Mumbai: Putting an end to a long wait, trading in the stock exchange can be done through cellphones and laptops now, a Securities and Exchange Board of India circular released Friday said.
“It has been decided that SEBI registered brokers who provide Internet Based Trading as shall be eligible to provide securities trading using wireless technology. All relevant requirements applicable to internet based trading shall also be applicable to securities trading using wireless technology”, the circular said.
The investor with a wireless device will be able to download the facility provided by his broker to the device and can buy or sell shares on the move.
The encryption and security of access will governed by the DoT regulations. The circular also calls for putting in place alternative means o communication if there is a failure in the network. A unique identification number like in internet based trading shall be made applicable.
India with its high level of cellphone penetration, could witness a revolution in trade volume. India’s cellphone subscriber base stands at 636 million as on June 2010.
Many large broking houses like Geojith BNP Financial Services, Motilal Oswal Financial Services already have the system in place. They are waiting for approvals from the stock exchanges, which are responsible for overseeing the broker’s adherence to SEBI guidelines.
