What is the full form of BOM in the Share Market?
The BOM full form in the share market is Broking Operations Management. This refers to the management of the entire trading lifecycle, starting from the point of trade execution to clearance of the payment settlement. It focuses on the activities that help in the seamless trading of financial instruments.
What are the aspects that BOM covers?
BOM covers everything in trading, starting from the verification of the client and their background for regulatory requirements to the opening up of Demat and trading accounts for them. It also focuses on risk profiling to assess the investment goals and risk appetite of clients. Broking operations management also felicitates the placement of buy and sell orders through different channels and also ensures that the orders are executed at the best possible prices.
Role of BOM in regulatory compliance:
The broking operations management ensures that all trading activities adhere to the regulatory and legal standards that are set by the authorities at the SEBI. Its scope also covers submitting regular reports to the regulatory bodies on trading activities, client data, financial health, etc. It also helps in maintaining and developing trading systems for the execution of trades and helps protect sensitive systems and information from cyber threats.