best indian brokerage firm for online trading

best indian brokerage firm for online trading : ICICI Direct – are you wondering what all these are? These are just a few names of some of the best brokerage houses in India that help non-residents (NRIs) to trade in the Indian Share Market. And thanks to technology, online share trading has become one of the easiest things to do IF you have the right brokers helping you. According to us, the following brokerage houses are the best:

1) nriinvestindia.com
2) timesofmoney.com
3) nricapital.com
4) nriinvestmentsindia.com
5) ICICI Direct

Having said so, we would also like to warn you that we have only taken into account the ONLINE trading resources these companies offer. We do not take any guarantee or responsibility of their OFFLINE trading facilities. However, for investing in Initial Public Offerings (IPO), we feel ’sharekhan’ is best as it allows clients to place orders till 2-3 p.m. on the final day of subscription of IPOs.

Friends and clients alike often ask us as to how they can start investing in the Stock Market directly. Investing in stock market is very simple, more so if you follow the four simple steps given below for the same:

Step 1: Apply for a PAN online if you do not have one and you will get your PAN within a week.

Step 2: You will need a bank account for trading in the stock market. A HDFC Bank NRI Account is recommended.

Step 3: Once you have a PAN card, open a demat account (this is necessary for trading) with any bank or a brokerage firm.

Step 4: Lastly, you need to have an online stock market trading account for investing in the stock market directly.

Please note that its important to link your bank account, demat account and online trading account. The online trading account and demat account may be opened with the same brokerage firm and the firm may be given power of attorney to operate your bank account as this would save you the paperwork. We would also like to warn you about the fact that investment brings with it risks. Please be careful while investing else your entire capital money will be washed away. Investors can now also invest in IPOs by the click of a button thanks to technology. An overview of NRI Services and about the Indian Share market wouldn’t be out of place here.

The Indian Share Market has 22 regional exchanges, in addition to the Bombay Stock Exchange (BSE) and National Stock Exchange of India Ltd. (NSE) – the two primary and pivotal exchange houses of India. The BSE and NSE together account for almost 80% of the equity trade in India. The average daily turnover has increased from Rs.851 crore in 1997-98 to Rs.2, 273 crore in 1999-2000. While the NSE has a total of 1,500 shares having a market capitalisation of Rs.9, 215 billion, the BSE has a total of 6,000 shares having a market capitalisation of Rs.9, 680 billion! Mostly, almost all the stocks are available on both and hence the investor can buy stock from either. Also both having a different settlement cycle, the investor can shift his position as per convenience. The BSE Sensex (primary index of BSE) comprises thirty stocks while the Nifty (primary index of NSE) comprises fifty. However, it’s the BSE Sensex that’s more widely followed. Both BSE Sensex and Nifty are calculated on the basis of market capitalisation and contain the heavily traded shares from key sectors. Please note that the market is closed on Saturdays and Sundays. For the convenience of investors, both BSE and NSE have switched over to an automated computerised mode of trading known as BSE On Line Trading (BOLT) and National Exchange Automated Trading (NEAT).

The stocks traded on BSE have been classified into the following groups:

Group A: Shares in the carry forward system (Badla)

Group C: Odd securities in group A, B1 and B2 and Rights renunciations.

Group F: Represents debt market segment (fixed income securities)

Group Z: Blacklisted companies

The Securities and Exchange Board of India (SEBI) governs the stock exchanges, depositories, depository participants, mutual funds, etc.

ROLLING SETTLEMENT CYCLE:

A rolling settlement is typical to each trading day being taken as a trading period. Trades executed during the day are settled based on net obligations for the day. At NSE and BSE, trades in rolling settlement are traded on a T+2 basis, that is the second working day. For example, trades taking place on Monday are settled on Wednesday, those taking place on Tuesday are settled on Thursday and so on. All intervening holidays, Saturdays, Sundays, Bank holidays, Government holidays etc are excluded for arriving at the settlement.

Going Short:

Selling off your shares is known as ‘going short’. Generally an investor would do so if he expects the prices to decline. In a rolling settlement cycle you will have to cover by end of the day on which you have gone short.

Concept of Margin Trading:

To buy share you need money and to sell you need shares in your demat account. But if you do not have the full amount or shares, you have to cover your sale/purchase transaction by a sale/purchase transaction before the close of the settlement cycle. You will make a profit in case the price during the settlement moves in your favour (increases if you are buying the shares and decreases if you are selling) and you will receive the payment from the exchange. If the contrary happens you will suffer a loss and you will have to pay the exchange. It is for this reason that margins (quotes as a percentage of the value of the transaction) are collected to safeguard against any adverse price movement.

