A surge in volumes puts to test the systems and processes of brokers. Users have little recourse
Users of Groww and Zerodha, the largest and second largest brokers in India, were irate on Monday morning. As the market started trading on June 3, users faced problems logging in and executing trades. This came on a day when the markets were in an exuberant mood on account of the exit poll results, which suggested a return of the Modi-led Bharatiya Janata Party (BJP) government.
Part of the problem lay with CDSL, the Central Depository Services (India) Limited, which is one of the two depositories mandated to store securities held in demat accounts. Brokers faced problems connecting with CDSL in the morning. As a result, a TPIN sent by CDSL, which users need to trade, was unavailable. This issue seems to have been resolved quickly. What is unknown is whether problems with logins persisted, and for how long.