Risk Disclosure on WebNotes

Why Kite shows the risk disclosure at every login

Sat, 20 Jun 2026 00:00:00 +0000

Kite shows the SEBI risk disclosure at every login because a SEBI circular requires every stock broker to display it and to let clients proceed only after acknowledging it. The circular, SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2023/73 dated 19 May 2023 and in force from 1 July 2023, followed a SEBI study finding that 9 out of 10 individual traders in the equity futures and options segment lose money. The disclosure is not a Zerodha choice; it is a regulatory mandate, and Kite implements it as the half-screen pop-up you acknowledge each day.

SEBI broker risk disclosure norms

Wed, 20 May 2026 00:00:00 +0000

The SEBI broker risk disclosure norms require brokers to provide clients with formal, structured risk disclosures for derivatives, high-leverage products, and other higher-risk activities. The framework formalises what was previously informal and ensures clients formally acknowledge the specific risks before engaging.

What disclosures are required

F&O risk disclosure document

Before activating F&O for any client:

The broker must provide a SEBI-format risk disclosure document.
The client must acknowledge having read and understood it.
The acknowledgment is recorded and timestamped.

Contents:

Riskometer framework for Indian mutual funds

Sat, 16 May 2026 00:00:00 +0000

The riskometer is the SEBI-mandated graphical risk-labelling mechanism for Indian mutual fund schemes, displayed as a speedometer-style dial on every Scheme Information Document (SID) , Key Information Memorandum (KIM) , monthly factsheet , and advertisement. It communicates a scheme’s principal risk level on a six-level ordinal scale and is the primary plain-language risk disclosure available to retail investors. First introduced on a five-level scale in 2013 and revised to a six-level portfolio-based framework by SEBI Circular SEBI/HO/IMD/DF3/CIR/P/2020/197 dated 5 November 2020 (effective 1 January 2021), the riskometer is recomputed monthly on the basis of the scheme’s end-of-month portfolio and published within 10 calendar days of month-end.