Stockbroking India on WebNotes

Discount brokers in India

Mon, 11 May 2026 00:00:00 +0000

A discount broker in India is a Securities and Exchange Board of India -registered stockbroker that charges a flat fee per executed order rather than a percentage of the transaction value. The flat-fee model, typically set at Rs 20 per order for intraday and derivatives trades, is the defining commercial characteristic that separates discount brokers from traditional full-service brokers, which charge 0.30 to 0.75 per cent of transaction value or more for equity delivery trades. Equity delivery trades (held overnight or longer) are offered at zero brokerage by most leading discount brokers.

Full-service vs discount broker

Mon, 11 May 2026 00:00:00 +0000

A full-service broker in India is a SEBI -registered stockbroker that provides, in addition to trade execution, a bundle of ancillary services including equity research, investment advisory, portfolio management, physical branch support, and relationship management. A discount broker is a SEBI-registered stockbroker that provides primarily trade execution at a reduced fee, typically a flat charge per order rather than a percentage of trade value, without maintaining a large research or advisory infrastructure. The distinction is commercial and historical, not a separate regulatory category: both types of broker operate under the same SEBI (Stock Brokers) Regulations.

Zerodha

Mon, 11 May 2026 00:00:00 +0000

Zerodha is an Indian financial services and stockbroking firm headquartered in Bengaluru, Karnataka. Founded in 2010 by Nithin Kamath and Nikhil Kamath, it operates as India’s largest retail stockbroker by active client count, having surpassed traditional full-service brokers by popularising a flat-fee, technology-first brokerage model. The firm’s name is a portmanteau of “zero” and the Sanskrit word “rodha” (barrier), reflecting its founding intent to lower the cost of market participation for retail investors.