A joint platform to provide Investor Risk Reduction Access (IRRA) service shall be developed by the exchanges to provide the investors an opportunity to square off/close the open positions and/or cancel pending orders in case of disruption of trading services provided by the Trading Member.
On 30th December 2022, the Securities and Exchange Board of India (SEBI) has introduced Investor Risk Reduction Access (IRRA) platform in case of disruption of trading services provided by the Trading Member (TM)
With increasing dependence on technology in securities market, there is a rise in instances of glitches in trading members’ systems, some of which lead to disruption of trading services and investor complaints.
To address the issue, SEBI had extensive consultations with stock exchanges, clearing corporations (CCs) and TMs.
The following has been decided:
Development of the service:
A joint platform to provide Investor Risk Reduction Access (IRRA) service shall be developed by the exchanges to provide the investors an opportunity to square off/close the open positions and/or cancel pending orders in case of disruption of trading services provided by the Trading Member.
Enablement of IRRA service:
Trading Members (TMS), upon facing technical glitches which lead to disruption of trading services, can request for enablement of the IRRA service as per the procedures specified by the stock exchanges from time to time and IRRA shall be enabled on receipt of such requests.
Access to Investors:
Once the service is enabled, all the investors of the TM shall be informed by the exchange of the availability of the service through email/SMS and a public notice on exchanges’ website. TMs shall also communicate the same by displaying on their website.
Investors can login to the service using either the Unique Client Code (UCC) or the PAN number and they shall be authorized by a One Time Password (OTP) to be sent to their registered mobile.
#sebicompliance group
#OZGINDIA #OzgSystems
