be commensurate with t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation as trading member in any derivative segment. c. Stock brokers / trading members shall maintain the prescribed BMC based on their profiles Categories BMC Deposit Only Proprietary trading without Algorithmic trading (Algo) ₹ 10 Lacs Trading only on behalf of Client (without proprietary ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Proprietary trading and trading on behalf of client without Algo . The applicable BMC deposit for such a member shall be ₹ 25 Lacs. d. This BMC deposit requirement stipulated in the table at 3 (c) above, is applicable to all stock brokers / trading members of exchanges having nation-wide trading terminals. e. For stock brokers / trading members of exchanges not having nation-wide trad ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sition shall continue to remain applicable. 4. The SEBI circulars specified at para 1 above, stand modified suitably. All other relevant provisions shall continue to remain applicable. 5. The provisions of this circular shall be implemented by March 31, 2013 6. Stock exchanges are directed to: (i) make necessary amendments to the relevant bye-laws, rules and regulations for the impleme ..... X X X X Extracts X X X X X X X X Extracts X X X X
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