Mandatory

POLICIES APPLICABLE TO CLIENTS
1. REFUSAL OF ORDERS FOR PENNY STOCKS
IDBI Capital Market Services Limited (“IDBI Capital”) may at its discretion restrict trading in penny stocks by the clients. “Penny Stocks” for this purpose shall mean those stocks which are highly illiquid and have a low market capitalization due to unsound fundamentals or stocks which have high chances of price manipulations.
The Exchanges from time to time provide a list of such securities categorized as” Illiquid Securities”. IDBI Capital may at its discretion or based on directives of the Exchanges also restrict trading in such illiquid securities from time to time.
Clients shall not trade in securities placed in the Z group(as notified from time to time by the Exchanges/Regulators). Further Intraday trading in securities in the T, TS, BE or such other group as notified by Exchanges/IDBI Capital from time to time shall be prohibited.
In addition to the penny stocks, restricted securities/deemed penny stocks specified by Exchanges from time to time, IDBI Capital may at its discretion, prohibit trading in penny stocks and other securities based on market conditions and internal policies from time to time.
IDBI Capital may for this purpose, introduce online blocks to prevent the client from placing orders in such penny stocks through the Online Trading Platform of IDBI Capital. Dealers/sub brokers of IDBI Capital may refuse to execute orders of the clients for trading in penny stocks. Further in case the client is able to place an order for penny stocks through the Online Trading Platform or otherwise, IDBI Capital may at any time cancel any such order before execution on the Exchanges.
IDBI Capital shall not be liable for any refusal/cancellation of orders for trading in penny stocks/other securities and the Client shall indemnify IDBI Capital in respect of any loss caused to IDBI Capital by virtue of the Client trading in penny stocks.
2. SETTING UP OF CLIENT’S EXPOSURE LIMITS
IDBI Capital Market Services Limited (“IDBI Capital”) may for the purpose of risk management set exposure limits subject to which the Client may trade in securities/take positions in the futures and options segment. Such exposure limits may be set upto a pre-determined number of times of the Margin (the "Multiple") and the quantum of the Multiple shall be decided at sole option or discretion of IDBI Capital. Such multiple may be changed at the discretion of IDBI Capital from client to client depending on various factors which inter alia include factors like market conditions, client profile and financial status of the client.
Client shall abide by the exposure limits, if any, set by IDBI Capital or by the Exchange or Clearing Corporation or SEBI from time to time.
The exposure limits set by IDBI Capital do not create any right to the Client and are liable to be withdrawn at any time without notice and the client shall bear the loss on account of withdrawal of such limits. The client agrees to compensate IDBI Capital in the event of IDBI Capital suffering any loss, harm or injury on account of exposure given and/or withdrawn.
Exposure may (at the discretion of IDBI Capital and to the extent decided by IDBI Capital from time to time) inter alia be provided on the following:
         1 .Cash balance in the ledger to the credit of the Client (after deduction of all withdrawals by the Client).
         2 .Any Online funds transfer or hold amount through bank gateway
         3 .Beneficiary holdings and collateral holdings (after deduction of applicable hair cuts)
         4 .DP free stock and beneficiary stock (after deduction of applicable hair cuts)
         5  .Credit received against sale of- securities
         6 .Margin amount of open positions (in case of derivatives)
In case of sale of Securities, such sale may at the discretion of IDBI Capital be provided only to the extent of the availability of securities to the account of the client (DP free Stock, DP lien/hold marked securities, beneficiary and collateral stock).
Further as may be decided by IDBI Capital from time to time, the credit received against sale may be used for further purchases to such extent as may be decided by IDBI Capital from time to time.
Limits/Exposure provided shall vary based on the intraday profit /loss made by the client.
Exposure limits shall be only against approved securities as decided by the Exchanges/IDBI Capital from time to time and subject to such haircut and valuations as may be decided by IDBI Capital from time to time. IDBI Capital may from time to time change the applicable hair cut or apply a haircut higher than that specified by the Regulators/Exchanges.
In case of derivatives, Clients shall be allowed to trade only upto the applicable clientwise position limits set by the Exchanges/Regulators from time to time
3 RIGHT TO SELL CLIENTS SECURITIES OR CLOSE CLIENTS POSITIONS, WITHOUT GIVING NOTICE TO THE CLIENT ON ACCOUNT OF NON PAYMENT OF DUES. (LIMITED TO SETTLEMENT/MARGIN OBLIGATIONS)
The Client agrees that IDBI Capital would have the discretion to square off the position of the Client, with no obligation of communicating the same to the Client, in following circumstances:

  1. In case of Margin Trades, if the open position is neither squared off nor converted to Delivery by Client(s) within the stipulated time.

