Top-Line Incentive Policy Document: FY 15-16

Applicability: The following Incentive structure is applicable for the active Employees of
Broking Vertical. All RMs / REs are eligible and will be rewarded as per this Incentive
Policy.
Applicable period: This policy is applicable for FY 1516 effective from 1st April 2015.
The Incentive Structure: The Incentive would be applicable only for Top-Line revenue
generated by Employees under Equity, F&O and currency derivatives segment.
A) RMs/REs would be incentivized based on their salary productivity and %
weightage of KRA achievements. The Indicative Incentive would be calculated for all the
broking revenue generated as per the slabs mentioned in the table below.
Table 1:
Salary Productivity
Minimum
Maximum
Below 3 X

Indicative Incentive (% of
Broking Revenue)
NIL

3X

4.99 X

5% on amount >= 3 X

5X

7.99 X

8% on amount >= 5 X

8X

11.99 X

10% on amount >= 8 X

12 X

15.99 X

14% on amount >= 12 X

16 X

19.99 X

18% on amount >= 16 X

Above 20 X

20% on amount >= 20 X

Note:
1. Revenue Credit: with effect from 1st April, 2015, for the purpose of Incentive
Calculation
a. RM will get 100% Revenue credit for all the accounts procured by himself /
herself.
b. for all those Accounts procured by Other Team Members, RM will get Revenue
Credit of 50% for the 1st Year, 75% for 2nd Year and 100% from 3rd Year
onwards.
2. Brokerage through online trades will be considered as 1.1 times of the actual revenue.
3. For the purpose of incentive calculation Net Brokerage will be considered (i.e.,
excluding Brokerage Reversals, DPC Reversals, the share of Business associates such as
Remiser, VSA, Etc.).
4. Incentive is paid on all revenue earned over & above 3X (CTC). And as the Revenue to
CTC ratio goes up you stand to earn incentive at a higher rate.

KRA parameters & their Weightages: RMs /REs would be paid weighted incentive as
per the table below.
Table 2:
KRA
A

Dealer Productivity

B
C

Online Revenue
NTA (New Trading Accounts)

Client Activation

Branch Target

Q1
20

Parameter
Q2
Q3
25
30

Q4
35

Weightage
20%

20%
5

25%
5

30%
5

35%
5

20%
20%

15

15

15

15

20%

100%

100%

100%

100%

20%

Total

100%

A. Dealer Productivity: Average number of Clients Serviced per day should be 20

and above. This parameter will increase by 5 after every half year.
B. Online Revenue: 20% of the revenue generated should be through online
trades. This parameter will increase by 5% after every half year.
C. New Trading Account: In a month a Minimum of 5 new clients should be
activated who have opened an account in last 3 months.
D. Client Activation: Client Activation should have the following Break-up:
1. Never Traded Client Activation: In a month a Minimum of 5 activations from
set of customers who have Never Traded (NT) till date and have opened accounts at least
3 months prior.
2. Inactive Activation: In a month a Minimum of 10 activations from set of
customers who are inactive since last 3 months, however, have traded at least once.
E. Branch targets: 100% of the branch targets need to be achieved.
If the RM achieves all the KRA parameters, he/she would be paid 100% incentive
calculated as per Table 1. In other words failure to meet any of the parameters will attract
deduction of incentive based on the weightage as per Table 2.