Trading at Zero Brokerage Charges
Brokerage is Main Components in investment or trading Cost. Every trader and Investor looking lowest brokerage from their broker to cut down cost that will help them to low their BEP which gradually help them increased their ROI.
But really trading possible with zero brokerage Charges?
My Answer is yes.
Now Days, So many broker offer Zero Brokerage Plan but its really Zero or hidden charges set-off zero brokerage?
Few Brokerage Company Offer Unlimited Trading Plan where you can pay monthly fees and Zero Brokerage for unlimited trading in a month.
- TradeSmart Online
- Trade Plus Online.
But actually they are set-off their Brokerage Loses in charging higher transaction cost – Compare Discount Brokerage Transcation Charges.
In 2010 Zerodha lunched Discount Brokerage concept in India. Before 2010 leading brokerage house charged 0.03 – 0.05% for Intraday trading and 0.30 – 0.50% for delivery trading and Rs 100 For option lot.
Zerodha offered Flat Rs 20 Brokerage for All intraday Traders in any segment in any exchange which is help you to save upto 95% on your brokerage.
From 2016 Dec Zerodha offer Zero Delivery Brokerage for all equity investment.
In True terms Zerodha – Discount Broker Offer Zero Brokerage Charges – I suggest you Check Zerodha – Discount Brokerage.
- Zero Delivery Brokerage – NSE & BSE Cash Delivery Segment
- Flat Rs 20 Per Executive Order Brokerage for all other Segment
- Zerodha Coin – Zero Cost Mutual Fund Online Investment
- Lowest Transaction Charges across the industry.
- Best Trading Terminal – ZerodhaKite ,Zerodha Pi
- Zerodha Varsity – Interactive Educational Blog for Trader and Investor.
- 60 Days- Challenge – If you net Profitable in 60 Days challenge Zerodha will pay back your brokerage charges in 60 days ( Max – 6000 )
Want to know more about Zerodha – Check this
Lets see below example how you can save 95% of your cost in trading.
Let example : if you trade in Reliance in Future Lot size is 1000 Qtn
Buy 2 lot RELIANCE @ 926
Sell 2 lot RELIACNE @ 930
Brokerage Calculation :
Traditional Broker : Assume their brokerage for intraday 0.04%
Buy : RELIACNE – 926 * 1000 *2 = 1852000 * 0.04% = 740.8 Brokerage for Buy
Sell : RELIACNE – 930* 1000 *2 = 1860000 * 0.04% = 744 Brokerage for Sell
Total Brokerage = 1484
Zerodha – Discount Brokerage : Flat Rs 20 Brokerage Per Order
Buy :RELIACNE – 926 * 1000 *2 = 1852000 * 0.04% = Rs 20 Brokerage for Buy
Sell : RELIACNE – 930* 1000 *2 = 1860000 * 0.04% = Rs 20 Brokerage for Sell
Total Brokerage = Rs 40
Total Saving = 1484 Rs – 40 Rs = 1444 Rs ( Brokerage Traditional Broker – Brokerage Zerodha ) you saved 90% of your Brokerage Cost
Here Clearly we found that Zerodha Brokerage compare to leading traditional brokerage difference is significant – Zerodha Brokerage is almost Zero compare to traditional Brokerage.