MUMBAI, DECEMBER 23: Trading volumes are set to increase on the Bombay Stock Exchange (BSE) with the exchange permitting trading members to go in for a maximum of three terminals per VSAT (very small aperture terminals).In a notification issued early this week, the exchange informed its members that "the current restriction of one terminal per VSAT is being removed and members can go in for a maximum of three terminals per VSAT".
The bandwidth paucity faced by the exchange forced the bourse members to use only one terminal per VSAT so far. Subsequent to the introduction of Bombay On-Line Trading (BOLT) system, members necessarily have to use VSATs as trading interfaces.
According to the exchange, applications for new terminals will be entertained on a first-come first-serve basis and has limited the number of new terminals to be added at 200.
The facility of additional terminals will lead to an increase in the volume of trades, while also improving the quality of trading, brokers said.With only a single terminal each at their disposal, brokers are restricted to a single trade at a time. But with two additional terminals, a member can undertake multiple trades simultaneously, picking up (or selling scrips) brokers said.
This will also serve to spread out the costs for the brokers as the most of the expenses in setting up the infrastructure goes in VSATs - "there will be now more trades per VSAT" as one broker put it".
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.