In a recent development, Nithin Kamath, the founder of Zerodha, a leading stockbroking platform, announced changes to the presentation of Verified P&L (Profit and Loss) information on their platform. Zerodha had introduced the Verified P&L feature as a response to the proliferation of fake P&L screenshots and videos circulating on social media to promote trading-related products and services.
The platform initially aimed to provide a reliable means of verifying trading performance by directly serving the P&L information from their side, thereby preventing tampering. However, a recent concern emerged regarding the potential for manipulation of verified P&L figures for stocks that were transferred from other brokers. Customers were able to enter a buy price for transferred stocks, potentially leading to distorted equity profit displays in the verified P&L section.
To address this issue and maintain the integrity of the Verified P&L feature, Nithin Kamath announced that Zerodha would no longer display the P&L for transferred stocks on the verified P&L page. This decision was taken due to the inability to verify the accuracy of the buy prices entered by customers for transferred stocks.
Kamath, while mentioning on Twitter, emphasized that the change would not impact positions in futures and options (F&O) or intraday equity, as these positions cannot be transferred between brokers and will continue to have both buy and sell trades displayed.
The update comes shortly after the introduction of the Verified P&L feature, which aimed to introduce accountability and transparency by offering a means to verify trading performance claims. The platform noted a significant decrease in the sharing of potentially manipulated screenshots and videos on social media, thanks to the Verified P&L feature and the validation provided by BeSensibull.
Despite the progress, a new challenge emerged with traders selectively choosing profitable dates to showcase their performance. To address this concern, Zerodha has disabled the custom date range option for sharing verified P&L. Traders can now only select predefined date ranges, including the last 30, 60, 90, 180, or 360 days.
Zerodha has encouraged users to refer to the support article on their website to gain more insight into the changes implemented in the Verified P&L display.
This move by Zerodha underscores the company's commitment to providing accurate and reliable trading performance information while mitigating potential avenues for manipulation and misrepresentation.
(Edited by : Anshul)
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
Lok Sabha Election 2024: What rural Delhi wants
May 16, 2024 10:10 PM
Over 50 onion farmers detained in Nashik ahead of PM Modi's visit
May 16, 2024 11:14 AM
Why Google CEO is cautiously optimistic about the election year
May 16, 2024 9:51 AM
Mark Mobius reveals how markets will react if NDA wins 400+ Lok Sabha seats
May 15, 2024 8:09 PM