As per SEBI(Securities and Exchange Board of India) circular number MIRSD/ SE /Cir-19/2009 dated on Dec 03, 2009, To ease the process of frequent Pay-In and Pay-out after an investor Client sells the stocks, SEBI implemented a norm called Running Account Authorization(RAA). With this norm, the stock broker should settle the amount to investor client within 24 of working day. By giving authorization to Stock broker, The stock broker can able to retain the margin amount in investor client's trading account. The validity of RAA is either 30 days or 90 days which is opted by investor client.
Quarterly, RAA, Running Account Authorization, Settlement