Question 1

Who is an Authorised Person?

Accepted Answer

Authorised persons (formerly known as sub-brokers) provide access to trading platforms and assistance for investments between stockbrokers and clients. The APs are registered with the NSE and BSE and they work as agents of stockbroking houses to create an advanced business network for them.

An AP can be an individual, partnership firm, LLP, or a corporate entity.

Question 2

What is the role of an Authorised Person?

Accepted Answer

The primary responsibility of an Authorised Person is to register clients and assist them with their trading requirements. They provide support in buying, selling securities and have the authority to trade on behalf of the clients, with prior permission.

Question 3

Who can be appointed as an Authorised Person?

Accepted Answer

Individual: A resident of India, above 18 years of age.
Partnership firm: A firm that is registered under Indian Partnership Act, 1932.
LLP: A firm that is registered under the Indian Limited Liability Partnership Act, 2008.
Corporate: A firm that is registered under the Indian Companies Act, 1956.

Question 4

Can Hindu Undivided Family (HUF) be appointed as an Authorised Person?

Accepted Answer

No, HUF can't get registered as an AP. To become an AP, one must be either an individual, a partnership firm, an LLP or a Corporate entity.

Question 5

What are the documents required to register as an Authorised Person?

Accepted Answer

To register as an individual Authorised Person, you need to have the following documents: PAN Card Residential Address proof of the individual Registered Office Address proof of the Applicant (if business address given) Educational Qualification (minimum 10th (SSC) marksheet/passing certificate) Bank Account Details- where the monthly payouts will be released. Note: All documents should be in the name of the applicant Note: Name change affidavit needed in case of name mismatch. To register as a Corporate Authorised Person, you need to have the following documents: Corporate Documents Company Pan Company Address Proof Incorporation Certificate Copy of MOA & AOA BSE/NSE Annexures certified by C.A Authorised signature letter (Signed by all Directors) Board Resolution Company Bank Proof List of Directors certified by C.A Directors Documents Pan Card of all Directors Address proof of all Directors Education proof All Directors Marriage Certificate (If Applicable) Memorandum of Association (MOA), including the certificate of incorporation of the corporate applicant: The main object clause should include a clause permitting the corporate firm applicant to deal in shares and securities business If the above-mentioned clause does not exist in the main objects clause of the MOA, a certified true copy of the board resolution approving the inclusion of the said clause in the main objects clause of the MOA must be submitted The following Annexures should be downloaded and get attested by CA and uploaded in the given link. NSE Annexure 3 - Details of directors of the AP. NSE Annexure 4 - Details of shareholding. BSE Annexure 2 (b) (v) To register as a Partnership/LLP Authorised Person, you need to have the following documents: Partnership/LLP Documents: Partnership/LLP Pan Partnership/LLP Address Proof Registered ROF Certificate Partnership/LLP deed Authorised signature letter Partnership/LLP Bank Proof Partner Documents: Pan Card of All Partners Address proof of All Partners Education proof All Partners Marriage Certificate (If Applicable) For Partnership deed, please note the following pointers Registered Partnership Deed / LLP Agreement should consist of clause/nature of business permitting the applicant firm to deal in shares and securities In case of main clause is added of dealing in shares and securities following documents should also be needed. 1) Supplementary deep 2) MCA receipt copy of acknowledgement The following Annexures should be downloaded and attested by CA and uploaded in the given link. NSE Annexure 3 LLP BSE Annexure 2(b)(v)

Question 6

If a company or partnership firm is already registered as an Authorised Person, can one of its directors or partners also register individually as another Authorised Person?

Accepted Answer

No, a Director or Partner of an existing AP registered firm cannot register as a new Authorised Person in any capacity.

Question 7

What is the eligiblility criteria to become an Authorised Person?

Accepted Answer

The eligibility criteria for an individual to become an AP is listed below.  Should be a citizen of India Should be 18 years of age or above Should have passed 10th standard or equivalent examination recognised by Central or State government Should not have been convicted for any offence involving fraud or dishonesty An Authorised Person who was suspended for more than six consecutive months must wait three years before they can be reappointed. The eligibility criteria for a Partnership firm to become an AP is listed below.  All the partners or directors must comply with the eligibility criteria mentioned above for 'Individual' category The partnership deed or the Memorandum of Association should have a clause permitting to deal in Shares & Securities business

Question 8

What is the infrastructure required to become an AP?

Accepted Answer

The Authorised Person must have an adequate office space, equipment, manpower and other infrastructural facilities, which the Exchange can prescribe from time to time, to effectively service their clients on behalf of the stockbroker.

Question 9

Are NISM certification and third-party reference letters required to become an Authorised Person?

Accepted Answer

No, they are not mandatory requirements.

Question 10

Do you need to provide a Registration of Firm (ROF) certificate while registering as an AP in the Partnership firm category?

Accepted Answer

As a part of the registration process, to become an AP, a Partnership firm needs to submit the Registration of Firm (ROF) certificate along with the partnership deed.

Question 11

Is it necessary for an AP to enter into a tripartite agreement involving an AP, stockbroker, and client?

