Launched in 1875 and first named the Native Share and Stock Brokers’ Association, the Bombay Stock Exchange (BSE) has since grown into one of the most reputable stock exchanges in the world. Being the first in India and the entire Asian continent, BSE has attracted all types of companies to participate in its listing. It has also become one of the best choices for traders and stock investors hoping to gain passive income.
To bring users more investment opportunities and make it easier for stakeholders to participate in trading, BSE launched its online trading system on March 14, 1995, which they named BOLT.
What is the meaning of BOLT?
BOLT stands for BSE Online Trading System, allowing investors to trade in stocks and securities online using any device, be it a desktop, laptop, or mobile device. The concept of BOLT is the same as the trading applications used by other stock exchanges. It is designed to make trading more efficient and less time-consuming.
How to use BOLT?
Bombay’s online trading system is built on a two-tier structure. Each of the end-user computers on whose devices the BOLT application is downloaded and installed is directly connected to the BSE’s backend server. The backend server is a Central Trading Engine (CTE). It is a communication tool between the end-users and BSE.
Anyone who wants to use BOLT must first download and install the app on their device and then go through the registration procedure. Investors who have access to the BSE online trading system can track the position of stocks, compute indices, make trading decisions, and much more.
BSE has created various BOLT versions since the system’s launch in 1995. Basically, BOLT is used to place trades on the Bombay Stock Exchange. Some versions are meant for users solely using the system to invest in equity, currency, commodity derivatives, etc. There are also different API versions available. To better understand each one and how to download and use them, visit www.bseindia.com.
Pros and cons
The creation of BOLT was a good decision as it made the Bombay Stock Exchange even more attractive and accessible to investors. The advantages to using BOLT are vast, and the system does help in cementing the BSE on top of the share market online industry:
- Real-time monitoring of stock movements.
- Easy and no hassle index computation.
- Real-time market and indices monitoring.
- Faster and more efficient trading, allowing investors to gain better from their capital and save time on stock and securities trading.
The BOLT system also provides investors with the latest stock market trends online. The information provided is guaranteed real-time that investors no longer have to worry about whether the data they gathered is still applicable to them on that particular date or not.
However, the BSE online trading system is not perfect as many other stock market applications. BOLT has its advantages and disadvantages. For instance, the system doesn’t work well for day traders. Though, in the future, BSE may provide investors with a better system that will allow day traders to make the most of their trading activities.
Is BOLT a good choice for investors?
Investors should not base their decisions on whether or not to use a particular stock exchange solely on the popularity of the proposed trading system. Such popularity doesn’t define its effectiveness in the stock market.
The choice should be based on the following:
- Costs involved. There is no minimum amount required for an individual to start trading in the stock market. However, some exchange brokers may require a certain amount. Investors should first investigate a stock brokerage company’s various requirements and terms before putting their money.
- Requirements for opening an account. Different stock trading brokers may request some documents as a requirement to open an account with them. They may also follow a different account opening procedure in their systems. In this regard, it is always best to research the firms first before proceeding with account opening.
- Security and robustness of the system. Trading involves money. This means that every trading system should include a highly secure environment for investors to perform their transactions.
The BSE online trading system is a highly secure environment. Opening an account is free, although you would need to have money to start your trading journey. The requirement for opening an account is also not that extensive. You only need to follow all the procedures, submit the required documents, and then wait for approval of your registration.
Overall, when you consider all the advantages BOLT offers, it can be concluded that the BSE online trading system is indeed a good choice for investors. The various versions and upgrades made to this system have given online trading a new meaning.