Hi Enygma & Riser,
a) Broker's Risk Management Is To Safeguard Itself From Exchanges For Any Debits On Client's Behalf.
b) It Has Nothing To Do With Trying To Safeguard Client's Interest
c) Broker Cannot Decide What A Client Can & Cannot Buy
d) Broker Is A Mediator For Various Services Between The Exchange, NSCCL & Depository To The Client
e) Just As Exchange Is A Mediator Between The Buyer & Seller
In View Of All The Abovementioned Broker Cannot Decide What A Client Can Or Cannot Buy.
Conditions Under Which A Client's Cannot Make Fresh Entries Are As Follows:
i) Market Wide Limit Reached (Most People Know)
Then There Are These Below Mentioned Points Many Or Most Are Unaware Of....
ii) Broker's Limit Reached For The Particular Scrip In F&O
iii) Client's Limit Reached.
If Broker's Limit Is Reached Then None Of His Client's Can Make Fresh Entry.
If Client's Limit Is Reached Then The Said Client Cannot Add To His/Her Position
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If A Client's Ledger Supports What He/She Intends To Buy Then No Broker Has The Right To Deny His Client's Intention Except In Cases Outlined Above.
Think For A Minute, If The Exchange Has Allowed Somebody To SELL Something Then Why Is The Broker Attempting To Discourage The Buyer From Buying....Under The Guise Of Trying To Protect The Client.
Happy & Safer Trading
SavantGarde