Gaining an Extra Edge in Online Share Trading Services

Since when India was introduced to the Internet in the early 90’s, the latter became a primary medium of almost all kinds of business transactions. Share Broking was also not left untouched either. In February 2002, the stock markets introduced the internet trading for the first time in India, which later on, started gaining immense popularity with a passage of time. Owing to the convenience of trading from home and receiving share certificates in the demat account on time, online share trading services have come a long way over a past few years and can be said to be in a maturity stage, backed by the advanced technology and legal process. Interestingly, according to a journal of the Internet Banking and Commerce, Indian capital markets have recorded 1488% of growth in exchange turnover.

It is needless to say that online share trading is incessantly gaining an extra edge and creating an impressive impact on the capital market.

Dematerialization of share certificates was the first stone laid by the internet broking which increased the flexibility of buying and selling equities along with security and convenience. When a decade ago, receiving share certificates was a prolong task which used to take about 60 days from trading and used to involve an extensive paperwork, it now takes only a few minutes after you complete the trading. It involves no paperwork, no cost and removes the chances of the share certificates being theft, loss, and depletion.

By the application of the innovative technology, online trading services have come up with various other novel features that facilitate the traders to trade independently without an intervention of any brokers and broking cost. The traders can now directly access to their respective trading tools to perform technical analysis and can have direct control over their own trading portfolios. Ability to trade multiple markets and/or products, real-time market data and faster trade execution are some of the other facilities offered by the online trading to the investors.

While electronic trading dramatically increased the trading volume across the nation, it has broadened the access to the markets at the same time by facilitating the traders to have an access to the research reports that comprise of order book, trade book, net positions, margin and holdings. High-end trading software used by the online broking houses even provide the investors with streaming intra-day tick-by-tick charts and historical data in order to enable them to buy and sell shares online more efficiently and effectively.

So, to conclude, e-broking services have brought in a significant revolution in the trading industry, driven by technology and radical change in market structure.