Attaining SEBI’s Technical Glitches Mandate Compliance: QualityKiosk’s Empowerment of India’s Largest Stockbroker

Industry & Segment

Objective

To enable seamless compliance with SEBI’s technical glitches mandate by strengthening platform stability, improving system resilience, and ensuring uninterrupted trading performance for a leading stockbroker.

Platform

Anabot

Client Overview

The client is one of India’s largest stockbrokers, serving over 3 million consumers and conducting daily transactions above 1 million trades. The rapid expansion of the capital market business has increased accessibility for retail market participants, but it has also brought about technological challenges concerning capacity, operational risk, and technology risk.

Business Challenges

Stockbrokers need to monitor

the end-to-end performance of critical systems, including client connectivity, order management systems, risk management systems, and exchange connectivity

Key health parameters from the application

infrastructure, network, and database of these critical systems must be reported to the National Stock Exchange (NSE) every 5 minuteses

NSE’s API-based logging and monitoring

Mechanism (LAMA) needs to be used between stock exchanges and the trading systems of specified stockbrokers to comply with this requirement

Ensure SEBI compliance with zero trading disruptions

Get your copy

QualityKiosk’s Strategy

QualityKiosk Technologies assisted the stockbroker to meet SEBI’s regulatory requirements. To achieve this, QualityKiosk leveraged its in-house accelerator ‘Anabot’ to provide end-to-end observability and push performance statistics to the exchange every 5 minutes.

The key strategies employed in this engagement are as follows:

Rapid Deployment: Within a few weeks, QualityKiosk accomplished the configuration, testing in the UAT (User Acceptance Testing) environment and deployment of observability in production for two critical systems – OMS and RMS. This swift execution ensured that the stockbroker could meet SEBI’s stringent requirements promptly
Unified View of Observability: Combined data from various sources, such as Dynatrace, Solarwinds, PRTG, application logs, and databases, to create a unified view of observability. This comprehensive approach allows the stockbroker to have a holistic understanding of its critical systems’ performance and health
Intelligent Actionable Alerts: Implemented SMART alerting mechanism that intelligently identifies and notifies the stockbroker about potential technical glitches. This proactive approach enables the stockbroker to address issues swiftly and minimize any adverse impact on its operations

Key Strategies

OpenAI Python library

We harnessed the power of Python to automate the test case generation process. Leveraging Open AI's Python libraries, we developed a code/utility to interpret API specifications and dynamically generate the requisite test cases per any test management format, in this case, qRace artifacts.

This utility not only

Drastically reduced the time needed but also eliminated human errors from generating the test cases.

qRace Integration

We integrated our in-house test management tool, qRace, with the client's API testing environment. qRace provided a standardized format for storing and managing test cases, ensuring alignment with the bank's existing processes. Generated test cases were uploaded in the qRace without manual intervention.

Business Outcomes

Regulatory Compliance

The stockbroker is now fully compliant with SEBI’s circular and can meet the stringent monitoring and reporting requirements set by the market regulator. This ensures that the stockbroker operates within the legal framework and minimizes the risk of regulatory penalties

Enhanced Observability

With the implementation of 'Anabot' and the unified view of observability, the stockbroker gains a deeper insight into its critical systems' performance, bettering decision-making, operations optimization, and identifying potential improvement areas

Accelerated Execution

Serves as a model for other regulated entities, including large banks, insurance companies, and stockbrokers. This opens the possibility for rapid implementation of observability solutions in other organizations facing similar regulatory requirements

Faster Time to Market

The streamlined API testing process translated into a faster time to market for the bank's products and services. By reducing the testing phase's duration, the bank gained a competitive advantage in delivering innovations promptly.