COLOMBO (EconomyNext) – The Colombo Stock Exchange (CSE) plans to introduce more online services to give easier and quicker access to both investors and Sri Lankan listed companies, its Chief Executive Rajiva Bandaranaike said.
One measure is enabling investors to make applications for new shares online, he told a news conference held to outline the CSE’s strategy for the next three years.
“We’re hoping to facilitate introducing initial public offer (IPOs) applications using the internet so that in an IPO you needn’t send the form in – you can electronically apply either through your mobile phone or the internet,” he said.
The CSE also hopes to enable investors to make payments for IPO applications by directly debiting their bank accounts.
“That system is now being discussed with the banks,” Bandaranaike said.
“We’re looking at also introducing some electronic platforms and e-services for listed companies, such as electronic voting,” he added.
“We’re also hoping to introduce a new web portal for corporate actions and for company announcements of listed companies.
“We’re trying to give them a standard template so that they can directly upload their information to the website, making the information more timely and accurate.”
Bandaranaike said the CSE has also implemented a project to improve the back office systems of brokers together with the member firms of the CSE.
Already, four selected vendors have started signing up with the broker firms.
Most likely that during the fourth quarter of this year all of the brokers will start replacing their back office systems and introducing new order management systems.
“This will enable them on one hand to do proper risk management and on the other to facilitate the setting up of the clearing house,” Bandaranaike said.
The CSE is also enhancing information security as it does a lot of work through the internet and online.
“There are threats and we are very aware of it and we have taken measures to strengthen the information security network,” Bandaranaike said.
The CSE is also upgrading its surveillance system. It is currently using the surveillance system of the National Stock Exchange of India.