Relaxation in Timeline for Net Worth Certificate (Stock Brokers)

SEBI Circular – Relaxation in Timeline for Net Worth Certificate (Stock Brokers)

• Background:
  As per the Master Circular (Dec 30, 2024), stock brokers offering margin trading were required to submit a half-yearly net worth certificate (as on March 31 and September 30) by April 30 and October 31 every year.
• Change Introduced:
  To align with financial reporting timelines under SEBI LODR Regulations and ease compliance:
  • For September 30: certificate to be submitted by November 15 (within 45 days).
  • For March 31: certificate to be submitted by May 31 (within 60 days).
• Effective Date:
  The revised timelines apply immediately.
• Action for Stock Exchanges:
  • Amend bye-laws/rules accordingly.
  • Inform members and publish on their websites.
• Authority:
  Issued under powers granted by SEBI Act, 1992 and SECC Regulations, 2018, to safeguard investors and regulate the securities market.

👉 Essence: Stock brokers now get 15–31 extra days to file their net worth certificates, aligning with financial result timelines.

Circular

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