Zerodha started free brokerage plan for delivery trades. We have reviewed the Zerodha Discount Broker in many scales like Charges, AMC, Demat Account opening fee and etc. compares with different brokers only for our reader. We will cover the Charges of Zerodha and account opening charges as well. What we know is a drop, what we don’t know is an ocean.

Why you need Perfect Broker

Same is the case with the Stock Market, who are new to the concept of broking, investment and stock for them what they know initially is just like a drop in the ocean. With continuous trading comes learning and experience which gives you the benefit of thinking wisely and trading. Anything need practice to perfect similarly every trading needs a right broker to make perfect investments.

USA VS Indian Stock Market

Indian stock market is also just like a drop in the stock world. The markets in countries like US and China are much bigger than what we have in India. Talking more precisely there are two types of investors the first category is of those who invest in India and to the second category belongs those who don’t. Meaning some people have great knowledge about investment opportunities in India and some don’t. To an outsider, on comparison with US the Indian market will look like a dot to them, but on a closer look, there are great investment opportunities in India as well.

India has a promising market in stocks, now let’s talk about the players in the stock market. The main players are the brokers and for this, we have a topper in the list which is Zerodha. Zerodha is India’s largest stock broker. Being the most popular stock broker it offers online flat-free discount brokerage services.

Services offer by Zerodha like Invest and Trade

  1. Equity
  2. Currency
  3. Commodity
  4. IPO
  5. Direct Mutual Funds

There are some charges applied on the trades performed by Zerodha. But one of the interesting fact about the broker is that there are no transactions which may cost you more than Rs 20 for an order.

  • Like for intraday and F&O the charges are Rs.20 or 0.03% per executed order.
  • There is no brokerage charge for equity delivery trades.

Zerodha Discount Broker History

Zerodha was incorporated in the year 2010 and is the first and the leading stock broker in India both by volume and number of customers. Zerodha contributes to over 15% of daily retail trading volumes across NSE, BSE and MCX. The company provides the safest options for trading and is the most reliable in the country. A dependable name in the market the ratio of complaints from the customer for Zerodha is the least in the exchange. Most importantly this is a zero-debt company.

Zerodha is one of the most popular stock broker in India with largest number of active clients. There are no brokerage fee for equity delivery trades and the maximum brokerage charge by the broker is Rs 20. On Intraday trading they offer upto 20x leverage. Zerodha is one of the efficient and reliable stock brokers in India. The trustworthy brand also offers advanced proprietary and partner trading platforms. There are no commissions on Direct Mutual Funds. The company is a match for all type of traders like active and passive, beginners and also traders. And the customers save 86% to 90% on brokerage fees in comparison to any other traditional broker. There brokerage charges are simple and are very easy to understand as well.

What Makes Zerodha different?

What makes Zerodha unique than other stock broking companies in India is that it does not offer Margin Fundin. Also there is no policy of keeping customer’s security in pooled accounts and no propriety trading is done here. This makes the company the least risky stock broker in India.

How to begin trading with Zerodha?

To begin trading with Zerodha the client first has to open an account in the company. There are charges for opening of the account. Account here refers to the Demat Account, as everyone who is interested in trading in India first has to open a Demat Account. Being a broker Zerodha also has this service, Demat accounts are very necessary for any investor or trader as without this no one can perform trading in Indian stock market.

How to open a Demat account in Zerodha in 2020?

The trading method has been changed to online mode. Hence, to start online trading with Zerodha, investor has to open an account. These accounts are unique and it is safer to not share your account with anyone else. The account can be opened following the below steps.

  1. Fill up the online application form.
  2. The instant account can be opened by using details of AADHAAR card.

The steps are really easy to understand and follow. Later a small verification process will take place, after that you are free to start trading through your account.

For opening an account in Zerodha the charges are as follows:

Online Trading & Demat Account Opening Charges ₹200
Trading Account AMC ₹0
Demat Account AMC ₹300 per year

 

*For opening an account via offline method the customer will be charged ₹400.

