Kochi catches up with big four centres of capital trade market on NSE
S Sanandakumar, ET Bureau Nov 24
KOCHI: Major metros like Mumbai, Delhi and Kolkota still dominate the capital market trade in the country. But the data on city-wise trade from National Stock Exchange (NSE) throw up some interesting results.
Kochi has emerged as one of the top centres of capital market trade in the country occupying fifth position among all the cities in the country. The first four positions are occupied by Mumbai, Delhi, Kolkata and Ahmedabad.
Data on city-wise turnover of NSE in the cash market segment from 2005-06 and 2010-11 shows that Kochi made a dramatic improvement in its position.
In 2005-06, the city of Kochi ranked 11th among all cities. The share of Kochi stood at 1.70% in 2010-11, which is the fifth highest among all cities in the country. The cities in the first four ranks account for 83% of the total trade.
Reacting on Kochi's achievement as far as capital market trade is concerned CJ George, managing director, Geojit BNP Paribas Financial Services said that the high economic growth rate of Kerala during the period, the record prices that some of the cash crops of the state received and the higher remittances received by people are the factors responsible for it.
"The efforts that companies like Geojit took to spread awareness about the opportunities in the equity market is the other important reason," he added. Interestingly, Kerala is ahead of cities like Chennai, Bangalore, Hyderabad, Baroda, Indore, Jaipur and Pune.
"The period under review is one which has seen a full cycle of boom and fall," says George, adding that the trend would have got clearly established during the period. The thin rural-urban divide in the state has created many other important centres of capital market trade.