Myself Aditya Sharma (Sr.Investment Advisor), and I work for a NRI Investment company (www.NriInvestIndia.com) that helps NRIs, PIOs and OCIs to invest in India’s top mutual funds.

Here at NriInvestIndia.com we focus in delivering value service to our NRI clients when it comes to their investments in the Indian stock markets – NSE & BSE. Our equity & mutual fund investment advising is structured to suit the investment objectives of the non resident Indian investor in a long run (including PIOs and OCIs).

We at NriInvestIndia.com advise our clients to invest across various financial products viz: Mutual funds, RBI bonds, Portfolio Management Services for NRIs, Stocks & Shares, Trading Account, Dmat Account, SIPs – systematic investment plans, etc, based on your risk-return profile.

List of stock Brokerage Charges in India ;

1. ICICI Direct

Account opening fees : Rs 750/- (One time non-refundable)
Brokerage : ICICIDirect.com brokerage varies on volume of trade and inclusive of demat transaction charges, service taxes and courier charges for contract notes. It ranges from 0.1% to 0.15% for margin trades, 0.2% to 0.425% for squared off trades and 0.4% to 0.85% on delivery based trades.

2. Sharekhan

Some stock trading companies charge direct percentage while others charge a fixed amount per Rs 100. Sharekhan charges 0.5% for inter day shares and 0.1% for intra day or you could say Sharekhan charges 50 paise per Rs 100.

3. Indiabulls

Account opening fees : Rs 1200/- (One time non-refundable) as below:
250/- Equity Trading Account opening charge
200/- Demat Account opening charge
750/- Software changes

4. 5Paisa

Account opening fees: Rs 500/- one time non refundable.
5paisa offer competitive rates. They charge only 5 paisa for Rs 100 of trade done, which is 0.05%. brokerage. In case of trade that result in delivery, they charge an additional 0.20% for back office and securities handling.

5. Motilal Oswal Securities

Type of Account
MOSt E-Broking
MOSt E-Broking is complete online stock trading solution for Indiaian stock market.
Following are the features of MOSt E-Broking account:
Easy single screen trader with instant trade confirmation similar to exchange based trading terminals.
Access to various online reports like margin report, Demat A/c details, trades executed, turnover report, net position report with mark to market profit/loss and realized profit.
Online transfer funds through HDFC Bank.

6. HDFC Securities

Rs. 799/- (Including trading account, bank account and DP account with HDFC)
Please note: HDFC Bank savings account required a quarterly minimum balance of Rs. 2,500/-. If you already have Saving account or DP account with HDFC, you could link them with trading account.

7. Reliance Money

Reliance Money offers lowest brokerage rates in today's online stock trading industry in India. The brokerages are as low as 0.075% for delivery based trading and 0.02 for now delivery. For more detail about Reliance Money’s brokerage and fees visit the below section of this webpage.

Reliance Money Demat Account Charges:
Annual Services Charges - For Individuals / HUFs / Trust Rs. 50/-
Annual Services Charges - For NRIs / Foreign Nationals, Corporates / Others Rs. 1000/-
Transaction Charges - SELL (Market & Off Market)
For instructions given in physical form. Rs. 25/-
Transaction Charges - SELL (Market & Off Market)
For instructions received through Internet/ online trading through Reliance Securities Ltd. Rs. 12/-

8. IDBIPaisaBuilder
Check the IDBI Web portal for details.

9. Religare

These are 3 types of accounts in religare.
-> R-ACE
Account activation charges Rs.299/-.
Minimum margin of Rs.5000/- required.

-> R-ACE Lite
Account activation charges Rs.499/-.
Minimum margin of Rs.5000/- required.

-> R-ACE Pro
Account activation charges Rs.999/-.
Minimum margin of Rs.10,000/- required.


10. Geojit

Account opening fees: Rs 500/- one time non refundable.
For delivery based trading, Geojit brokerage is 0.30% for trading less then 10 lakhs a month and reduces for more volume.
For Intra-day trading, Geojit brokerage is 0.030% for trading less then 2 Crores a month and reduces for more volume.
For F&O trading, Geojit brokerage is Rs 75/- per lot less then 9 Crores a month and reduces for more volume.

11. Networth Stock Broking Limited (NSBL)

Here it is called Service charge,

N-Easy Trading:
View Only Account: Charges are Rs. 500 per month, Rs. 1200 per Qtr or Rs 4500 p.a.
Trading Account: Free but user access charge of Rs. 150 pm, applied if brokerage from the client in a month is <> For the latest updates PRESS CTR + D or visit Stock Market news Today

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