Multiple choice

Which of the following statements regarding a broker is incorrect?

  1. He is a member of stock exchange

  2. He is registered with SEBI

  3. A sub-broker is affiliated to a member of recognised stock exchange and registered with SEBI

  4. None of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A broker is a member of a recognised stock exchange, who is permitted to do trading on the screen-based trading system of different stock exchanges. He is enrolled as a member with the concerned exchange and is registered with SEBI. A sub-broker is a person who is registered with SEBI as such and is affiliated to a member of a recognised stock exchange. 

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