What is Stock Brokers Audit?
Stock Brokers Audit is a SEBI-mandated requirement for registered stock brokers and trading members of BSE and NSE. SEBI's circular requires brokers to appoint independent Chartered Accountants for internal audit, annual audit, and concurrent audit to ensure compliance with exchange norms, client fund segregation rules, and margin obligations.
Scope of Our Services
- Internal audit of stock broking operations as per SEBI/exchange guidelines
- Concurrent audit of daily trading, client margin, and settlement obligations
- Annual auditor's certificate — net worth, capital adequacy, client fund segregation
- Audit of sub-broker agreements and compliance
- Verification of margin reporting, peak margin obligations, and upfront margin collection
- Compliance review of client onboarding, KYC, and account management
- Review of fund transfer policies, payout procedures, and pledge/re-pledge operations
- Audit report submission to BSE/NSE as per prescribed formats
- Depository Participant (DP) internal audit
Why it matters: Non-compliance in this area carries significant penalties and regulatory exposure. Our team ensures you are always ahead of your obligations.
Our Stock Brokers Audit Process
01
Obtain relevant data — client-wise ledgers, margin statements, bank accounts, settlement records
02
Verify net worth computation and capital adequacy requirements
03
Test compliance with client fund segregation and payout obligations
04
Review margin obligations and verify peak margin collection records
05
Prepare audit report in SEBI/exchange-prescribed format and submit
Related Expertise
SEBI ComplianceBSE/NSE AuditNet Worth CertificateClient Fund AuditDP Audit