Anand Rathi Sec launches online trading portal

Aparajita Saha in Bombay

Anand Rathi Securities, a leading investment banking and securities trading firm, along with Navratna Capital, has launched Anand Rathi Direct (Web site: www.rathi.com).

Anand Rathi Direct boasts of being the first online multi-exchange Indian portal that provides investors access to the Bombay Stock Exchange for the first time.

D R Mehta, chairman, SEBI, while inaugurating the site, called for greater integration and consolidation of broking institutions with depositories and banks. He mentioned that while the Indian online trading scene is characterised by competitively low costs, the trading volumes must increase to displace nations like Korea, where over 50 per cent of trade is carried out via the Internet.

Stating the future course action of SEBI, Mehta said, "We are looking into initiating open houses wherein investors have a forum to air their grievances and doubts. We are also putting together a proposal to the RBI, requesting them to grant limited banking powers to depositories of clearing houses. This will enhance speed and bring down costs. Also on our agenda is the setting up of a common clearing house. We are addressing problems associated with routing too."

Speaking about the positive trends in the stock market, he said, "Investor complaints have come down from over 2.5 million per year to below 100,000. The growth rates are astounding too. Technologically, the Indian trading market is comparable to that of developed nations."

Anand Rathi Securities, set up in 1994-95, boasts of a growth rate of over 100 per cent in each working year. The full service broking house has over 60 franchises in 40 cities and 150 trading terminals.

Initially, until September 25 Anand Rathi Direct will service the present customers of Anand Rathi Securities. Subsequently, it will take on new clients. Its unique selling proposition, it claims, is the availability of in-depth and incisive research that it circulates to institutional clients worldwide. This research includes the tracking of over 200 companies by its experienced analysts as well as detailed information on over 7000 companies, live news and analysis and IPO analysis.

Commenting on this aspect, Anand Rathi, managing director, Anand Rathi Securities, remarks, "This research is a very handy tool for investors, given the fact that most online trading and financial portals flood them with information, but with hardly any serious research of institutional quality."

Anand Rathi Direct has launched a flat-fee brokerage structure on a per order basis. The service will be available to clients at Rs 99 per order and will allow them to create exposures for as much as Rs 500,000. For more market-savvy traders and large investors, Anand Rathi Direct also offers real time streaming quotes with a brokerage structure of 0.05 per cent on square off transactions and an additional 0.20 per cent on delivery trades. Clients can trade on margins as low as 25 per cent on both schemes. There are no account opening charges and no minimum balance requirements.

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