Accepted Answer

No, the agreement is required to be signed only between the stockbroker and the Authorised Person in the format which has been prescribed by the Exchange vide circular no. 705 (download ref. no. 13601) dated December 3, 2009.

Question 12

Can a stockbroker enter into a tripartite agreement in addition to the agreement between stockbroker and authorised person?

Accepted Answer

Yes, however, whilst applying for appointment of Authorised Person, the uploaded agreement should be strictly as per the format prescribed by the Exchange.

Question 13

Can an existing sub-broker also register as an Authorised Person?

Accepted Answer

No, if you are an existing sub-broker with SEBI then you would first need to get your sub-broker registration cancelled. Once that is done, you can then apply to become an AP with the exchange.

Question 14

Can an Authorised Person be affiliated with more than one stockbroker?

Accepted Answer

No, an Authorised person can be affiliated with only one stockbroker at any given point of time.

Question 15

Can you transfer your existing AP registration from one stockbroker to another?

Accepted Answer

No, you would first need to cancel your AP registration done through the current stockbroker. Once that is done, you would need to apply for a new AP registration via the second stockbroker that you desire to get associated with.

Question 16

Can an Authorised Person open multiple offices?

Accepted Answer

Yes, an Authorised Person is allowed to have multiple offices.

Question 17

Is it possible for one of the partners or directors to eSign on behalf of a Partnership / LLP / Corporate firm?

Accepted Answer

Yes, if the partner’s or director's name is mentioned as an authorised signatory passed by the company's board of members or mentioned in their Partnership deed / LLP agreement, then they can eSign on behalf of the firm. A letter should be submitted on the firm's letterhead and mentioning the purpose of AP registration.

Question 18

How can I become an authorised partner with Mirae Asset if I am already registered with another stockbroker?

Accepted Answer

If you are already registered as an AP with another stockbroker, then you have three ways to join Mirae Asset Partners:  Cancel your AP registration with your current stockbroker; or Apply under a new name that's not registered with the exchange as an AP; or If you can't cancel your registration or apply under a new name, you can still join our Affiliate Program.

Question 19

What are the various charges that one needs to pay to register and operate as an AP?

Accepted Answer

Security deposit: ₹50,000 (Refundable)  Document handling charges: ₹1,500 (eFranking & eSign charges)  One-time Exchange Registration Charges:  AP registration charges Exchange	Segment	Fee (₹)	GST rate	GST amount	Total charges (₹) NSE	Capital Market	5,000	18%	900	5,900 NSE	F&O	5,000	18%	900	5,900 BSE	Capital Market	4,000	18%	720	4,720 BSE	F&O	4,000	18%	720	4,720 Total Registration charges	All Segments	18,000	18%	3,240	21,240 AP Annual Maintenance Charges effective from April 2024:  NSE-AMC	All Segments	5,000	18%	900	5,900 BSE-AMC	All Segments	4,000	18%	720	4,720 Total AMC	NSE&BSE	9,000	18%	1,620	10,620

Question 20

How does the revenue sharing work?

Accepted Answer

You will receive 100% payout on your total monthly revenue (up to ₹1 lakh), across 9 revenue streams. Once your revenue exceeds ₹1 lakh in a month, Mirae Asset will retain 20% of the excess amount. Example 1: If your eligible revenue across revenue sources is ₹1.5 lakh, you will receive ₹1 lakh in full, and 80% of the remaining ₹50,000, i.e., ₹40,000 which makes your total payout ₹1.4 lakh. Example 2: If your eligible revenue across revenue sources is ₹90,000, you will receive 100% of ₹90,000, as it is below ₹1 lakh cap.

Question 21

How is brokerage payout calculated for API orders?

Accepted Answer

For API-based orders, if you charge our standard brokerage of ₹5/order, your payout will be at 20%, i.e., ₹1/order. If you customise the brokerage, Mirae retains ₹5/order, and you receive 100% of any amount above ₹5.

Question 22

What is the benefit of offering mutual funds as an Authorised Person?

Accepted Answer

Offering Mutual Funds enables you to diversify your product offerings, better serve your clients' investment needs, and earn trail commission on these investments made by your clients.

Question 23

How do I activate Mutual Fund Distribution on my dashboard?

Accepted Answer

To activate, follow these steps: Dashboard >> Login >> Menu >> Profile >> Segment Activation You will be prompted to upload required documents and complete an eSign process.

Question 24

What documents are required for activation?

Accepted Answer

You will need ARN card and EUIN card and both should be valid for at least 90 days from the current date.

Question 25

What if my ARN number or certificate is expired?

Accepted Answer

Your application will be rejected if the ARN or EUIN certificate is not valid. Please renew them before applying for activation of mutual fund segment.

Question 26

Is client consent required before placing Mutual Fund orders?

Accepted Answer

Yes. You must take explicit consent or authorisation from the client before placing any Mutual Fund transaction on their behalf. Path to raise consent: Go to Partner Dashboard > Login > Menu > Profile > MF Consent & DDPI Activation and submit the necessary approval from your client.

Question 27

Can clients view their Mutual Fund holdings?