Zerodha Discount Broker Brokerage Charges

Zerodha has some brokerage charges and they follow a fixed brokerage model. It charges a flat ₹20 or 0.03% (whichever is lower) per executed order. No brokerage charge is applied on equity delivery. The maximum brokerage chargeable per order is ₹20.

 

 

Trading Segment Brokerage Charges
Zerodha Equity Delivery Charges ₹0 (Free)
Zerodha Equity Intraday Charges Flat ₹20 or 0.03% (whichever is lower) per executed order
Zerodha Equity Future Charges Flat ₹20 or 0.03% (whichever is lower) per executed order
Zerodha Equity Options Charges Flat ₹20 per executed order (on Turnover)
Zerodha Currency Futures Charges Flat ₹20 or 0.03% (whichever is lower) per executed order
Zerodha Currency Options Charges Flat ₹20 or 0.03% (whichever is lower) per executed order
Zerodha Commodity Charges Flat ₹20 or 0.03% (whichever is lower) per executed order
Zerodha Mutual Fund Charges ₹0 (Free Unlimited Direct MF)

 

Zerodha Equity Brokerage

Charge Type Equity Delivery Equity Intraday
Brokerage ₹0 (No Brokerage) Flat ₹20 or 0.03% (whichever is lower)
Securities Transaction Tax (STT) 0.1% on both Buy and Sell 0.025% on the Sell Side
Transaction / Turnover Charges NSE: 0.00325% | BSE: 0.003% per trade (each side) NSE: 0.00325% | BSE: 0.003% per trade (each side)
Goods and Services Tax (GST) 18% on (Brokerage + Transaction Charge) 18% on (Brokerage + Transaction Charge)
SEBI Charges ₹5/Crore ₹5/Crore
Stamp Charges State wise State wise

 

 

Zerodha Equity F&O Brokerage

Charge Type Equity Futures Equity Options
Brokerage Flat ₹20 or 0.03% (whichever is lower) Flat ₹20 or 0.03% (whichever is lower)
Securities Transaction Tax (STT) 0.01% on Sell Side 0.05% on Sell Side(on Premium)
Transaction / Turnover Charges NSE: 0.0019% | BSE 0.003% (each side) NSE 0.05% | BSE 0.003% (each side) (on premium)
Goods and Services Tax (GST) 18% on (Brokerage + Transaction Charge) 18% on (Brokerage + Transaction Charge)
SEBI Charges 0.00005% (₹5/Crore) 0.00005% (₹5/Crore)
Stamp Charges State wise State wise

 

 

Zerodha Currency F&O Brokerage

Charge Type Currency Futures Currency Options
Brokerage Flat ₹20 or 0.03% (whichever is lower) Flat ₹20 or 0.03% (whichever is lower)
Securities Transaction Tax (STT) No STT No STT
Transaction / Turnover Charges NSE: 0.0009% | BSE: 0.00022% NSE: 0.04% | BSE: 0.001% (on premium)
Goods and Services Tax (GST) 18% on (Brokerage + Transaction Charge) 18% on (Brokerage + Transaction Charge)
SEBI Charges 0.00005% (₹5/Crore) 0.00005% (₹5/Crore)
Stamp Charges State wise State wise

 

Zerodha Commodities Brokerage 2020

Charge Type Commodity Futures Commodity Options
Brokerage Flat ₹20 or 0.03% (whichever is lower) Flat ₹20 or 0.03% (whichever is lower)
Securities Transaction Tax (STT) 0.01% on sell side (Non-Agri) 0.05% on sell side
Transaction / Turnover Charges Group A: Exchange txn charge: 0.0026%
Group B: Exchange txn charge: Pepper – 0.00005%, Castorseed – 0.0005%, Rbdpmolein – 0.001%
₹0
Goods and Services Tax (GST) 18% on (Brokerage + Transaction Charge) 18% on (Brokerage + Transaction Charge)
SEBI Charges 0.00005% (₹5/Crore) 0.00005% (₹5/Crore)
Stamp Charges State-wise State-wise

 

Zerodha Discount Broker  Zerodha Charge / Fee Structure

Some more additional charges which you must know about are:

  1. Securities Transaction Tax: These are the charges which are applied only on the sell side for intraday and F&O trades. For delivery trades, it is charged on both sides.
  2. Stamp Duty: Charged as per the state of the client’s correspondence address.
  3. Goods and Services Tax: 18% of the total cost of brokerage plus transaction charges are charged.
  4. SEBI Charges: This is charged at Rs 5 per crore.

