8 Best Discount Brokers in India – Stockbrokers List 2023

Since the introduction of the ‘Financial Inclusion program by the Government of India, the Indian stock market has grown to one of the largest in the world. This program has seen an increase in the number of people who can invest and trade in the country. With the increase in the number of investors, finding the “right” broker is crucial for your success.

Stock trading, in general, has been a part of India for centuries. However, in recent years, the number of trading platforms has increased manifold. Today, there are more than 30 companies offering online stock trading in India. Some are private, some are public, while others are hybrid. So, with so many options within the country, who should you choose to trade with?

List of Best Discount Brokers in India – Best Discount Brokers in India 2023 (Updated): The Indian brokerage sector was thoroughly disrupted by the emergence of Zerodha, a discount brokerage set up in 2010. Since these discount brokers offered cheaper brokerage plans, they were able to attract a large number of customers compared to the expensive traditional brokers. Then many existing brokers and companies began to copy the concept and offer similar, cheaper plans.

After a decade of attention from these brokers, discount brokers have become increasingly popular in recent years. In fact, many of these discount brokers are able to outperform the large, well-known conventional trading firms. In this article, we present the eight best discount brokers in India.

Here we will evaluate discount brokers in India based on key features like brokerage fees, account opening fees, maintenance fees, services offered, trading platforms, pros and cons, etc. By the end of this article, you will have a better understanding of the different discount brokers in India so you can choose the one that suits you best. Here we go!

What is a discount broker?

Discount brokers offer low brokerage fees, great speed, and a fast platform to trade stocks, commodities, and currency derivatives. The brokerage fees for trading with these discount brokers are much lower than those of the traditional brokers in India like HDFC Securities, ICICI direct, SBI cap, etc.

Moreover, the business model of a discount broker is quite simple. They offer a fixed brokerage rate for each transaction made by the client and this rate is not dependent on the size of the transactions. This rate is usually between Rs 10 and 20 lakhs per transaction.

On the other hand, full-service brokers charge only a fraction of the transaction volume. This commission can be as much as 0.3 to 0.7% of the transaction volume. So as the trading volume increases, you will be charged more and more brokerage fees.

Now that you have a basic understanding of discount brokers and full-service brokers in India, let’s look at the eight best discount brokers in India that you should look for.

Best discount brokers in India – List of stockbrokers 2023

1. Zerodha

Founded in 2010 by Nitin Kamat, Zerodha is India’s largest discount brokerage. It offers free investments in stocks and mutual funds, as well as fixed brokerage services for intraday traders and all other traders. It has over 3 million customers and accounts for over 15% of the daily trading volume in the Indian stock market. Her mobile application KITE has been downloaded over 1,000,000,000 times on the Play Store.

Quick fact: According to December 2022 ET news article, Zerodha is the largest stockbroker in India (in terms of the number of clients), ahead of many older and larger brokers like ICICI Direct, HDFC Securities, Sharekhan, etc. With its innovation and hands-on approach, Zerodha has managed to stay ahead of all these big players.

Zerodha Main features

• Free delivery trades: All your equity investments (NSE, BSE), are absolutely free – ₹0 brokerage.
• ₹20 Intraday trading in equities and F&O: ₹20 or 0.03% (whichever is lower) per executed order for intraday trading in equities, currencies, and commodities on NSE, BSE, and MCX.

Demat and Zerodha Trading Account opening costs:

To open a trading and trading account with Zerodha, these are the fees:

• Equity Account: ₹200
• Commodities account:₹100

So, if you want to open trading, demo, and commodity account with Zerodha, the account opening fee totals Rs 300. In addition, the annual maintenance fee (AMC) for a Demat account is Rs 300.

Services provided: Zerodha offers trading and investment services in equities, derivatives, foreign exchange, mutual funds, and commodities.

Trading platforms: Kite 3.0, Kite Mobile, Console, Sentinel, Coin

Benefits of Zerodha:

1. Free delivery of shares
2. The maximum margin per transaction is Rs. 20
3. Innovative and user-friendly trading platform
4. Higher brand value and customer support
5. Direct investment in mutual funds from the same trading account.

Drawback of Zerodha:

1. No research report, advice/recommendations on the market

Quick link to open an account with Zerodha

2. Angel Broking

Angel broking, founded in 1987, is a great brand with +30 years of experience in the brokerage world and +1 million satisfied customers. They are present in more than 1,800 cities in India. Angel Broking offers trading services in stocks, F&O, commodities and currencies on the BSE, NSE, NCDEX and MCX.

Although Angel Broking operates as a full-service broker and has been offering interest-bearing brokerage fees to its clients for over two decades. However, they have recently (November 2019) changed their business model from percentage brokerage to fixed fees to compete with fast-growing discount brokers like Zerodha, 5Paisa, Upstox etc.

Angel Broking now offers a brokerage plan at a flat rate called Angel iTrade PRIME. Shop here with free shipping. And for all other segments i.e. intraday, F&O, FX and commodities, they charge a flat rate of ₹20 per. The same simple proposition applies to all exchanges and segments.

One of the main advantages of trading with Angel Broking is that it offers stock market investment advice, as well as company research reports and many other value-added tools and services.

Services provided: Angel Broking offers services in the following areas: stocks, commodities, currencies, PMS, life insurance, ETFs, IPOs and mutual funds.

