The maximum allowable limit against a single claim from the Investor Protection Fund Trust has been raised by the National Stock Exchange (NSE) from the current sum of Rs 25 lakh to Rs 35 lakh per investor per claim.
The exchange stated in a statement that the cap would apply to claims made against trading members who have been banned or declared defaulters.
The NSE stated, “The Investor Protection Fund Trust (IPF) has raised the maximum permissible limit against a single claim from the current amount of Rs. 25 Lakh to Rs. 35 Lakh per investor per claim as per Chapter XIII of the Exchange Byelaws, Clause 15.”
Additionally, it stated that “from the date of this press release,” this limit would apply to claims made against trading members who had been declared defaulters or ejected.
The Investor Protection Fund Trust was created to support investor education, awareness, and research while providing compensation to investors in the event that defaulters’ assets are insufficient to cover their acknowledged claims.
In the meantime, the exchange’s exclusive registered investor base has crossed the ten-crore threshold for the first time. There are currently 19 crore customer codes (accounts) registered with the top exchange.
As of July 31, the exchange reports that the benchmark Nifty 50 index has returned 11.8% thus far this fiscal year. During that time, the Nifty 500 index has returned a robust 16.2% increase.
For the Nifty 50 and Nifty 500, the annualized returns over the five years that ended in July were 17.5% and 21.1%, respectively.
In addition, the NSE announced a 39% increase in net profit (Q1 FY25) for the April–June quarter (Q1 FY25). For Q1 FY25, the top exchange recorded consolidated revenue from operations of Rs 4,510 crore, an increase of 51% (year over year).
