Starting July this year, investors will be allowed to freeze or block their trading accounts in case they notice any suspicious activity. It will include modes through which a client can request the trading member to voluntarily block their trading accounts and the time period within which the request shall be processed and the trading account shall be frozen/blocked. The guideline will also talk about the action a trading member has to take upon receipt of a request for freezing of trading account and the process for re-enabling the client for trading. SEBI has asked stock exchanges to ensure that the guidelines issued on voluntary freezing of trading accounts by clients are implemented by trading members with effect from July 1, 2024. A trading account is an investment account which helps retail investors to buy or sell securities.

Source: Indian Express January 13, 2024 17:44 UTC