Wireless technology is set to have a significant impact on futures and options trading, allowing for more flexibility and access to information.
This is the view of Maggie Anderson, an independent distributor of futures and options trading software Tradeworx.
"The futures and options market has become hugely dependent on IT, as the trading and matching of futures is currently all handled electronically," she says.
"Current and future developments include migrating to a networked backbone that provides access to information anytime, anywhere.
"Wireless networking and Web-based solutions are the new tools for providing this flexibility, enabling clients and treasury management companies to view their trading positions from any location with a WAP-enabled cellphone or an establishment that offers wireless Internet connectivity."
She says the upswing in the wireless market will also see trades executed with ease and a wider adoption of trading in many markets, enabling participants to expand their business interests.
Commentators say technology has for a long time been a key driver in improving the trading market and will continue to do so. "IT has provided financial markets with an indispensable tool," says independent financial consultant Willem Reitsma.
"Today`s traders would not be able to operate and survive without the use of these support and trading systems as they provide the ability to analyse large amounts of current and historical data. These decision-supporting tools have made current day traders the gladiators and IT infrastructure their weaponry."
As a result, IT has allowed the sector to expand exponentially. In 1990, the South African Futures Exchange recorded average daily turnover of 2 000 contracts to more than 40 000 in 1997. More than 2.6 million contracts were recorded in May this year, with a value of R64.93 million.
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