Cut-throat competition in the broking business in the wake of the record boom

- Offer intra-day life time zero brokerage with one-sided case brokerage in delivery

- Older players also start offering zero brokerage to attract retail customers: Clients who have been paying higher brokerage over the years have started turning to other brokers.

MUMBAI: The Corona epidemic has paralyzed many other businesses in the country, and new business opportunities have dwindled, with unprecedented gains in Indian stock markets over the past year and a half. . As the number of new investors has increased to tens of millions in a short span of time, competition in the country's broking business has intensified.

As a result of this competition, investors-clients who have been trading brokers there for years, regretting that they have been paying high brokerage for a long time, are now asking their brokers to reduce brokerage charges and opt for other brokers who offer other lucrative offers. .

While Zeroda, a newcomer to discount brokerage, has taken the field, the aggressive business tactics of such broking houses and regulatory compliance have multiplied in recent times, with small and medium brokers surrendering and closing their broking business. While even the big and giant broking houses are now being slapped against broking giants like Zeroda, they are forced to compete in the zero, discount brokerage.

Broking houses, which have so far levied a hefty brokerage-brokerage charge of 0.50 to 0.2 per cent, have also offered 0.10 to 0.50 per cent broking charges on delivery transactions to survive the competition and attract more and more retail customers. No, but it is only when sell that these delivery brokerages have started offering attractive applications and are increasingly attracting more and more customers by offering Lifetime Zero Brokerage on intra-day trading.

In this contest, Kotak Securities has introduced a simple all-in-one online bank savings account, demat, account and trading account with only 0.5 per cent delivery transaction charges to be levied one-sided and zero intra-day brokerage charges (only Rs. Is doing. In addition, Kotak Securities in F&O has intensified the competition by offering only Rs 30 brokerage charges per order under the trade free plan. While Demat is offering to charge an annual maintenance charge of Rs.500.

On the other hand, for opening a trading account by HDFC Securities, Rs. 5 charges, equity brokerage delivery charges, a minimum of 0.50% and also both side charges, ie even when you buy and sell and take brokerage charges for intra-day trading. 09% is offering broking services by applying both sides. In addition, HDFC Securities Demat Account AMCs is charging Rs 50.

HDFC Securities offers Rs 0.05 per cent in equity futures, Rs 100 per lot in equity options or one per cent of the premium whichever is higher, Rs 4 per contract in currency futures, intra-day in commodities futures or 0 per cent in commodity futures. The same rate is being offered in commodity options at 0.08 per cent.

While Zeroda offers Rs.500 charges for opening a trading account, demat account AMC charges of Rs.200 and equity delivery charges of zero i.e. free offer in addition to intra-day equity trading of Rs.50 or. Even lower in offer and equity futures, whichever is lower is Rs 50 or 0.05 per cent, in equity options Rs 50 per order, in currency futures Rs 50 or 0.05 per cent whichever is less, commodity futures Similarly, in commodity options, charges of Rs 50 per order or 0.05 per cent whichever is less are being offered.