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Eligibility of One Person Company (OPC) to be registered as a stock broker/sub-broker

Circular Ref.No.247/2016
dated 19th February 2016
issued by NSE

The Companies Act, 2013 has permitted formation of One Person Company (OPC). It is hereby informed that OPC as described under the Companies Act is eligible to:-

  1. be registered as a stock broker, provided it satisfies the condition of Minimum 2 directors, as stipulated under Rule 8 (4A) (v) of Securities Contract (Regulation) Rules, 1957;
  2. be registered as a stock broker, however, such entity shall not be permitted to trade in their proprietary account
  3. be registered as a sub-broker subject to fulfilling the eligibility criteria as specified under Regulation 11 A (5) of SEBI (Stock Broker and Sub-Broker) Regulations, 1992.

For above provisions , entity needs to comply with SEBI Guidelines and regulations issued time to time.

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