  2. In case of Margin Trades, where Mark to Market Loss on the open position has reached the stipulated % of the margins placed with IDBI Capital and the Client(s) have not taken any steps either to replenish the margin or reduce the Mark to Market Loss.

  3. In all other cases where the margin or security placed by the Client(s) falls short of the requirement or the limits given to the Client(s) have been breached

  4. where the Client(s) have defaulted on their existing obligation/ failed to make payments/deliver securities to IDBI Capital with the stipulated time

The CLIENT accepts to comply with IDBI CAPITAL's requirement of payment of Margin/settlement obligations of the Client, immediately failing which IDBI CAPITAL may sell, dispose, transfer or deal in any other manner the securities already placed with it as Margin/lying in the beneficiary account of IDBI Capital or square-off all or some of the outstanding F&O positions of the CLIENT as it deems fit at its sole discretion without further reference to the CLIENT and any resultant or associated losses that may occur due to such square -off/sale shall be borne by the CLIENT and IDBI CAPITAL shall be fully indemnified and held harmless by the CLIENT in this behalf at all times.
Any reference in these terms to sale or transfer of securities by IDBI CAPITAL shall be deemed to include sale of securities which form part of the Margin maintained by the CLIENT with IDBI CAPITAL.
In exercise of IDBI CAPITAL's right to sell securities, the CLIENT agrees that the choice of specific securities to be sold shall be solely at IDBI CAPITAL's discretion.
The resultant or associated losses that may occur due to such squaring -off or sale of such securities shall be borne by the CLIENT, and IDBI CAPITAL shall be fully indemnified and held harmless by the CLIENT in this behalf. Such liquidation or close out of positions shall apply to any segment/exchange in which the CLIENT does business with IDBI CAPITAL.
The provisions specified herein do not confer any liability on IDBI Capital to square off the clients positions. It shall be the responsibility of the client to pay to IDBI Capital any due payable to IDBI Capital irrespective of whether IDBI Capital exercises its right to square off the positions of the client in accordance with the provisions given herein above.
4. SHORTAGES IN OBLIGATIONS ARISING OUT OF NETTING
If the client defaults on its existing obligation and in the event the trade has been internally netted off by IDBI Capital, IDBI Capital shall have the right to square off the position of the client to make good the shortages arising thereof.
IDBI Capital shall not be responsible for losses to the Client on account of such square off. All losses to the client on this account shall be borne solely by the client and the Client shall indemnify IDBI Capital in this respect.
5. CONDITIONS UNDER WHICH CLIENT IS NOT ALLOWED TO TAKE FURTHER POSITIONS OR BROKER MAY CLOSE EXISTING POSITIONS
IDBI Capital shall have the right to refuse to execute trades/allow the client to take further positions in the following circumstances:

  1. technical failure

  2. securities breaching the limits specified by the Exchanges/regulators from time to time

  3. securities submitted in physical form for settlement

  4. regulatory restrictions/directives

  5. other conditions as specified by IDBI Capital from time to time in view of market conditions, regulatory requirements, internal policies etc.

IDBI Capital shall also have a right to close existing positions of the clients in the abovementioned circumstances.
IDBI Capital shall not be responsible for any loss incurred and the client shall indemnify IDBI Capital in this regard.
6. TEMPORARILY SUSPENDING OR CLOSING OF CLIENT’S ACCOUNT AT THE CLIENT’S REQUEST
IDBI Capital may at any time, temporarily suspend the account of the client based on a request on writing obtained from the client. Trades in the account of the client during the period of such temporary suspension shall not be permitted.
The account shall be reactivated only on submission of a written request for reactivation by the client.
IDBI Capital may at any time, at its sole discretion and without prior notice to the CLIENT, prohibit or restrict or block the CLIENT's access to the use of the web site or related services and the CLIENT's ability to trade due to regulatory requirements, prevention of money laundering, market conditions and other internal policies.
7. DEREGISTRATION OF A CLIENT
Deregistration of the client/Termination shall be with mutual consent of the parties by giving at such notice by either party as provided for in the Member Client agreement entered into between the client and IDBI Capital. Such deregistration/termination shall not effect the rights and liabilities of the parties in respect of the transactions executed before the date of such deregistration/termination.
In addition IDBI Capital may interalia terminate trading facilities due to regulatory requirements, prevention of money laundering.
Signature of the Client:
Date: