Background

National Institute of Securities Markets (NISM) performs two functions delegated to it under the Securities and Exchange Board of India (Certification of Associated Persons in the Securities Markets) SEBI (CAPSM) Regulations, 2007. They are:

NISM Series VI: Depository Operations CPE

In exercise of the powers conferred by Sub-regulation (1) of Regulation (9) of the SEBI (Certification of Associated Persons in the Securities Markets) Regulations 2007, NISM specifies the CPE Program for ‘NISM-Series-VI: Depository Operations Certification Examination’, for the purpose of revalidation of the Certificate.

(Refer SEBI Notification F. No. LAD-NRO/GN/2010-11/26/10252 dated March 29, 2011)

Accordingly, an Associated Person (engaged or employed by a registered Depository Participant: in dealing or interacting with clients / dealing with securities of clients / handling redressal of investor grievances / internal control or risk management / activities having a bearing on the operational risk / maintenance of books and records pertaining to the above activities) holding any of the following Certificates:

(a)  NISM-Series-VI: Depository Operations Certification Examination

(b)  NISM-Series-VI: Depository Operations Continuing Professional Education

(b)  Certification in Financial Markets (NSDL – Depository Operations Module) of the National Stock Exchange of India Limited

(c)  Certification in Depository Operations (NCDO) of the National Securities Depository Limited

(d)  Certification in Financial Markets (BSE’s Certification on Central Depository) of the Bombay Stock Exchange Limited

(e) Certificate on completion of CDSL’s DP Training Program on Central Depository Services (India) Limited

and the validity of which has not expired, can revalidate his/her Certificate for a period of three years from its date of expiry by successfully completing NISM Series VI: Depository Operations Continuing Professional Education Program as specified by NISM during 12 months preceding the date of expiry of the Certificate.

Also, Associated Person belonging to the Principal* and the Grandfather** Categories can obtain a Certificate for the first time by successfully completing NISM Series VI: Depository Operations Continuing Professional Education Program as specified by NISM.

Note: Associated Person not belonging to either the Principal or the Grandfather Category, whose Certificate has expired, will have to pass the NISM-Series-VI: Depository Operations Certification Examination to obtain a new Certificate.

Design of the CPE Program

Note: The content and duration of the CPE Programs shall be specified from time to time, by NISM for each CPE Program specific to each Certification Examination.

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*Principal: Any person who is actively engaged in the management of an Intermediary’s Securities business including supervision, solicitation, conduct of business, and is a Proprietor / Sole Proprietor / Partner / Managing Partner / Chairman / Director / Executive Director / Whole Time Director / Chief Executive Officer, can be classified under the Principal Category.

**Grandfather: Any associated person, other than Principal, who has completed the age of 50 years as on March 29, 2011 or who has been engaged or employed by a registered Depository Participant: in dealing or interacting with clients / dealing with securities of clients / handling redressal of investor grievances / internal control or risk management / activities having a bearing on the operational risk / maintenance of books and records pertaining to the above activities for 10 years or more, as on March 29, 2011, can be classified under the Grandfathered Category.