Which of the following is maintained by NSE to make good investor claims, which may arise out of non-settlement of obligations by the trading member, who has been declared defaulter, in respect of trades executed on the exchange.

The correct answer is: B. Investor Reimbursement Fund (IRF)

The Investor Reimbursement Fund (IRF) is a fund maintained by the National Stock Exchange (NSE) to make good investor claims, which may arise out of non-settlement of obligations by the trading member, who has been declared defaulter, in respect of trades executed on the exchange.

The IRF is a corpus of money collected from all trading members of the NSE. The amount collected is based on the trading turnover of each member. The IRF is managed by a Board of Trustees, which is appointed by the NSE.

The IRF is used to settle claims of investors who have suffered losses due to the default of a trading member. The claims are settled on a first-come, first-served basis. The maximum amount that can be claimed from the IRF is Rs. 2 lakh.

The IRF is a safety net for investors who trade on the NSE. It provides a guarantee that investors will not lose their money even if a trading member defaults.

The other options are incorrect because:

• Option A: Investor Education and Reimbursement Fund (IERF) is a
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