ZERODHA

4.5 Overall

Zerodha is a discount broker based out of Bangalore aimed at providing lowest brokerage & advanced trading platform and is on the top of the leading list of discount brokers in India due to its large trading volume, number of customers and growth.

Brokerage Charges4.5
Platforms & Tools 4.5
Customer Service 3.0
Cons
  • Call and Trade is not free.
  • Doesn't have monthly plans.
  • No Provision to Invest in IPOs.

Zerodha Overview

ZERODHA is India’s first and largest online discount broker started by Mr.Nitin Kamath, a trader by himself in 2010. Apart from bringing a competitive pricing model that made it the first of its kind, Zerodha is also acknowledged as a pioneer in technology for trading in India.

As its name, mixing the English word ‘Zero and the Sanksrit ‘Rodha’ (Barrier), would suggest, Zerodha had the vision to break possible barriers that various traders, investors and various other aspiring money-makers face in the country’s economic scenario. In the last six years, the broking house has steadily grown with leaps and bounds, becoming one of the main players in the BSE, NSE and the MCX with average daily turnovers of over Rs. 5000 crores.

Zerodha Brokerage Charges

When most of the brokerages firms were charging large amounts of money, Zerodha started offering all equity & Mutual Funds Investment for brokerage free and 0.01% or Rs 20 whichever is lower per executed order for all other segments be it equities intraday, currencies, FnO or commodities.   

Pay attention to the phrase whichever is lower, that’s what makes zerodha different from others.There are other brokers like SAS Online, 5Paisa.com & ProStocks who charges flat Rs 9 to Rs 15  it's cheap when you place an order in bulk quantity but it actually becomes expensive when you place small orders many times.  With zerodha you will pay the minimum no matters whether you buy 1000 stocks in a single trade or in 10 trades (10×100). When your brokerage is less, the service tax and education tax which is charged over brokerage also become less making your overall trade charges less.

Zerodha Other Charges

  • DP charges for delivery based equity selling charged only on sell side - Rs 8 + Rs 5.5 = Rs 13.50 per transaction.
  • Call and Trade feature is available at an extra cost of Rs 20/- per call.
  • Digital Contract notes are sent via Email. Physical copies of contract notes can be ordered at additional charge of Rs 20/- per contract + Courier charges.
  • Trade SMS alerts (optional) are charged at Rs 1 for Equity, F&O, and Currency trade alerts and Rs 0.50 for Commodity trade alerts.
  • Instant payment gateway charges for over 22 banks - Rs 9 per fund transfer.

Account Opening Charges - 

  • Trading Account Opening Charges (One Time): Rs 200
  • Demat account Opening Charges (One Time): Rs 100
  • Trading Annual maintenance charges (AMC): NIL
  • Demat Account Annual Maintenance Charges (AMC): Rs 300 Per Year
  • Commodity Account Opening Charges (One Time): Rs 200

Zerodha Platforms & Tools

Zerodha offers two platforms, a browser-based/Mobile application Kite and a desktop platform PI, which is the company’s flagship product and core focus.

Desktop Based Trading

The desktop platform PI, encompasses everything an active trader could desire. The tools provided cater to every type of professional investor, including institutional investors such as hedge funds.

  • Advanced charting: 10 chart types with over 100+ indicators. without any cost for data is one of the big pluses of Pi.
  • Algos, Strategies and Back Testing: Code advanced with a simple yet powerful scripting language.Use the free Historical data to back-test our strategies and even semi-automate them.
  • Historical Data: 50,000 candles worth of FREE historical Data for Stocks, Indices, F&O,Currency and Commodity.
  • Expert Advisors: Real Time trade signals from Automated Expert Advisors by using our own Strategies or Strategies from Others.
  • Trading from the Charts : We can place orders from Charts, for the first time in India.
  • PI Bridge: Pi Bridge to give seamless and reliable connectivity from the charting or programming tool to the trading engine on Pi. The plan is, whatever be your front end, will help to fire orders using the bridge.

Browser Based trading : 

Kite is a very light, responsive but at the same time very powerful web and mobile trading application. It comes with the following features-

  • Works at a bandwidth consumption of less than 0.5 kbps for a full market watch.
  • Provides extensive charting with over 100 indicators and 6 chart types.
  • Advanced order types like Bracket and cover orders.
  • Millisecond order placement.

Mobile Trading Platform 

Kite Mobile application is pretty much carries all the functionalities present in browser based kite trading application. 

Here are some of the top features of the mobile app: 

  • One-tap universal instrument search for all contracts across all exchanges - NSE,BSE,MCX.
  • Live streaming data.
  • Multiple market watch and live market depths.
  • Advanced charts with 100+ indicators.
  • Years worth of free historical chart data

Trading Tools

Zerodha has provided great resolution in technology by providing number of userfriendly tools like - 

Zerodha Education & Research

Zerodha don't give stock tips but empower by teaching how to trade through there initiatives like Varsity and Tradingqna.

  • Varsity : Free online course on Indian stock market.
  • Trading QnA : Zerodha community Answers to questions on trading and markets. 

It is about teaching a man how to fish, rather than giving him one.

Zerodha Customer Service

Zerodha Offers the following communication channels for its clients to get in touch with them :

Zerodha should certainly look forward to increase the number of communication channels such as web chat, Tool free numbers so that clients can have better number of options to get service on the move.

However, as of now, the communication quality is fine but primarily the focus of the executives stays a little “disappointing". Thus, Clients who trade regularly might find the overall quality below average.

Zerodha Closing Thoughts

Zerodha is a very well respected broker, competing among the largest brands in the online broker space. The backbone of Zerodha's success, specialty services and trading platforms, will certainly continue to be front and center for many years to come.


Background
Year of Incorporation 2010
Website https://zerodha.com
Demat CDSL - ZERODHA SECURITIES PVT. LTD.
Exchange Enabled NSE, BSE, MCX-SX & MCX
Platforms
Software
Html5
Android Apps
IOS Apps
Charting
Intraday 365 days
End of Day 10 years
Indicators
Coding
Brokerage
Equity Delivery 0 (Free)
Equity Intraday Rs 20 or 0.01% which ever is lower per executed order
Equity Futures Rs 20 or 0.01% which ever is lower per executed order
Equity Options Rs 20/executed order
Currency Futures Rs 20 or 0.01% which ever is lower per executed order
Currency Options Rs 20/executed order
Commodities Rs 20 or 0.01% which ever is lower per executed order
Margins
Equity Intraday Upto 20 times
Equity Delivery No leverage
Equity Options Buying no leverage,Shorting upto 7 times intraday leverage
Equity Futures Upto 7 times intraday leverage
Currency Futures 2 times intraday leverage
Currency Options Buying no leverage,Shorting upto 2 times intraday leverage
Commodities 2.5 times intraday leverage
Turnover & Other Costs
Equity 0.00325% on Turnover
Equity Futures 0.0021% on Contract Turnover
Equity Options 0.053% on Premium Turnover
AMC Charges Trading: 0, Demat: Rs 300/year
DP Charges Rs 13.50 per debit instruction
Commodities 0.0031% on Contract turnover
Broker Assisted trades Rs 20 per executed order
Active Clients
Active Clients 2016 1,28,736
Active Clients 2015 61,970
Active Clients 2014 30,379
Reporting
Online Trade Reports
Online PNL Reports
Online Contract Notes
Tax Ready
Accounting Opening Costs
Trading Only Rs 200
Trading Demat Rs 300
Commodity Rs 200
Support & Tools
Research & Tips
Brokerage Calculator
Margin Calculator
Brakets Orders
Training & Education