The National Stock Exchange (NSE) is all set to introduce share trading on mobile phones from October. An NSE official confirmed that mobile trading would be carried out through 800 registered brokers.
Presently, about 10-15 big brokers have the infrastructure to offer mobile trading, which comes at a steep cost.
"For the first time in India, NSE is taking steps towards facilitating nearly 800 members and their clients (total of 1.2 crore investors) to trade through the mobile infrastructure set up by NSE from early-October," the NSE official said, adding that NSE has 1,200 active brokers.
NSE will enable any registered broker or a client to trade from anywhere in the country through a mobile phone. Clients will be able to place orders, keep track of positions and transact on the move.
Market data picked by NSE will be provided to all brokers and investors on their mobile phones. The data will include the best bid and ask prices of Nifty stocks, other stocks, derivatives and currencies. Trading on mobile phones will be similar to internet trading. This will be made possible through NSE’s NOW software that the exchange provides to its brokers free of charge.
“Brokers will use three types of solutions for providing mobile-enabled Net trading facilities to their clients. The first is the plain-vanilla handset with GPRS connectivity. The next is the smart phone or the communicator that would disseminate real-time quotes and information. Some handsets also have the facility of voice-based order processing. The light version of the Web site or the low bandwidth site costs around Rs 10 lakh a year while the mobile login charges for a person hover around Rs 500 per month per login,” said Mr Athul Kudva Director, Omnesys, a trading platform services provider.
NSE has modified its hardware to facilitate mobile trading. Brokers will be given a URL on their cell phones and to get access to the NSE data, they will have to put in a user id and password to verify their identity for the purpose of trading. Once clients go through these formalities, they can look at prices and market data.
Via - The Hindu Business Line