2. Expand customer base. Online transactions are not restricted by urban areas and working hours. Customers can operate anytime and anywhere with only one account opening. Using the existing bank securities communication card can attract a large number of bank demand deposit customers for transactions. Online trading breaks the restrictions of time and region, making every person who has the ability to participate in investment become a potential customer. Trading opportunities, participation awareness, and the number of participants are likely to multiply.
3. Improve transaction security. As online transactions can use digital signatures, public and private keys, encryption algorithms, international standard encryption protocols, trading gateways and other advanced encryption methods for identity authentication and transmission processing, online securities trading is not more risky than current trading methods such as ordinary counter entrustment, telephone entrustment, automatic entrustment, remote self-service entrustment, and on the contrary, It can avoid business risks such as natural disasters and man-made accidents brought by the tangible business department, and can greatly improve the security of transactions.
4. Improve the company's goodwill. Developing online trading business can improve the electronic and networking level of the company's various businesses, establish the company's high-tech image among customers, and improve the company's position in the eyes of investors.
5. It overcomes the defects of the existing off-site transaction mode. For example, the defect of telephone entrustment is poor intuition, the stability of videophone entrustment is poor, and long-distance calls entrusted from other places are too expensive, etc.
6. It has created new conditions for cooperation with banks and computer merchants. Securities companies can directly entrust investors' deposits to the bank for management, which saves costs and reduces the risk of errors. Securities companies can also outsource network maintenance to computer companies, which can not only obtain the most advanced technical services, bring stability to the operation of the trading system, but also change the one-time expenditure for purchasing the system into annual batch expenditure, reducing operational risk. For the current investors, online trading is convenient, fast, reliable and confidential, and can obtain a variety of online services and transaction fee reduction from securities companies. The report jointly commissioned by the Hong Kong Stock Exchange, the Securities Regulatory Commission, the Futures Exchange and the "Better Tomorrow" Fund by Professor Er of the Massachusetts Institute of Technology and WE&COMPANY INC pointed out that there will be major changes in the traditional brokerage industry, and only those companies that can take a long-term view and actively develop new technologies will have good performance.
