Investor Education

Important information, do's & don'ts, fraud awareness, and resources to help you invest safely and wisely.

Mandatory SEBI Disclosure: Investments in the securities market are subject to market risks. Read all scheme-related documents carefully before investing. | "9 out of 10 individual traders in equity F&O segment incurred net losses" (SEBI study, FY21–22, FY22–23, FY23–24). | Probulls Stockbroking Private Limited is a SEBI-registered Stock Broker only — it is NOT a SEBI-registered Investment Adviser or Research Analyst. Nothing published by Probulls constitutes investment advice.

Circular Reference: SEBI/HO/MIRSD/MIRSD-PoD1/P/CIR/2025/22 dated February 21, 2025 (Investor Charter for Stock Brokers and Depository Participants)
Published by: Probulls Stockbroking Private Limited | SEBI Reg. No.: INZ000210932 | NSE Member ID: 13043
Effective Date: This charter supersedes all prior versions based on SEBI/HO/OIAE/OIAE_IAD-1/P/CIR/2023/131 dated July 31, 2023.

⚠ Beware of Fraudsters and Unauthorised Schemes

• Probulls does not offer guaranteed returns, assured profits, or risk-free investment schemes. Any such claims made by individuals claiming to represent Probulls are fraudulent.
• Probulls does not solicit clients through WhatsApp groups, Telegram channels, social media "tips" or paid advisory groups.
• Never transfer funds to any bank account other than Probulls' designated client bank accounts disclosed on our Notices page.
• Do not share your trading credentials, OTP, or demat password with anyone, including persons claiming to be Probulls employees.
• If you receive suspicious communications purporting to be from Probulls, report immediately: compliance@probulls.in | +91 98310 01983.

D. Do's and Don'ts for Investors

Do's
Deal only with SEBI-registered intermediaries. Verify registration at sebi.gov.in
Complete full KYC before investing. Keep your KYC details updated at all times.
Read the account opening documents — Rights & Obligations, MITC, and Tariff Sheet — carefully before signing.
Obtain a contract note for every trade within 24 hours and verify all details.
Issue cheques/NEFT only to Probulls' designated client bank accounts.
Keep your contact details (email, mobile) updated to receive alerts and statements.
Check your account statement, demat holdings, and ledger regularly.
Add a nominee to your demat and trading account.
Understand the product before investing — especially for derivatives (F&O) and margin trading.
Lodge complaints through official channels: email nvestorgrievance@probulls.in → SEBI SCORES 2.0 → SMART ODR.

Don'ts
Do not deal with unregistered intermediaries or individuals offering "guaranteed profits."
Do not share your trading password, OTP, or demat credentials with anyone — including persons claiming to be company staff.
Do not trade on rumours, unverified tips, or paid Telegram/WhatsApp groups.
Do not invest in securities based solely on price movements or social media trends without understanding the underlying business.
Do not sign blank account opening forms or give blank delivery instructions.
Do not keep large idle cash balances in your trading account — request running account settlement regularly.
Do not ignore margin calls — failure to meet margin may result in automatic position square-off.
Do not transfer funds to any bank account other than Probulls' designated client accounts published on this website.
Do not invest borrowed money in volatile instruments (F&O, penny stocks).
Do not accept statements from individuals claiming to offer "sub-broker" services — the sub-broker category was abolished in 2018; only SEBI/exchange-registered Authorised Persons (APs) are permitted.

Understanding Key Investment Risks

• Market Risk: The value of securities fluctuates based on market conditions, economic data, company performance, and global events. There is no guarantee that the value of your investment will not decrease.
• Liquidity Risk: Some securities may not have an active buyer/seller at all times, making it difficult to exit positions at desired prices.
• Leverage / Margin Risk: Trading on margin amplifies both potential gains and potential losses. You may lose more than your initial investment in margin/F&O trades.
• Concentration Risk: Holding a large proportion of your portfolio in a single stock or sector increases the impact of adverse events in that company or sector.
• Settlement Risk: Failure to deliver shares or funds on settlement day may result in auction/close-out by the exchange, which could result in additional costs and penalties.
• Technology Risk: Online trading platforms may be unavailable due to technical issues. Always have a backup method (call & trade) available.
• Regulatory Risk: Changes in regulations (SEBI, taxation, exchange rules) can affect the profitability of trading strategies.

