One of the major cities down south, Hyderabad has always been a big part of the stock trading scenario.In olden times, the normal Hyderabadi trader relied on services of a stock broker who would buy and sell orders on their behalf. However with the advent of online brokerage individuals are able to trade at their own convenience from the comfort of their homes with online trading services. Hyderabad, being a centre of excellence for education and with major percentage of the population being literates,People’s access to trading news, financial websites, availability of podcasts and investment courses and certification facilities all lead to trading taking an upgrade from the conventional way to online. It is important to make note of the fact that more than 70% of all the trading happens online in this city of Nizams.
It is fairly easy to follow the market with so many local city channels specifically catering to the markets and latest news and trends are instantly available online. Many people start following the news an hour prior to the ringing of the bell to analyse the previous day’s performance, suggestions and recommendations for buying/selling, analysis from market pundits etc. Once the investor makes up their decision it is hardly a click of a button to buy or sell stocks. 20 years ago online stock trading seemed a daunting task for beginners however in these modern times and in cities like Hyderabad it is the preferred way for the majority.
Reading online articles, following trading news and access to data is no substitute for experience and traders in cities like Hyderabad have what it takes to trade and are making good use of the available resources like online stock simulators offered by Investopedia, Marketwatch etc to build on their online trading skills. Not only the information and data but the access to institutions offering trading courses, local mentality towards trading and the general populations exposure to marketsare some factors as to why Hyderabad is a front runner in online trading when compared to other Tier II cities.
The general principles of trading, risk mitigation, having a proper plan to invest, portfolio diversification and strategy don’t change by opting for online trading. Online trading offers convenience, independence, saves times and can be done as per convenience. Hyderabad now stands among the top 5 cities in India utilising online trade services and is expected to grow multi fold in the next 5 years.