Accepted Answer

Partner Access: As a partner, you can place Mutual Fund orders and view client holdings via the Partner Dashboard. You're also responsible for managing servicing, queries, and updates. Client Access: Clients will not see Mutual Fund holdings in their portfolio view on the m.Stock app. However, they can access their MF units through their DP (Depository Participant) statement.

Question 28

How long does it take for mutual fund activation to complete?

Accepted Answer

Once you upload the required documents and e-sign to application, your request will be sent for review. Upon approval, your mutual fund distribution access will be activated.

Question 29

Can I offer Mutual Funds if I don’t have an ARN?

Accepted Answer

No. ARN registration is mandatory as per SEBI and AMFI guidelines to distribute Mutual Funds.

Question 30

Will I get commission reports and transaction statements?

Accepted Answer

Yes. Commission tracking, transaction details, and client MF holdings will be available in your partner dashboard

Question 31

Are there any compliance guidelines I should be aware of?

Accepted Answer

You must comply with: SEBI and AMFI regulations for mutual fund distributors Proper client documentation and consent Do not place trades or give advice that you're not licensed or authorised for.

Question 32

Does m.Stock offer direct mutual funds?

Accepted Answer

Yes, m.Stock offers Direct Mutual Fund plans to its B2C (direct) customers, allowing them to invest with zero commission and the potential for higher returns compared to regular plans. However, only Regular Mutual Fund plans are available for B2B2C clients.

Question 33

What’s in it for you? MF benefits through Mirae Asset Partners

Accepted Answer

When you offer Mutual Funds via Mirae Asset Partners, you get more than just access you get a full-service platform designed to help you scale: Offer Regular Mutual Fund plans with commission-based payouts Access to a wide range of schemes from top AMCs Onboarding assistance and dedicated partner support A powerful dashboard with complete Front Office & Back Office reports (Track transactions, commissions, client holdings, and more) It's everything you need to build and grow your MF distribution business—under one roof.

Question 34

What is the mutual fund revenue sharing with Authorised Persons?

Accepted Answer

Authorised Persons can earn flat 90% revenue sharing on mutual fund investments made under the regular plan structure offered through Mirae Asset Partners.

Question 35

Can NRIs open an account with Mirae Asset?

Accepted Answer

NRI account opening is coming soon.  We will inform you once it goes live on our platform.

Question 36

Can I open an account in the name of a Hindu Undivided Family (HUF)?

Accepted Answer

Yes, HUF account opening is now available with us. The Karta must sign on behalf of the HUF, and relevant HUF documents will be required at onboarding.

Question 37

What documents are needed for HUF accounts?

Accepted Answer

PAN of HUF, proof of bank account in HUF’s name, HUF declaration, and KYC documents of the Karta.

Question 38

Can clients open a joint demat account?

Accepted Answer

Yes, up to three account holders can be added. The first holder will be the primary account holder.

Question 39

Are all joint account holders required to complete KYC?

Accepted Answer

Yes, each joint account holder must complete their KYC documentation and provide identity and address proof.

Question 40

Can Partnerships and LLPs open trading and demat account today?

Accepted Answer

Not yet. Partnership and LLP account opening is under process and will be available soon.

Question 41

Can corporates open trading and demat accounts?

Accepted Answer

Corporate account onboarding is planned. We are working on a smooth, fully digital process with support for required board resolutions and compliance documentation.

Details	Industry	Mirae Asset Partners
Total MTF Clients	100	100
Total MTF Book (considering ~ 10% active clients with average ₹ 25 lakh & above book size)	₹3 crore	₹3 crore
Average interest rate	15%	15%
Base rate (retained by the broker)	12%	12%
Interest sharing above base rate	50%	100%
Annual MTF interest payout	₹4.5 lakh	₹9 lakh

Assumptions	Industry	Mirae Asset Partners
Pledge Shares active clients	100	100
Total Pledge Shares Book (assuming ₹2 lakh per client)	₹2 crore	₹2 crore
Average interest rate	18%	18%
Base rate (retained by the broker)	12%	12%
Interest sharing above base rate	50%	100%
Annual Pledge Shares interest payout	₹6 lakh	₹12 lakh

	Industry	Mirae Asset Partners
No of scrips sold per day	25	25
Average DP transaction charges	₹18	₹18
Customised DP transaction charges	NA	₹25
Annual DP transaction charges	₹1,08,000	₹1,68,000
Payout rate	5% (On Base)	100% (Above Base)
Annual Payout above base rate	₹5,400	₹42,000

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With Mirae Asset Partners—India's largest partnership program

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Brokerage

100% Control

Pay Later (MTF)

Pledge Shares

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The 'Mirae Asset' advantage

1 Partner with a Global Trusted Brand

2 Experience how digital partnership business can change your world

3 Onboard clients & track status in minutes

4 All-in-one integrated dashboard

5 Grow Your Business with Mutual Funds

What's in it for your clients?

In just 3 years...

Frequently Asked Questions

1. Who is an Authorised Person?

2. What is the role of an Authorised Person?

3. Who can be appointed as an Authorised Person?

4. Can Hindu Undivided Family (HUF) be appointed as an Authorised Person(AP)?

5. What are the documents required to register as an Authorised Person?