Categories: Uncategorized

Pay Per Trade

How you should select the right brokerage plan? (Discount Brokerage in India )

How do you pay your stock broker? The three options that are available in the market – pay as you trade, prepaid brokerage plans and fixed brokerage per trade.

Pay as you trade

You pay brokerage for each trade, mostly a fraction of your trade value. For example, you may come across a broker who charges 0.5%, or 50 paise for every Rs 100 worth of shares for delivery trade. Of course, some put a minimum brokerage amount, say Rs 25. So if you buy shares of Rs 50,000, you will end up paying the higher of the minimum brokerage ( Rs 25) or the brokerage at 0.5% i.e. Rs 250.

In addition to Rs 250, you will also have to pay statutory dues such as securities transaction tax, service tax on brokerage and other levies. For intraday trade, the rate can be 5 paise per Rs 100 traded. “Under no circumstances can the brokerage exceed 2.5%,” adds Subhash Sharma.

Prepaid brokerage structure

This works similar to the ‘pay as you trade’ option. But you have to pay a lump sum towards brokerage in advance. The money you paid has a validity period like mobile talk-time. If you don’t use it in that stipulated period, it is not carried forward. But the advantage is – more you pay in advance, lower will be the brokerage rate.

For example, if you pay Rs 10,000 in advance, you can do a delivery trade at a brokerage rate of as low as 0.1%, or 10 paise for Rs 100. The rates for intraday trade may fall to 0.015% or one-and-a-half paisa for Rs 100 traded.

Fixed pay per trade

This is a relatively new phenomenon in Indian markets for individual investors. Here the size of the trade is irrelevant. The ZERODHA online discount broker charges you for each order executed on the exchange. For example, you may place an order to buy 1,000 shares of Reliance Industries at Rs 740 per share.

For all shares you end up paying a fixed brokerage of Rs 20. Of course, statutory levies follow. In other words, big savings compared to the ‘pay as you trade’ model of brokerage.

From Founder’s desk

“Our clients primarily include mature traders in derivatives segment – especially the options – who know their trading strategies well,” says Nithin Kamath, Founder & chief executive officer, Zerodha – an online discount brokerage offering fixed brokerage per trade structure.

‘Fixed Pay Per Trade  ‘ best option for Big Trader as well as small & even for beginner as Zerodha Offer 0.01% or Rs.20 which ever is lower.

Zerodha  – The Online Discount Brokerage

Zerodha start its support center in Ahmedabad & Delhi

Lowest Brokerage in Gujarat 

 

Zerodha Start his Support Center in Ahmedabad (Lowest Brokerage in Gujarat) & Delhi

Connect – ahmedabad@zerodha.com

8866502020 / 08460302020

Check  –

Zerodha Brokerage Calculator

Connect – Delhi Zerodha – Online Discount Brokerage Company

Mobile no : 09953212020

Zerodha Delhi Branch Add :

716, WestEnd Mall

Nr. Janakpuri District Center Metro Station

Janakpuri West

New Delhi 110018

For Call Back  : Click Here

 

Open an account with US

Happy Trading,

Investallign

Recent Posts

Effwa Infra & Research Limited IPO : Important Dates

Effwa Infra & Research Limited IPO is set to launch on 5 July, 2024. The…

4 months ago

Ambey Laboratories Limited IPO : Key Information

Ambey Laboratories Limited IPO is set to launch on 4 July, 2024. The company initiated…

4 months ago

Bansal Wire Industries Limited IPO : Key Updates

Bansal Wire Industries Limited IPO is set to launch on 3 July, 2024. The company…

4 months ago

Emcure Pharmaceuticals Limited IPO : Company Information

Emcure Pharmaceuticals Limited IPO is set to launch on 3 July, 2024. The company initiated…

5 months ago

Nephro Care India Limited IPO : Key Information

Nephro Care India Limited IPO is set to launch on 28 June, 2024. The company…

5 months ago

Diensten Tech Limited IPO : Important Dates

Diensten Tech Limited IPO is set to launch on 26 June, 2024. The company initiated…

5 months ago

This website uses cookies.