Date:24/08/2005 URL: http://www.thehindubusinessline.com/2005/08/24/stories/2005082402840900.htm

Back Internet trading of stocks yet to take off

Our Bureau

New Delhi , Aug 23

DESPITE the boom in the stock markets, Internet trading seems to have not caught on in a big way.

According to data collated by the Finance Ministry, for the period between July 1 and August 18, 2005 Web trading accounted for just 0.09 per cent of total exchange turnover on the Bombay Stock Exchange (BSE).

While at the National Stock Exchange (NSE) during the period from January 1 to July 31, on an average around 5.2 per cent of the total turnover in the cash market came through Internet trading.

The Minister of State for Finance, Mr S.S. Palanimanickam, told the Rajya Sabha that the Securities and Exchange Board of India (SEBI) has specified the minimum conditions and standards, which are to be ensured by the stock exchanges before permitting stock-brokers to carry out Internet trading on the exchange.

The NSE too issued a circular in May asking stock-brokers using Internet trading facility to introduce a requirement of regular audit of their systems.