What is a contract note and why is it essential?
Contract note is a confirmation of trade(s) done on a particular day for and on behalf of a client. A contract note issued in the format and manner prescribed by NSE establishes a legally enforceable relationship between the trading member and client in respect of settlement of trades executed on the Exchange as stated in the contract note. Contract notes are made in duplicate, and the member and client both keep one copy each. The said contract notes should be signed by a trading member or by an authorised signatory of the trading member. After verifying the details contained therein, the second copy of contract note should be returned to the trading member duly acknowledged by you.
