If you invest or trade in stock market, read this
Simple ways to ensure your shares / money is safe with your stock broker:
- Safety starts with you - DO NOT share your account details and credentials with anyone!
- Ensure your mobile number and email address is updated at all times. Use the mobile / email you use frequently.
- Log in to your account at least once in 30 days , even if you are an ‘invest and forget’ kind of investor. Once in a week is even better .
- Enable Biometric access and 2 FA on your broking account. This will be mandatory soon .
- There is practically no reason for a Stock Broker to call you, unless Margin Call . That too good brokers will show your margin shortfall in-app or web.
- Turn on Trade Execution Notifications on your trading apps, it’s a basic feature and most valuable.
- If you trade any day, check your trade history and ensure the correctness of all of them.
- If you are doing any Algo / system-based trading that requires you to log in, ensure the login page & authentication is on the broker domain and not on any 3rd party site
- If you are a trader, check your margin utilization and ledger - almost every day you trade .
- When you trade, exchanges (BSE/NSE) will send you confirmations. Check them.
- Old Demat accounts still have PoA, which means the broker ‘can’ sell your stocks without your explicit consent. Enable EDIS TPIN for selling, it may sound hassle, but it’s super safe!
- When shares are sold/pledged, depositories (CDSL/NSDL) will send you an SMS. Check.
- Your broker has to settle your funds (send unused balance money) back to your bank account once in 90 days.
- If you don’t trade in 30 days, a broker has to again send unused funds/balance back to you.
- Exchanges (BSE/NSE) send you funds/securities balance at end of every week/month. Check.
- Depositories (CDSL/NSDL) send your eCAS statements once a month has Demat holdings across all brokers you use. Check.
- DO NOT, under any circumstances give your trading account password, or the pin of your account to any employee of a stock broker under the context of KYC, Risk, Margin, trades, portfolio, reports or statements. Broker admin systems to monitor these do not need your account level access!!
- Ensure step #0 at all times.
For users of Dhan, please remember we generally never call you, unless you ask us to call you or we have taken your consent to reach out to you.
Keep your stock trading and Demat accounts safe and secure, always.