How Stock exchanges ensure the traders counter party risk?

[P Vijay]

The onus is on the brokers to collect any default from its client as the stock exchange settles the parties from broker’s caution deposits with it

[Deepa]

Each broker have a amount deposited in exchange as a caution ,stock exchange uses these deposits to ensure the traders counter party risk.

[Kiruthika]

Traders can trade in Stock exchanges only through stock brokers.Stock brokers act a cushion between traders and stock exchange. Stock exchanges take caution deposits from Stock brokers to avoid counter party risk

[Nishad]

Cautionary deposit through broker to sebi

[suraj]

A stock broker has caution deposit deposited with the exchanges. The exchanges use this amount in case of counter party risk.

[Author]

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