Thanks for your response, yes I was talking about index options. good to hear there wont be any change.
Today for the core risk management system, we rely on a vendor, which is the last piece of tech which isn’t built in-house. This vendor is Omnesys, owned by Thomson Reuters, Refinitiv, Blackstone, and now the London Stock exchange. We hope to replace this with our in-house risk management system in the next 12 months when we can do many things that are impossible today. Btw, almost all stock brokers today use a vendor RMS product. Omnesys is, I guess over 70% of retail and over 90% of institutional broking business.
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Will the in-house RMS also increase the speed of order execution by few milliseconds, specially during peak hours like market open. Sometimes orders take more than 1 second to reach exchange.
Yeah, we think it will be faster.
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Yeah the company which supports NEST Trader terminal
Switching to in-house system may give you access to build a standalone terminal also – looking forward to that
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@nithin – Any reason why the refund since Oct’21 only and not from the date since this peak margin penalty stuff got implemented ( I think it was back in Dec’2020) ?
There was nowhere explicitly written that penalty can’t be passed until then.
@ShubhS9 Any idea/tentative date until when will the refunds be credited? 75% of my overall short margin penalty (around 34k) were after 11th October.
Nithin do you ever fear that these detailed, granular rules by the regulator have the potential to make broker systems so complex risking exposure to a black swan event some time in the future? Every time I read your descriptions of your back end systems i get a sense that it has gotten an order of magnitude more complex than the last time you described them. On a bad day, such complexity will be the cause of disaster
I think, we are wrongly reading it.
NSE is mentioning about an earlier circular dated 11,12th Oct 2021 where they remind the brokers to not pass the penalty the the client .
So refund of such penalties should be applicable since the short margin penalty rule was implemented.
@ShubhS9 @nithin – That was very unfair that Zerodha was still charging it to the clients since it was very clear from beginning (from NSE) that it can be not passed to client and they also issue same kind of circular in July 2021 as well.
I have paid around 1.5 lakh to Zerodha for intraday peak margin thing and re-open the ticket with your support team ( [#20210125532310 ) to claim my hard earned money that give me many sleepless nights at that time.
Hoping to get this resolved on priority.