BSE eyes trading speed of 20 microseconds in 3 years
BSE's high-speed Bolt Plus system is already the fastest trading platform in the country with a response time of about 200 microseconds to the trades executed on it.
"We are currently at the level of 200 microseconds and we are trying to take that to 20 microseconds. This we plan to achieve over the next three years," BSE managing director and CEO <g data-gr-id="32">Ashishkumar</g> Chauhan told PTI.
He also allayed concerns that high-speed technology can go against the interest of the markets or adversely impact the share prices.
Capital markets regulator Sebi is apparently working on a new set of norms for algorithmic trading, which refers to orders on bourses that are generated using high-frequency and automated execution logic.
"There is no human intervention in <g data-gr-id="35">algo</g> trading, because of which there are concerns among regulators and investors about the possible risks arising out of it. We need to understand it and use the <g data-gr-id="36">algo</g> trading for the benefit of investors and the <g data-gr-id="37">market,</g> and reduce such risks," Chauhan said on the sidelines of 40th Skoch Summit here.
"People feel that the sudden fall in share prices is due to <g data-gr-id="28">algo</g> trading...Such rumours come about...But, as regulations are made, investors would develop confidence. "It takes <g data-gr-id="33">time</g> to make <g data-gr-id="34">regulatory</g> framework for a new technology and Sebi is trying to come out with a good set of norms," he added.
BSE upgraded its technology platform in November 2013 to BOLT Plus, which is based on the global giant Deutsche Boerse's trading architecture. Over 900 brokers with more than 1,00,000 branches and millions of retail investors are on the Bolt Plus system.
Moves to XBRL format for reporting shareholding patterns
Leading stock exchange BSE on Thursday said it has moved to electronic format XBRL for reporting of shareholding patterns by listed companies. "With a view to making reporting more accurate and more efficient, the stock exchange is moving towards the XBRL (eXtensible Business Reporting Language) based reporting for shareholding pattern with effect from June 11, 2015," BSE said in a statement. XBRL is an electronic format for communication of business and financial data. According to BSE, XBRL would provide validations which will improve the accuracy of filings.