Share trading on the Internet surges to record volumes

SHARE TRADING on the Internet set a record pace in the first quarter of this year, and online trading volumes rose by 30 to 35 per cent to around 450,000 trades a day from the fourth quarter, one of the industry's most influential analysts said yesterday.

The surge in online trading volumes came despite overall market volumes rising just under 5 per cent from the fourth quarter, analyst Bill Burnham of CS First Boston said in a research note. The rise means that Web brokers processed an average of 440,000 to 460,000 trades a day in the first quarter and continue to pick off market share from traditional brokers. Online trading volumes had risen by almost 40 per cent to a record 340,000 trades a day in the fourth quarter.