Incentive Policy Document for Financial Advisor - FY 15 16
Applicability:
The following Incentive structure is applicable for Financial Advisor.
Applicable period:
This policy is applicable for FY 15–16 effective from 1st October, 2015.
Eligibility Criteria: In order to be eligible for the incentive plan, a minimum of 8 NCA/Re-KYC
should be acquired.
Note: NCA/Re-KYC will be considered only when they are accompanied by any of the below
mentioned criteria:
 Premium subscription amount (or)
 Margin of Rs 10,000/- is collected within 30 days of A/c opening where, Margin = Cash
Margin + Stock after Hair Cut – Payouts.
The Financial Advisor would be incentivized based on the Salary Multiplier Slabs as mentioned
below in Table 1.
Table 1:
Salary Productivity
Minimum
Maximum
Below 2.5 X
2.5 X
4.99 X
5X
7.99 X
8X
11.99 X
12 X
15.99 X
16 X
19.99 X
Above 20 X
Indicative Incentive
(% of Broking Revenue)
NIL
5% on amount >= 2.5 X
8% on amount >= 5 X
10% on amount >= 8 X
14% on amount >= 12 X
18% on amount >= 16 X
20% on amount >= 20 X
Note:
1. Incentive is paid on the revenue earned over & above 2.5X (CTC) and as the Revenue to CTC
ratio goes up, an individual stands to earn incentive at a higher rate.
2. Every FA has an opportunity to get paid up to two times of his/her monthly CTC.
3. The revenue generated from the clients mapped to FA will be considered for calculation
4. For the purpose of incentive calculation
a. Net Brokerage (excluding Brokerage Reversals, DPC Reversals etc) generated under
Equity, F&O, currency derivatives & Third Party Products will be considered
b. along with Premium Subscription Amount
5. Revenue Credit: This would be accrued based on mode of placing an order as per the
following table.
Mode
Weightage
Branch Terminal
HO Advisory
Online
50%
100%
120%
In addition to the above, Financial Advisor can also earn:
 A Sales incentive of Rs 250/- per account, provided a cheque of Rs 650/- is collected as an
account opening fee and
 0.1% of the margin amount will be released as incentive for margin amount of Rs. 1 Lac and above
from NCA within 30 days from the date of account opening (Margin = Cash Margin + Stock after
Hair Cut – Payouts) with at least a single trade executed. An incentive of maximum Rs. 10,000/will be paid per NCA.
Net Incentive Payable: The net incentive payable would be cumulative of Top Line & Sales Incentive
and will be paid on a monthly basis on 10th of the subsequent month.