NSE Boosts Investor Protection Fund Limit to Rs 35 Lakh

The National Stock Exchange (NSE) has increased the ceiling amount payable from its Investor Protection Fund Trust to Rs 35 lakh per claim. This new limit applies to claims against trading members who have been declared defaulters or expelled, up from the previous Rs 25 lakh cap.

The National Stock Exchange (NSE) announced on Tuesday that it has raised the maximum amount payable from its Investor Protection Fund Trust to Rs 35 lakh. This increase applies to claims received against trading members who have been declared defaulters or expelled.

In accordance with the exchange byelaws, the ceiling for a single claim against an investor has been raised to Rs 35 lakh from the current Rs 25 lakh, the NSE stated in its announcement. The adjustment aims to better compensate investors whose claims cannot be met by defaulters' assets.

Established by the NSE, the Investor Protection Fund aims to protect investors by covering shortfalls when defaulters' assets fall short. The fund also promotes investor education, awareness, and research.