To facilitate informed decision making by investors,

Solution

To facilitate informed decision making by investors, markets regulator SEBI has decided to introduce a risk disclosure framework for individual traders with respect to trading in the equity Futures & Options (F&O) segment. The new framework would come into force from July 1,2023. Under the new framework, all stock brokers will have to display the risk disclosures on their websites and also inform all their clients in the specified manner. Further, such disclosures should be displayed prominently, covering at least 50 per cent area of the screen. In addition, all Qualified Stock Brokers (QSBs) have been directed to maintain the Profit and Loss (P&L) data of their clients on a continuous basis. Such data of the clients need to be retained for at least five years.