About Currency Derivatives CPE

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:

• Offering mandatory Certification Examinations for Associated Persons in the Securities Market Intermediaries
• Offering Continuing Professional Education (CPE) Programs for Associated Persons in the Securities Market Intermediaries

NISM CPE for Currency Derivatives

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-I: Currency Derivatives Certification Examination’, for the purpose of revalidation of the certificate.

(Refer SEBI Notification No. LAD/NRO/GN/2009-10/04/163097 dated May 13, 2009)

Accordingly, an Associated Person (approved users and sales personnel of the trading members of the Currency Derivatives Segment of recognized stock exchange) holding a valid certificate of ‘NISM-Series-I: Currency Derivatives Certification Examination’ can revalidate his/her certificate for a period of three years from the date of expiry of the existing certificate by successfully completing the one day Currency Derivatives 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* or the Grandfathered** category can obtain a Certificate for the first time by successfully completing the one day Currency Derivatives Continuing Professional Education Program as specified by NISM.

Note: Associated Person not belonging to either the Principal or the Grandfathered category, whose certificate has expired, will have to pass the NISM-Series-I: Currency Derivatives Certification Examination to obtain a new certificate.

Design of the CPE Program

• The CPE Programs shall be delivered in a class-room format.
• NISM has Accredited CPE Providers for the delivery of the NISM CPE Programs.
• All NISM CPE Programs are of one day duration (approximately six hours).
• A test shall be conducted at the end of the program.
• After verifying that candidates have successfully completed the relevant CPE Program, NISM shall issue a new certificate or revalidate an existing certificate for a period of three years from the date of expiry of the existing certificate.

*Principal: Any person who is actively engaged in the management of the intermediary’s securities business including supervision, solicitation, conduct of business, and includes: a) Sole Proprietors, b) Managing Partners and c) Whole Time Directors, can be classified under the Principal category.

**Grandfathered: Any person who has completed the age of 50 years as on May 13, 2009 or who has an experience of 10 years or more as an approved user and sales personnel of the trading members of the Currency Derivatives Segment of recognized stock exchange, either in India or outside India, as on May 13, 2009, can be classified under the Grandfathered category.