Full formBusiness & Corporate
ETBstands forElectronic Trading Board
Full Form of ETB
What is ETB?
The Electronic Trading Board (ETB) was the first electronic trading system introduced by the Bombay Stock Exchange (BSE) in 1995. Prior to ETB, Indian stock trading relied on the open outcry method, where brokers shouted orders on the trading floor. ETB replaced this with a fully automated screen-based platform, allowing orders to be placed and matched electronically. This revolutionized the Indian capital market by increasing transparency, reducing settlement times, and enabling remote participation from brokers across the country. ETB was a milestone in India's financial modernization, aligning with the reforms introduced after the 1992 Harshad Mehta scam. Although ETB was later succeeded by the more advanced BSE Online Trading (BOLT) system in 1997, its legacy remains significant. It paved the way for high-frequency trading and the growth of retail investors. For students preparing for competitive exams like SEBI Grade A, RBI Grade B, or NISM certifications, understanding ETB is crucial as it represents a key phase in the evolution of Indian stock markets. Questions on the transition from open outcry to electronic trading frequently appear in financial awareness sections.
ETB का फुल फॉर्म
इलेक्ट्रॉनिक ट्रेडिंग बोर्ड
Example
The BSE replaced its traditional open outcry system with the Electronic Trading Board (ETB) in 1995, marking a transformative step for Indian stock markets.
ETB — frequently asked questions
What is the full form of ETB?
The full form of ETB is Electronic Trading Board. It was the first electronic trading system introduced by the Bombay Stock Exchange (BSE) in 1995 to automate order matching and replace the open outcry system.
How did ETB change Indian stock trading?
ETB replaced the traditional floor-based open outcry with a transparent screen-based system, enabling faster trade execution, better price discovery, and remote participation from brokers across India, thereby increasing market efficiency and investor confidence.
Is ETB still used by BSE today?
No, BSE upgraded from ETB to the BSE Online Trading (BOLT) system in 1997, which offered higher scalability and features. BOLT itself has since been upgraded, but ETB marked the beginning of electronic trading in India.