Hdfc Sec Aims To Be Distribution Firm

HDFC Securities Ltd (HSL), promoted by the HDFC group and Chase Capital Partners, expects to transform itself into a distribution company handling all kinds of financial products in the next one year.

The company which was set up in 2000 as an e-brokerage firm today also announced the launch of 'Dial A Share" service with a toll free telephone line in Chennai which will enable investors from the city to buy and sell shares on the National Stock Exchange.

Sunil Shah, managing director, told newspersons at a press meet here that the company will invest in a whole new technology platform which would enable it to become a one-stop shop for buying any kind of financial product.

"We will be investing close to Rs 5 crore in the next one year on technology and we would also be expanding the product profile which would see us moving from being a securities company to being a one-stop-shop for all financial products, which would mean that we would also get into the distribution of third party products also" Shah said. HSL has over 35,000 online investors and a net worth of over Rs 30 crore.

The company which announced the setting up of a toll-free line 1600-11-9400 in Chennai said that this would enable investors to buy and sell shares on the NSE from the comforts of their home or office through the phone. The company also has a website www.hdfcsec.com through which investors can transact.

Shah said the company offers the unique feature of integrating the customer's savings bank and demat accounts with the trading account to help seamless transactions in shares. "The trading account with HSL integrates with the customer's HDFC Savings account and HDFC Bank Demat account and offers one seamless transaction with 100 per cent transparency" Shah said.

The offering, according to Shah, also had an unique feature insofar as the inter settlement trade was concerned with the customers being allowed to sell 100 per cent of the shares bought on transaction day (T) on (T+1) and (T+2) and even on pay in or pay out day and can take advantage of the rising market or limit their loss. This was being provided by HSL to its customers at absolutely no additional cost.