The online trading industry has grown exponentially in the past decade, owing to the rise of technology and the internet. However, with globalization, it has opened up new doors for traders to invest from anywhere in the world. The Securities and Exchange Board of India or SEBI, which is the regulatory body for the Indian securities market, has a major role in regulating trading in India and protecting the interests of investors.
SEBI has played a critical role in regulating trading and securities issues; it regulates the Indian markets, increasing safety and transparency, thereby benefiting investors. It is SEBI’s endeavour to have a dynamic regulatory system, to keep pace with the market’s changing needs. SEBI has had a great impact on India’s capital market since its inception in 1988.
SEBI has advocated for online trading, enabling investors to trade on the go efficiently. It has created a conducive environment for online trading platforms to enter the market, which puts a tick of quality-assured platforms for potential investors. There has been a significant growth in the number of online trading accounts in India, and according to the latest statistics, as of March 2021, there were over 6.84 crore registered accounts, which is only expected to rise.
Online trading has proven to be an excellent opportunity for global investors who want to invest in the Indian stock markets. The Indian stock market has, in recent years, shown immense potential for growth, and with the rise of digital platforms, it has become convenient, effortless, secure and cost-effective for overseas investors to invest in India.
Online trading’s simplicity has made the investment process easy for investors. They can now easily track the progress of their investments from anywhere in the world, the online trading platforms providing every crucial detail about the trading companies enabling informed decisions. They have access to live feeds and trading charts of their investments, enabling also instant buying and selling of shares.
In conclusion, the rise in online trading is an excellent opportunity for investors to take advantage of India’s potential to generate investment returns. However, it is essential to understand the advantages and disadvantages of trading in the Indian stock market to capture profitable returns. Although SEBI has done admirable work in managing and enhancing online trading, the investor must take caution and seek professional advice before opening an account and trading.
Disclaimers: The views expressed in this article are solely for informational purposes and do not constitute financial advice, which investors should practice before investing their money into the Indian stock market. The author of this article is not responsible for the loss, whether direct or indirect, that may arise from following the information contained in this article.
