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NISM Certifications · NISM-Series-X-A: Investment Adviser (Level 1) · Grievance Redress Mechanism

An investor is dissatisfied with the resolution of a complaint by an investment adviser. After using the intermediary's own grievance process and SCORES, the investor still wants a resolution outside court. Which mechanism is available for this purpose in the securities market?

Online Dispute Resolution through SEBI-established ODR institutions is available. After the intermediary's grievance process and SCORES, an investor can pursue conciliation and arbitration online without going to court, which is the securities market's dedicated out-of-court dispute mechanism.

  1. AOnline Dispute Resolution through the SEBI-established ODR institutionsCorrect
  2. BFiling a petition with the Supreme Court as the first step
  3. CApproaching the Income Tax Appellate Tribunal
  4. DRequesting RBI to appoint an arbitrator

Explanation

SEBI introduced a Online Dispute Resolution (ODR) framework, with institutions offering conciliation and arbitration, for disputes between investors and market intermediaries after the internal grievance route and SCORES. The ITAT deals with tax appeals, RBI has no role in advisory disputes, and the Supreme Court is not a first-step forum.

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