 

Zerodha Discount Broker there are some more hidden charges

  1. ₹50 per call is charged if you opt for Call and Trade feature.
  2. An additional charge of ₹50 is executed for MIS/BO/CP positions.
  3. An additional charge of ₹20 is charged if any physical copies of contracts or notes are ordered. Although digital contract are sent via emails.
  4. Trade SMS alerts (optional) are charged at ₹1 for Equity, F&O, and Currency trade alerts and ₹0.50 for Commodity trade alerts.
  5. Instant payment gateway charges for over 22 banks – ₹9 per fund transfer.
  6. DP charges for delivery based equity selling – ₹8 per transaction.
  7. Standard NSE charges, transaction charges and statutory levies are charged.

Zerodha Discount Broker Technological advances by Zerodha

With the advancement in technology, Zerodha has also updated their games. They have adopted technology in making their services more advanced and improving the user experience. The company has created various platforms so that the users can perform trading keeping their convenience. Some of the facilities include:

  • Zerodha has its own trading software known as Zerodha Kite. This software is specifically for web and mobile trading.
  • Coin by Zerodha is a platform for mutual fund investment.
  • Varsity is another platform which helps investor’s to understand trading more deeply. It is an investor educator program.
  • Trading Q&A is another platform where queries related to trading can be posted and clients can get their answers from the experts.
  • SmallCase- a thematic investment platform is also one of the platforms which Zerodha offers.
  • Sensibull and GoldenPi are platforms for options trading and bonds trading respectively.

 

Above we have seen an overview of the technologies used by Zerodha for trading and making the experience much easier. Let us see all the platform in briefer.

  1. Kite 3.0: It is a Web-based trading platform which was launched in 2015. Zerodha Kite Web is an online HTML 5 lightweight and quick exchanging stage which can be utilized for exchanging on portable, tablets just as on an internet browser. Kite is created in-house by Zerodha and since its dispatch has experienced different updates. Right now, Kite 3.0 web stage is offered by Zerodha. It offers full market watch, broad graphing with more than 100 pointers and 6 diagram types, propelled request types like Brackets and spread, millisecond request positions, and considerably more for exchanging at BSE, NSE and MCX. Kite Web 3.0 is accessible for nothing to every one of its clients.
  2. Kite Android/ Kite iOS: This is a mobile trading app that is a smartphone application for Android and iOS. This application permits clients to exchange from their smartphones. Kite Mobile application is accessible with the expectation of complimentary all its client for exchanging and observing stocks and item showcases in India. With live spilling information from BSE, NSE and MCX, Kite Mobile App is the most progressive exchanging application accessible in India.

 

Zerodha Discount Broker Pros (Advantages)

Coming up next are the benefits of Zerodha. You should peruse Zerodha focal points and impediments before opening a record with Zerodha. Zerodha advantages and disadvantages assist you with finding on the off chance that it suits your speculation needs.

Most famous Broker – Zerodha is the biggest stock intermediary in India (by the quantity of dynamic customers and every day exchanging volume). The best exchanging stages and instruments in the business – Kite, Console and Coin

Zerodha Discount Broker Cons (Disadvantages)

  1. Coming up next are the cons of Zerodha. Check the rundown of Zerodha disadvantages.
  2. Doesn’t give stock tips, research reports or proposals.
  3. Month to month boundless exchanging plans is not accessible.
  4. Lifetime free AMC Demat account plans are not accessible.
  5. An extra charge of ₹50 per executed request for MIS/BO/CO positions which do not get down to business by the client.
  6. Call and Trade are accessible at an extra expense of ₹50 per executed request.
  7. 3-in-1 exchanging account isn’t accessible as Zerodha doesn’t give banking administrations.

For any new trader a broker can prove to be very helpful, Zerodha gives best options to the traders.