Axis Direct/Securities non execution of orders to square off

#1
Hello,

So what happened is that Axis Securities gave me a relationship manager who was taking trades on my behalf as their web-based platform is unusable. The relationship manager naturally has a dealer terminal and manages 4-5 other accounts. He would tell me about every trade he would take and I just went along with him thinking that he was an expert who knew what he was doing. This happened on November 26th, Thursday, on expiry day. He took a lot of leverage which was approved by me so I don't blame him on that aspect. The real problem is that he was supposed to keep track of whether I was making a profit or a loss and also executing my orders to square off my positions as they were in a loss. At 2:53pm I called him that we are making a slight profit, what do we do? He said to continue to hold the positions so that we can make more profit. I told him that we are very close to our breakeven point and any move higher will cause me to lose a lot of money. He told me to wait. At exactly 3 pm I called him telling him that I was losing money. At that point I was only losing about 1-2 lakhs. He was clueless that I was making a loss and then he said lets square off. I was begging him on the phone to please square off my positions. This conversation lasted 3 minutes and I kept telling him what he was waiting for and to square off my positions. He finally squared off the last of my positions at 3:24pm. He didn't square off even a single one of my positions between 3:00 and 3:10pm. It took him from 3:10pm to 3:24pm to square off all of my trades. These are all based on the timestamps in the contract note. In the end I lost approximately 11.5 lakhs.

I asked the RM to tell me why he didn't execute the order. He said that he had to manage 4 other accounts so it took time. He also said that his system didn't allow him to square off more than 300 quantity at a time and he had to square off thousands of quantity. I have been since asking them to provide me in writing exactly what the reason was why the trades weren't executed. I have written emails to North India boss of Axis Securities. Is it really realistic to take 24 minutes to square off trades?

To the folks here, I want to ask whether I have a case to recover my loss due to the non execution of the square off orders. If I do have a case to recover the loss, who should I complain to? Apparently non-execution of orders is not a type of complaint NSE accepts for redressal. So who should I complain to? Sebi (using SCORES)? Nice Plus? Please help. I will be very grateful if anybody can help me regarding this issue.


AJ
 
Last edited:

iwillwin

Well-Known Member
#2
Hello,

So what happened is that Axis Securities gave me a relationship manager who was taking trades on my behalf as their web-based platform is unusable. The relationship manager naturally has a dealer terminal and manages 4-5 other accounts. He would tell me about every trade he would take and I just went along with him thinking that he was an expert who knew what he was doing. This happened on November 26th, Thursday, on expiry day. He took a lot of leverage which was approved by me so I don't blame him on that aspect. The real problem is that he was supposed to keep track of whether I was making a profit or a loss and also executing my orders to square off my positions as they were in a loss. At 2:53pm I called him that we are making a slight profit, what do we do? He said to continue to hold the positions so that we can make more profit. I told him that we are very close to our breakeven point and any move higher will cause me to lose a lot of money. He told me to wait. At exactly 3 pm I called him telling him that I was losing money. At that point I was only losing about 1-2 lakhs. He was clueless that I was making a loss and then he said lets square off. I was begging him on the phone to please square off my positions. This conversation lasted 3 minutes and I kept telling him what he was waiting for and to square off my positions. He finally squared off the last of my positions at 3:24pm. He didn't square off even a single one of my positions between 3:00 and 3:10pm. It took him from 3:10pm to 3:24pm to square off all of my trades. These are all based on the timestamps in the contract note. In the end I lost approximately 11.5 lakhs.

I asked the RM to tell me why he didn't execute the order. He said that he had to manage 4 other accounts so it took time. He also said that his system didn't allow him to square off more than 300 quantity at a time and he had to square off thousands of quantity. I have been since asking them to provide me in writing exactly what the reason was why the trades weren't executed. I have written emails to North India boss of Axis Securities.

To the folks here, I want to ask whether I have a case to recover my loss due to the non execution of the square off orders. If I do have a case to recover the loss, who should I complain to? Apparently non-execution of orders is not a type of complaint NSE accepts for redressal. So who should I complain to? Sebi (using SCORES)? Nice Plus? Please help. I will be very grateful if anybody can help me regarding this issue.


AJ
why no stoploss was put ....didn't u ask to put stoploss....
 
#3
why no stoploss was put ....didn't u ask to put stoploss....
I don't think that guy believes in stop losses. He just uses more and more leverage to take an opposite position so he doesn't have to take a loss. I was stupid for thinking he knew what he was doing. I fell for the trap of Axis Bank's reputation thinking that they employed competent people. But the position did come into profits eventually, but he simply didn't square off the positions. I've asked them several times to give me in writing why there was a problem in squaring off the positions in a timely manner. Apparently their dealer terminal doesn't have the option of "Square off" or "Square off all." I only got to know that after the fiasco. Also some people tend to have a strategy-wise stop loss rather than for each individual trade, in which case all the positions are squared off, which is essentially what I asked him to do. But in this case both types of stop losses were missing.
 
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Nish

Active Member
#4
In high qty - high amount trades ( more perticularly in FnO trades ) dafinately needs proper SL.
.. Another option is always available with a trader is - Look for another better broker or PMS with better Trading App or Web interface, which even an occasional trader can use with ease. I avoid recommending any one , as lot of threads are available here for that !
... Third option is better keep volumes less to avoid highly leveraged trades to keep loss in control - in case of eventuality ! :)
 

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