How to Verify Your Broker — Know Your Intermediary

1. Check SEBI Registration: Visit sebi.gov.in → Intermediaries → Search for the broker by name or registration number. Probulls' SEBI Reg. No. is INZ000210932.
2. Verify NSE/BSE Membership: Go to nseindia.com → "Know / Locate Your Stock Broker." Probulls NSE Member ID is 13043.
3. Check Designated Bank Accounts: Confirm the bank account you are transferring funds to is listed on NSE/BSE website under the broker's profile, and on Probulls' own Notices page.
4. Verify Your Demat Account: Check your CDSL consolidated account statement (CAS) at cdslindia.com — holdings should exactly match what is shown in your Probulls back office.
5. Review Contract Notes: Every executed trade must produce a digitally-signed contract note. If you have traded but not received a contract note within 24 hours, contact the compliance officer immediately.

Futures & Options — Special Risk Warning

Trading in Futures & Options (F&O) involves very high risk. Before trading in F&O, please note:
• SEBI data shows that 9 out of 10 individual traders in equity F&O incurred net losses in each of the three financial years FY21–22, FY22–23 and FY23–24.
• F&O positions can result in losses exceeding the initial margin deposited. Your losses are not capped at the premium/margin paid.
• Derivatives use leverage, which multiplies both gains and losses relative to capital invested.
• Options bought can expire worthless on the expiry date, resulting in complete loss of premium paid.
• Short options (writing/selling) carry theoretically unlimited loss potential for uncovered positions.
• F&O is suitable only for investors with a thorough understanding of derivative mechanics, sufficient risk capital, and a defined risk management strategy.
• Probulls strongly recommends reading the Risk Disclosure Document provided at account opening before trading in derivatives.

Key Terms — Investor Glossary

SEBI
Securities and Exchange Board of India — the market regulator for the Indian securities market.
Demat Account
An electronic account that holds securities in dematerialised (digital) form, held with a Depository Participant (DP) registered with CDSL or NSDL.
Margin
Funds/securities deposited with the broker as collateral to cover potential losses on open trading positions, especially in F&O and MTF.
SMART ODR
SEBI Mediation and Arbitration for Redressal of Disputes — an online dispute resolution platform for securities market disputes.
Running Account Settlement
SEBI-mandated periodic return of excess client funds/securities to the client's registered bank account/demat (quarterly by default).
T+1 Settlement
Equity delivery trades on Indian exchanges settle on the next working day (T+1) after the trade date, since January 2023.

KYC (Know Your Customer)
Mandatory identification and verification process for all market intermediaries under PMLA and SEBI regulations.
Contract Note
A legally binding document issued by the broker for every trade, confirming trade details and all applicable charges.
SCORES 2.0
SEBI Centralised Complaints Redress System — the regulator's online portal for lodging complaints against SEBI-registered entities.
STT (Securities Transaction Tax)
A tax levied by the Government of India on the purchase and/or sale of securities traded on Indian stock exchanges.
Authorised Person (AP)
A SEBI/exchange-registered entity that acts as an agent of the stock broker for client acquisition and support. Formerly called "sub-broker" (abolished 2018).
DDPI
Demat Debit and Pledge Instruction — a CDSL facility replacing Power of Attorney for authorising debit of securities from a demat account for sale.

Useful Resources for Investors

Regulator

SEBI — sebi.gov.in

Regulations, circulars, investor awareness, and registered intermediary search.

Complaints

SEBI SCORES 2.0

Lodge and track complaints against SEBI-registered entities online.

Dispute Resolution

SMART ODR Portal

Online mediation and arbitration for securities market disputes.

Exchange

NSE Investor Cell

NSE investor education resources, helpdesk (1800 266 0053) and complaint portal.

Exchange

BSE Investor Cell

BSE investor education portal, helpdesk and complaint filing.

Depository

CDSL — cdslindia.com

View consolidated account statement (CAS), verify demat holdings and transactions.

Probulls

Investor Charter

Your rights and obligations as a client of Probulls — per SEBI circular Feb 2025.

Probulls

MITC

Most Important Terms & Conditions governing your account and trading activity.

Questions or Concerns?

If you have a query, complaint, or need help understanding any aspect of your account or trading, contact us:
• Customer Care: +91 87777 94927 | admin@probulls.in | Mon–Fri, 10 AM–5 PM
• Investor Grievances: investorgrievance@probulls.in
• Compliance Officer: Samrendra Tibarewalla | compliance@probulls.in
• For unresolved complaints: SEBI SCORES 2.0 | SMART ODR
For unresolved complaints, email investorgrievance@probulls.in or contact the Compliance Officer.