Market uptake aids regional brokers

Regional broking houses are also reaping the benefits of the upbeat capital market in India. Following the league of Karvy, India Bulls, Anand Rathi and others, Chandigarh-based broking houses are also consolidating their presence in north.

Competent Finman(P) had decided to add another 15-25 branches to its existing network of 40 outlets, which would be spread over Punjab, Haryana, Himachal Pradesh said Sanjay Tandon, promoter, Competent Finman(P) Ltd.

He added that the location for the new branches was yet to be finalised. He said there was huge untapped potential in this region. National players did not understand the needs of the local people and there was always room for regional players, especially in the suburbs, he said.

V Kumar of Vikson Finance and Investment Private Ltd said they had opened two branches in Ludhiana and Jammu and were all set to expand in Jammu and Kashmir. They have 28 branches in north India and aimed at adding another 10 in the next year.

His partner, VK Joshi, said there were many queries for franchise in Punjab.

"We open at least 25 dmat accounts every day and facilitate a business of Rs 100 crore. Since the local players give a personal touch, small and medium investors rely on them more than national players," said Joshi.

Another Chandigarh-based broking house, Sterling Finman(P) Ltd, is planning to emphasise more on Internet-based trading and also has plans to open a call centre to help customers. At present, it has 10 branches spread across Punjab, Haryana, Himachal and Chandigarh.

"We will focus on Internet trading and plan to set up a call centre that will have a toll-free number to support customers," said Bikramjeet Singh, director, Sterling Finman(p) Ltd.

According to him, Internet trading leads to lesser operating cost compared with physical branches, so less emphasis would be given for opening up new branches.