AA Consent Template ID CT010- Financial Assessment for FNO Services Activation

The Stock Broker Sub-Council has finalized Consent Template CT010 to evaluate the authenticity and financial stability of customers seeking Futures and Options (F&O) services. In line with SEBI regulations, entities providing F&O services must verify a customer’s income before onboarding or activating these services, ensuring compliance and responsible trading practices.

For Sahamati’s internal records and explanation to the community

Sl. No.Consent Template InformationDescriptionFurther Explanation
1Consent Template IDCT010For Sahamati's internal records and explanation to the community
2StatusActiveFor Sahamati's internal records and explanation to the community
3Use Case CategoryAccount MonitoringFor Sahamati's internal records and explanation to the community
4Use caseTo assess the financial position for FNO services activationTo check the financial position of the customer for the assessment of genuineness and financial soundness of the customer for FNO services activation
Last published on:14th Feb 2025

Consent Attributes and Values ( as per ReBIT specifications)

Sl. No.Consent Details (Attributes)Values (as agreed in the CouncilRationale
1Purpose TextAs agreed by FIUs to show to the customer:
“To assess genuineness and financial soundness of the customer for FNO services activation”

As per ReBIT: Explicit one-time consent for the accounts
SEBI regulations reqiure the entities offering Futures and Options services to verify the income of the customer before onboarding or activation of the services.
2Purpose Code105Purpose code for one-time consent, in line with the one time activity of verification of the customer's financial condition at the time of onboarding
3Purpose Code Category NameAccount Query and MonitoringIn line with per ReBIT Purpose Codes
4FI TypesDEPOSIT, TERM_DEPOSIT, RECURRING_DEPOSIT, SIP, CP, GOVT_SECURITIES, EQUITIES, BONDS, DEBENTURES, MUTUAL_FUNDS, ETF, IDR, CIS, AIF, INVIT, REIT, GSTR1_3BAll FI types that enable the RE to analyse the financial position of the customer
5Consent TypesProfile, Summary, TransactionsRequires all consent types to assess the genuineness as well as the financial soundness of the customer
6Fetch-typeOne-TimeOne time activity of verification of the customer's financial condition at the time of onboarding
7Maximum FrequencyNANA
8Maximum FI Data Range6 monthsCouncil members agreed that 6 months data was reasonable statement period to assess the risk profile of the customers, based on the feedback shared by FIUs who are live with this use case.
9Maximum Consent expiry1 monthCouncil members considered 1 month validity period to be adequate to process the request of customer for FNO activation.
10Maximum Data Life7 DaysCouncil members considered data life to be adequate to process the customer data received for the said use case
11Last published on:14th feb 2025

FAQ

Can Consent Template CT010 be used for onboarding customers into commodity derivatives, or is it limited only to Futures & Options (F&O)?

Consent Template CT010 is applicable for onboarding customers across derivative segments under SEBI-regulated markets and is not restricted only to Futures & Options (F&O). The reference to F&O in the template’s purpose text follows industry convention, as F&O is the most widely used and commonly referenced derivatives segment.

CT010 is intended to support onboarding requirements for derivatives trading relationships more broadly, based on the regulatory interpretation of the SEBI Master Circular for Stock Brokers (May 2024) – Clause 22.3, further supplemented by Annexure 8, that indicates that bank account statements for the last six months may be sought from customers as part of onboarding documentation for clients opting to deal in derivative segments.

The purpose text in the consent may be suitably modified to explicitly reflect the specific derivative segment for which consent is being sought.

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