Description

NSE Clearing Limited directs all clearing members to submit their half-yearly net worth certificate as on March 31, 2026 by May 31, 2026, with specific guidelines on calculation and compliance requirements.

Summary

NSE Clearing Limited (NCL) has issued a circular requiring all clearing members to submit their Half Yearly Net Worth Certificate as on March 31, 2026, by May 31, 2026. This is a continuing membership norm under which members must maintain minimum net worth at all times. No extensions beyond the due date will be granted.

Key Points

  • All clearing members must submit the Half Yearly Net Worth Certificate as on March 31, 2026 by May 31, 2026.
  • No additional time will be provided beyond the due date.
  • Net worth requirement is the higher of Base Net Worth or Variable Net Worth, as per Chapter X of the SEBI (Stockbrokers) Regulations, 2026.
  • For variable net worth calculation, cash balance includes Client Cash/FDR/BG retained by the member across exchanges/segments, consolidating daily reporting per columns 22, 23, 24, 38, 39, and 40 of the Segregation and Monitoring of Collateral at Client Level report.
  • All clearing members, including banks, must adhere to the format specified in the Annexure.
  • Members must provide reasons if reported net worth is less than the minimum required or shows a variation of 25% or more compared to the last reported half-yearly net worth.

Regulatory Changes

No new regulatory changes introduced. This circular reiterates existing continuing membership norms under the SEBI (Stockbrokers) Regulations, 2026 (Chapter X). Members are directed to refer to prior circulars NCL/CMPL/55460 (February 01, 2023) and NCL/CMPL/72712 (February 09, 2026) for clarification on net worth ascertainment as per the SEBI Gazette Notification.

Compliance Requirements

  • Submit Half Yearly Net Worth Certificate as on March 31, 2026 by May 31, 2026.
  • Use the prescribed format in the Annexure; applicable to all clearing members including banks.
  • If net worth is below minimum or shows ≥25% variation from the last reported figure, provide an explanation during submission.
  • If a shortfall exists as on March 31, 2026, submit a revised net worth certificate (on a subsequent date meeting the minimum) along with the original certificate before the due date.
  • Await a separate operational guidelines circular from NCL for submission procedures for this half year.

Important Dates

  • March 31, 2026: Reference date for the half-yearly net worth certificate.
  • May 31, 2026: Deadline for submission of the net worth certificate to NCL.
  • No extensions will be granted beyond May 31, 2026.

Impact Assessment

This circular affects all clearing members of NSE Clearing Limited. Non-compliance — either failure to submit by May 31, 2026, or failure to submit a revised certificate in case of net worth shortfall — will result in penal action as prescribed in NCL Master Circular NCL/CMPL/67806 (April 30, 2025), Administrative Circular NCL/CMPL/67927 (May 8, 2025), and NCL/CMPL/70806 (October 14, 2025). The circular has no direct impact on trading, listed securities, or retail investors; it is an internal compliance obligation for institutional clearing members.

Impact Justification

Routine half-yearly compliance requirement for clearing members; non-submission results in regulatory action but does not affect broader market operations or specific securities.