Policy on Running Account Settlement Policy


SEBI vide circular no. SEBI circular No. MIRSD/SE/Cir-19/2009 dated December 3, 2009, SEBI circular No. SEBI/HO/MIRSD/MIRSD2/CIR/P/2016/95 date September 26, 2016, SEBI circular No. SEBI/HO/MIRSD/DOP/P/CIR/2021/577 dated June 16, 2021 has issued wherein specified quarterly/ monthly settlement of running accounts of clients with a new set of compliances for stock brokers to in still greater transparency and discipline in the dealings between the clients and the stock brokers.

As per latest SEBI circular SEBI/HO/MIRSD/DOP/P/CIR/2022/101 dated July 27, 2022, effective from Oct 2022 to Dec 2022 quarter.

The running account of funds shall be settled on the first Friday of October 2022, January 2023, April 2023, July 2023, and so on for all the clients. If the first Friday is a trading holiday, then such settlement shall happen on the previous trading day. However, funds are transferred back to the primary bank account once a month if the client is inactive for 30 calendar days. It will reflect in the funds statement.

  • Ashlar may retain the funds if a client has an outstanding position on the first Friday of the quarter on which settlement is scheduled and send out an email with the retention statement.
  • If the settlement of funds with a broker is monthly, the settlement date will be the first Friday of the month.

Funds lying in the broker's client account are to be cleared/transferred back to the client's bank account.


Protect investor funds from misuse or mishappening


All the Client of Ashlar Securities Pvt Ltd

Policy and Producer

Ashlar has obtained “Running Account Authorisation letter” wherein client specifically agrees to maintain his account on a running account basis i.e. monthly or quarterly settlement basis. Thereby, Ashlar has an obligation to done Actual settlement of fund & securities on their preference i.e. monthly or quarterly basis.

Ashlar conducts its business to ensure the obligations of actual fund & securities, as per SEBI, due to its client’s in routine course of business in a timely manner. The Policy laid down appropriate procedures to settle the obligation of funds and securities of the client on a timely basis as mandated by the client to establish highest standards of ethical and market practice.

Mandatory Quarterly Settlement of Running Account

As per new SEBI circular SEBI/HO/MIRSD/DOP/P/CIR/2022/101, effective from Oct 2022 to Dec 2022 quarter.

Settlement of Funds:-

Settlement of funds is done keeping in view the following points:-

  • In case of debit on the date of settlement, payout will not be given to the client;
  • In case of credit balance on the date of settlement with no future debit/credit balances in clients’ ledger, net credit amount on the date of settlement will be transferred to client;
  • Date of settlement, we consider ledger balance of client on T-1 day (t day) and accordingly, margin obligation of T-1 day (t day)for purpose of settlement of the client accounts then net credit balance (after adjusting retainable margin)will be transferred to client.
  • It the credit amount is not substantial enough to cover future debit then payout will not be released.
  • Ashlar will retain an amount of upto Rs. 10,000/- in Equity and Commodity (net amount across segment and across stock exchanges) only after taking written consent of the client.
  • For operational convenience circular states that accounts with balances less than Rs 10,000 are considered settled without having to transfer funds back to the client: (remove)

In the above settlement Ashlar will settle the fund considering across the segments and across the stock exchange for its clients.

Settlement of Securities:- (remove)

Settlement of securities is done keeping in view of the following points:-

  • Securities due for pay-in obligation are retained;
  • On date of settlement, we consider value of securities client on T-1 day and accordingly, margin obligation of T-1 day for purpose of settlement of the client accounts.
  • In respect of Derivative Market transactions, apart from the margin liability as on the date of settlement, we may retain additional margin requirement of maximum upto 125% of margin requirement on the day of settlement to take care of any margin obligation arising in next 5 days.
  • In case of clear ledger balances, the stock shall be transferred to the client.

In the above settlement Ashlar will settle the securities considering across the segments and across stock exchange for its clients.

Ashlar will send settlement of accounts for funds & securities along with mentioning retention of funds & securities to the clients just after doing actual quarterly settlement of account.

In case a client has not traded during the quarter / month and the trading member does not hold any funds or securities for the client at any point of time during the quarter / month for which settlement needs to be done, then the member may not issue statement of account to the client.

No inter client adjustment can be done for the purpose of settling client accounts.