13.5 Online trading system at investor level
Gone are the days when if you wanted to buy or sell a share you had to chase a broker and hope to catch his attention for dishing out some good investment advice and manage the complicated documentation involved in the trading process. Online trading has removed the need for any involvement of the brokers. Further, it has changed the traditional value proposition of trading, allowing online brokers to supply investors with rich, interactive information in real time, including market data, investment research and robust analytics. The result is an integrated trading experience that combines execution with interactive analysis, shown by the growth of the online customer community from a mere 23,000 average trades on the NSE per day in year 2000 to over 35,18,266 average trades in 2007. Presently, the NSE has the capability to handle 10,00,000 trades per day. The total portion of online share trading by investors has been found to have grown from just 3 per cent of the total turnover in 2003-04 to 16 per cent in 2006-07.