Hi All,
PLEASE READ BEFORE YOU OPEN INDIAINFOLINE ACCOUNT@ Himmayat Nagar branch, Hyderbad.
In Dec my relationship manager, Ms Bharati, called me and advised me to open Currency derivatives account
promising the following:
1) No account opening charges
2) Not much volatility in rates, hardly 25-30 paise range
3) Brokerage will be just 5 paise, so since range is 25-30 paise it is easy to make money
4) She gets indiainfoline buy calls, and success rate is pretty high
5) As I have zero knowledge in futures, she will guide me and provide valuable advise.
6) She is totally devoted to Currency derivatives, and hence will be fully dedicated to this.
Based on this I went ahead and opened the currency account.
On 28-Dec, based on the Indiainfoline Research reports recommendations received by her she called me and advised to buy JPYINR Futures which I advised her to buy 1 or 2 lots considering that I am very conservative investor and also since I don't know much about futures I want to play safe by taking 1 or 2 lots to begin with. But she insisted that I buy atleast 3 lots as with 1 or 2 lots I won't make much profit and since there is not much volatility we can easily make profit. Hence I gave her go ahead to buy 3 lots and also told her that I am looking for JUST 5 Paise profit not more.
On the same day, she bought 3 lots of EURINR for 70.24 based on Indiainfoline research report WITHOUT informing me before executing trade and once trade was executed she called me and informed me. Since she has already executed trade, again I advised her that I am looking only for just 5 paise profit. As per research report, they have clearly mentioned that STOP LOSS should be 70.1, unfortunately, she didn't use STOP LOSS and it closed at 70.08 lesser than Stop loss.
On 29-Dec, she bought 5 MORE LOTS of EURINR without taking my RISK APPETITE into consideration and also without informing me before buying at 69.53 and she informed me after TRADE was executed. Kindly note, price at which she bought is much lesser than my BUY PRICE and also much lesser than STOP LOSS recommended in the research report provide by INDIAINFOLINE on 28-Dec. She kept assuring me that there won't be much volatility in the currency and that it will bounce back as we have averaged it at lesser price.
And since, then it has been steadily falling to 69.35, meanwhile reports in FOREXMantra has been clearly recommending daily to SELL EURINR, but still she ignored those reports and didn't follow STOP LOSS as recommended in it. As per reports the target price they gave was much lesser than the price that we had bought. She didn't even bother to guide me, advise me the POTENTIAL RISK of sitting on 8 lots of EURINR.
One day she called and said, that Margin calls are triggering and requested me to transfer Rs6000 with a promise that our buy price will be achieved in a day or two and after that I can transfer back Rs6000 back to my bank account.
Since I didn't have any money in my account, I told her the same and also told her that either she can sell the lots in loss else other option is to liquidate my holdings in equity.
Even when margin calls got triggered, she didn't bother to check with me and advise to PUT any STOP LOSS, all this while she has been assuring that my investments in EURINR will recover.
Meanwhile, on 3-Jan, she was able to sell 5 lots at 69.85 at average buy price with no profit no loss.
On 4-Jan, although EURINR opened at 70.15, but she didn't sell the remaining 3 lots and it kept falling steadily on that day and it closed at 69.28. She neither informed, advised me about the same. She had ample time to advise me to exit, but she didn't.
On 5-Jan, EURINR closed at 68.34 continuing its downtrend, even now also she didnt advise me to put any STOP LOSS.
On 6-Jan, EURINR fell even further, I requested her, pleaded her to check with indiainfoline research team, what their recommendatoin is for EURINR as it has been steadily falling. She said that we can't check with research team and she checked with her manager and he also said that due to some global scenario, it has fallen but will recover. All this while FOREXMantra has been clearly indicating TARGET price which is much lower than my average buy price and relationship manager has been completely ignoring STOPLOSS all throughout.
On11-Jan, since I wasn't getting any correct update from my relationship manager I was forced to sell my 3 lots of EURINR at a huge loss.
Overall i have suffered loss around Rs 10, 000 and also indiabulls shares that i had sold at 140 had risen to 165 there by giving me virtual loss of Rs2, 500.
Even after me having suffered 10, 000 loss, even now Relationship manager is promising that she will help me recover my losses my investing in USDINR futures and this time she will follow STRICT STOPLOSS. I would like to know on what basis is she giving me such assurances/gurantee that she would help recover my Rs 10000 losses.
I have escalated this to BRANCH MANAGER Mr Anath Reddy and Naresh Kumar, explained each and everything, but they don't feel that Bharati, my relationship manager has done anything WRONG, as per them if relationship manager informs customer before or after she has bought something, even without informing the customer its FINE, I find this totally unacceptable, as relationship manager doesn't have right to place any orders without my prior confirmation or without advising me.
I find that my relationship manager has misued the TRUST I had in her and in indiainfoline and by not living up to her promise of guiding me, advising me, not taking STRICT LOSSES recommended in research reports, living in FOOLS paradise that one fine day the price will recover by using logic that, GOVERNMENTS dont allow their CURRENCY TO FALL MUCH. I dont think any government has any control on currency movements, its such wrong advise leads to losses to innocent customer.
Please be well advised and read this before you dare to open an account at Indiainfoline at HimmayatNagar branch.
Inspite of reading this you still wish to open an account with them... Wish you Good Luck and God Bless you...
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