Any person who is looking to invest his money in the stock market needs the assistance of a stock broker. You don’t necessarily need to take assistance from the broker but if you do it would prove to be quite helpful to you. You may either hire the services of a traditional broker or an online broker. Irrespective of the type of stock broker you choose, you need to pay a brokerage commission to them in lieu of the services they would render to you. This commission is a part of the profit that you earn by buying or selling the shares.
Stock broker is an agent who is trained as well as certified for participating in the securities market. He acts as an agent for buyers and the sellers of the securities. They also charge a commission for these services. These stock brokers do not have securities but they just offer services to the investors. The stock broking firm plays a double role or an agent and a principal.
How to select right Broker for you?
While selecting the right stock broker for lowest stock brokerage trading, something which makes most of the difference is brokerage which is charged per transaction. Another important factor is the transaction fee which is not charged the same by every stock broker. It’s generally charged on the basis of per crore. The rate of the transaction charges might differ by exchange and trade segment.
Today is the time of the internet and with everything being done online, even trading is being done online. It allows smooth and hassle-free trading to the investors. Thus, all the stock broking companies offer online trading opt on to the traders.
If you are looking for best online stock trading account which charges the lowest brokerage commissions India then there are a lot of options for fulfilling your requirements. These stock broking firms offer different types of online as well as offline stock trading plans in future, options, stocks, currency, etc. You may choose a plan which is suitable for your requirements.
Top Lowest Brokerage Commissions in 2020
With so many options available, it is quite obvious that the investors get confused which stock trading firm to go with. To clear this confusion, below are a few stock trading accounts that charge the lowest brokerage commissions.
Zero fee for opening an account( Demat + Online Trading) for limited time
Unlimited Equity and trading at Rs. 899 per month and currency at Rs. 499 per month
Flat Rs. 15 per order executed across different segments
Lifetime free of cost AMC Demat and Trading account
- Absolutely paperless online trading account opening with just Aadhar card
Free of cost trade website, terminal and mobile trading apps
Advance brokerage and margin calculators
Strong back office
- Other Benefits
No fee PCM
Maximum of Rs. 50 as stamp duty
Call and trade @Rs. 10 per order and additionally Rs. 15 per order executed
Rs. 20 or 0.01%, whichever is less in Equity Intraday, commodity, currency and F&O
Free of cost equity delivery
Rs. 325 per crore delivery
Rs. 325 per crore intraday
Rs. 210 per crore future
Rs. 5300 crore options
Rs. 135 per crore future
Rs. 4400 crore options
Flat Rs. 10 per order for equity delivery, F&O, Intraday and currency.
You can save upto 90% on the brokerage
You can open a paperless account with just your Aadhar card
Benefits of opening a trading account with 5paisa:
Paperless and instant account opening
No brokerage on the basis of the value and 90% savings
You can trade from mobile, desktop as well as web platform
You may trade in F&O, Equity as well as Currency segment
Finvasia offers India’s very first and the only zero brokerage stock trading account.
India’s First and only honest ZERO BROKERAGE trading account.
The stock broking industry in the past few years has witnessed some major changes in the financial market. The new brokers have created a lot of competition in the technological space, latest strategies and advance usage of the mobile technology.
A huge shift has been witnessed with the investors shifting from the traditional brokers to the discount brokers. The discount brokers offer almost similar types of services. However, some of them now offer free of cost trading in different segments, and some propose free of cost delivery trades.
The whole focus of the brokerage industry is now moving completely to the technological and customer support. In the growing competition, selecting the best broker for fulfilling all of your requirements is quite challenging.
Apart from the brokerage that the stock broker charges, there are certain other things also which you should keep in mind while choosing one for your investment services.
More than anything else, you first need to decide whether you need a full service broker or a discount broker.
Cost and charges
The fees related to execution of trade is very important, but there’re certain other brokerage charges also which you need to consider. In case you are a young investor, then there are chances that you will have a very limited budget. When it is about investing at such a young age, looking at the charges might be applicable to you for making sure that you are able to make most of the investment you make.
Below are some of the additional costs that you need to consider:
Most of the stock brokers have a minimum balance to start a stock broking account.
While the young investors may not wish to open a margin account instantly, it is something that you need to think of in the future. The margin accounts generally have a very high minimum balance needs than the standard stock brokerage accounts. It is also very important to look at the interest which the broker charges while making the trades on margin.
It is your money after all, but sometimes it is very difficult to bring it to your account. This is mainly because the stock brokers sometimes charge a fee for making withdrawals or they would also not let you withdraw any money out of your account. Some of the accounts would even help you write checks but these typically need a higher minimum account balance. You need to ensure that you first properly understand all the rules which are involved for removing the money from the account with the prospective broker.