KARACHI, Sept 22: A local software developer has been in talks with some members of the Karachi Stock Exchange (KSE) to sell a software it has designed for hedging and arbitrage of stock prices for the KATS (Karachi Automated Trading System) terminals.

But the KSE management is yet to decide if it should allow its members to buy this software and use it.

“The main concern for us is leakage of information,” said an official of the KSE, who declined to be named. “Installing a software for the KATS for whatever purposes has to be seen in this light,” he insisted.

The company EDP Services owned by former chairman of Pakistan Software Houses Association Syed Hamza Matin says this concern is genuine. “We appreciate this concern and that is why we are ready to sign a non-disclosure agreement with the KSE management,” said a company official.

He said the draft of non-disclosure agreement has already been prepared and if the KSE management agreed on having a software for hedging and making arbitrage of stock prices the same should be signed before it gives a go-ahead to its members to buy this.

Under the rules KSE members are bound to use only the software provided by the Exchange and no application software or software add-ons can be installed on KATS terminals.