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NISM Certifications · NISM-Series-VII: Securities Operations and Risk Management · Other Services Provided by Brokers

Which of the following is a service that a stockbroker commonly provides to clients as an additional service apart from executing trades, subject to regulatory registration where applicable?

A stockbroker can also act as a depository participant, provided it obtains the required SEBI registration, offering demat account services alongside trading. Circuit limits and settlement prices are set by exchanges, and brokers cannot issue a company's shares themselves.

  1. AActing as a depository participantCorrect
  2. BIssuing shares in the primary market on behalf of the company as the company itself
  3. CSetting the circuit limits of stocks
  4. DDeclaring the daily settlement price for the exchange

Explanation

Brokers may, with SEBI registration, also act as depository participants, offering demat services. Setting circuit limits and settlement prices are exchange functions, and a broker cannot issue shares as the company itself.

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