BSE, NSE to conduct mock trading session on Saturday

Country's leading bourses BSE and NSE will conduct a mock trading session on Saturday to test the system performance and software related to trading and risk management, including algorithmic-based trades.

The two bourses said separately that they will conduct mock trading sessions on Saturday, February 6, 2016.

In three separate circulars, BSE has asked trading members with user IDs approved for algorithmic-based trades or algo trades to participate in the mock session, which would be held for the currency derivative segments, equity derivatives and equity segment.

The move is a part of the exchange's efforts to provide its members with a robust and efficient system for trading with better features.

NSE would be conducting mock-trading session to test the system performance in the capital market, currency derivatives and Futures & Options (F&O) segments on February 6, 2016, it said in separate circulars.

"Trading members shall ensure that all user-ids approved for algorithmic trading, irrespective of the algorithm having undergone change or not, shall participate in the mock trading session," BSE said.

Besides, "trading members using third party trading platforms can also test their respective trading application during the session for various functionalities, including exceptional market conditions," it added.

Algo trades refer to high-frequency and automated execution of trades on the stock exchanges through pre-programmed software platforms installed on servers.