Discount Brokers Becoming Popular on Indian Market
As the recent changes in the market show, discount brokers are becoming increasingly popular in the Indian market. The stock trading industry is very competitive already, and it is becoming even more popular as the coronavirus pandemic-related restrictions are going in full force in the country.
Recently, a company that is backed by Tiger Global Management RKSV Securities India Pvt. Became the second-biggest broke run the country after it has nearly doubled the number of customers, which has become as much as 1.2 million in six months. The data of the National Stock Exchange of India Ltd. shows that the numbers are continuing to increase even more. The top online broker in India stands to be the Zerodha Broking Ltd, which has also grown a lot in the number of clients. The increase is as much as 75%, and now the customers of the broker are as much as 2.5 million.
Because of the restriction in the country to avoid further spreading of the Covid-19 pandemic, many people have started trading Forex and other assets in the country, many of them turned to equities and started using stocks brokers very actively. It has helped to drive a more than 55% surge in India’s benchmark S&P, BSE Sensex, from its lowest points in March.
As the current numbers show, the sales at India brokers are expected to grow as much as 12%, which is to about 230 billion rupees, more than $3 billion, in March 2021. The ICRA published a special report on this matter a few days ago.
Coronavirus in India
India has faced a lot of challenges recently because of the Covid-19 pandemic, the number of the coronavirus infected people has been increasing a lot in the recent few weeks, which has resulted in new restrictions being adopted by the leadership of the country to avoid further complications. Already, there have been more than 7.3 million cases reported in the country, and the number is increasing every day.
Recently, thanks to the restrictions adopted by the leadership of the country, the number of daily cases was managed to come down, however, still, in the last 24 hours, more than 11,000 cases were reported in the country. In total, there have been more than 112,000 people killed because of the Covid-19 in India, and the number is increasing very fast as well.
Just some time ago, the country reported more than 1,000 deaths in just 24 hours. Thankfully, the number of daily deaths have lowered as well, however, the situation is still very hard in India. Because of this, many people are simply not allowed to leave their homes, making them start trading.
Since July, the lowest numbers of the Covid-19 have been reported in the country, which was 680. Until then, the numbers were very high in India. Since August 25, India has been reporting more than 1,000 coronavirus-related death daily, which is a huge number. Also, for many days, the country was the largest contributor to coronavirus-related deaths in the country.
The decline in the daily cases of the virus has started a few weeks ago, and experts are saying that the situation might continue this way as well. However, still, the situation is still very hard, which has resulted in about 12,500 coronavirus-related deaths over the last several weeks.
Forex trading in India
It is very much legal to trade Forex in India, within the Indian Exchanges, recently, the market has become increasingly popular in India due to the increasing Covid-19 cases, which has resulted in many people simply not being able to leave their homes. Because of that, they have decided to stay home and start investing in the Forex market and stocks market, because of this, as the numbers show, the popularity of it has been increasing a lot recently.
There are many well-known Forex brokers in the country, that are also very well-known around the world. The stock market is also very popular in India, and it has become even more popular recently, as many people have started trading since the pandemic started in March.