What is Risk Disclosure Document (RDD) & Equity & Commodity Annexure Documents?
The Risk Disclosure Document contains important information with respect to risks that all investors, whether individual, non-individual, retails or institutional, take while trading / investing into any capital market instruments, at all situations.
Equity linked instruments carry varying elements of risk, and investors should participate in such instruments only after a thorough understanding of the risk tolerance which such investor is able to take. The Risk Disclosure Document is a SEBI prescribed document, which is mandatorily required to be disclosed by Brokers to all on-boarding clients / investors.
The Equity & Commodity Annexure is the entire set of documents of risks which an investor / client is undertaking while investing through an intermediary (Stock Broker) into capital market instruments. There are various risks with respect to trading / investing such as linkage failure of any intermediary in between the investor / trader and the exchange, due to technical breakage / unforeseen event, or any such other reason for an erroneous order to have passed through.
A soft copy of the RDD is sent to the client's email as soon as their account is opened. The same can be downloaded by clicking here . However, a hard copy can be sent to the client if a request is made by creating a ticket below.
Equity Annexure Document includes:
(a) Annexure A - Rights and Obligations of Stock Brokers, sub-brokers and clients
(b) Annexure B - Risk Disclosure Document
(c) Annexure C - Guidance Note
(d) Annexure D - Policies and Procedures
Commodity Annexure Document includes:
(a) Annexure P - Additional rights & obligations
(b) Annexure 2 - Guidance Note
(c) Annexure 3 - Risk Disclosure Document
(d) Annexure 4 - Rights and Obligations of members, authorised persons and clients