Angel Broking Fee:

1. Delivery costs: Rs. 0
2. Intraday trading: Salary ₹20 per transaction
3. P&O shares: Salary ₹20 per transaction
4. F&O Currency: Salary ₹20 per transaction
5. Raw materials trading F&O: Salary ₹20 per transaction

Costs for opening an account with Angel Broking:

1. Account opening fees: Rs. 0 (currently not collected)
2. Annual maintenance contribution: Rs. .450 (from the second year onwards)

Trading platform: Angel iTrade, Angel Broking mobile application, Angel BEE

Benefits of Angel Broking:

1. The cheapest full service real estate agent
2. Opening an account quickly
3. Fee for one agency,
4. Up to 48 times the leverage,
5. Expert research reports and market advice

Cons to Angel Broking

1. No 3 in 1 account
2. Additional charges apply for calls and exchanges

Quick link to open an account with Angel Broking for FREE

3. 5Paisa

5Paisa is part of IIFL (India Infoline) and offers the most affordable equity brokerage in India. IIFL launched 5Paisa to offer its clients a lower cost brokerage platform and to compete with the growing discount brokerage sector.

Services provided: In addition to trading stocks, currencies and commodities, 5Paisa also offers mutual funds, insurance and personal loans.

5Paisa brokerage fees

5Paisa offers free stock trading and brokerage services in other segments. Here you will find the brokerage commissions offered by 5Paisa:

• Delivery trades: Rs 0/- per transaction
• Intraday trading: Rs 20 per transaction
• Equity futures: Rs 20 per transaction
• Stock options: Rs 20 per transaction
• Currency options: Rs 20 per transaction

5Paisa charges to open demat and trading accounts:

• Open an account: FREE (Worth ₹. 650 free)
• Annual Maintenance costs: Rs 45 per month (only during the months you are trading)

Trading Platform: Web platform for investors, terminal for traders, mobile application for stock market transactions 5Paisa

Pros of 5paisa

1. Trade with free delivery
2. Low margin – only Rs 10 per transaction
3. 100% paperless creation of accounts
4. Investments in shares, investment funds and insurance policies from the same account
5. Reduction of operating costs
6. Research reports and consultations (for senior plans)

Disadvantages of 5Paisa:

1. No 3 in 1 account
2. Increase in fees for stock exchange transactions
3. No trading platform for commodities

Quick link to open a 5Paisa account

4. Upstox

Upstox is a fast-growing discount brokerage backed by a group of leading investors including Kalaari Capital, Ratan Tata, GVK Davix and others. It is also known as RKSV. Upstox began as RKSV in 2012 and was renamed Upstox in 2015. As of January 2021, Upstox has the second largest number of active customers on the NSE after Zerodha.

Services offered: Upstox offers trading services in equities, currencies and commodities.

When you trade with Upstox, stock trades are free. For intra-day trading on BSE, NSE and MCX and for F&O, it is 0.05% or maximum Rs 20 per trading order. Irrespective of the size of the order, the brokerage fee is only Rs. 20 per traded order.

• Delivery trade : 0 rupees
• Intraday trading: Rs. 20 per transaction executed or 0.05%, whichever is lower.
• Fees for futures trading : Rs. 20 or 0.05% (whichever is less) per order.
• Fees for trading options : Rs. 20 per transaction

Opening fees for Demat account and Upstox trading account :

• Opening costs account: Rs. 300 (currently waived)
• Annual operating costs: Rs. 150

Trading Platform: Upstox Pro Web Trading Platform, Bridge to AmiBroker, Developers Console, Options Chain Tool, Upstox MF Platform

Benefits of Upstox:

• Exchange with free delivery,
• Quickly open a demat account and a paperless trading account,
• A margin under the stock is available,
• 3-in-1 account available (cooperation with IndusInd Bank)

Disadvantages of Upstox:

• The Good Till Cancelled (GTC) and Good Till Date/Time (GTD) commands are not available.
• Margin financing is not available for delivery transactions
• minor technical problems with the application reported by customers

Quick link to open a Upstox account

5. Paytm Money

Paytm has received clearance from the SEBI to enter the discount share brokerage segment in 2019. Paytm has recently tried to establish itself as a one-stop platform for all things money related. The online payment platform grew after demonetisation and offered banking products, mutual funds, SIPs and pensions.

Paytm’s proposed IPO may come at a very opportune time. NDSL and CDSL opened 2,000 and 12,000 new paperless accounts in April and May, respectively. The curtailment imposed by the COVID-19 pandemic forced the adoption of a home-based work model. As a result, more and more investors are entering the stock market with extra disposable income, as the pandemic has forced them to spend less on holidays.

Below are the rates for Paytm Money Demat and trading accounts:

Note: ₹1 per day as platform fee (charged annually for changeover days) (Source: Paytm Money).

Paytm Money Delivery costs

Paytm Money Intraday Charges

Benefits of Paytm Money

1. A great brand that offers multiple investment opportunities on one platform
2. Lower on intraday – ₹10 per trade
3. Open an account online in minutes

Paytm Money Cons

1. Zero AMC, but ₹1 per day as platform fee.
2. As a newcomer, the trading platform still needs to be tested to make sure it works properly on busy days.
3. The ability to trade currencies and commodities is not yet available.

Quick link to open a Paytm Money account

6. Groww

Groww is one of the fastest-growing investment platforms in India. Groww is a brand of Nextbillion Technology Private Limited, a SEBI-registered stockbroker and a member of the NSE and BSE. Groww, a Bangalore-based startup, was initially founded in 2016 as a direct investment mutual fund platform. In the midst of the pandemic, the company also proposed to trade shares due to the increased demand in this field.

The idea behind the Groww application was to create a powerful but easy to use the application to transact from anywhere. For this reason, the application has developed a philosophy: Investing should be as easy as shopping online. Today, the company offers mutual funds, dematerialized services, trading services, intraday services, IPO services and trading commitments.

The following table gives an overview of the applicable rates:

• Costs for opening an account : Rs 0
• Annual maintenance fee : 0 rupees
• Brokerage fees : Rs. 20 or 0.05% per executed transaction (whichever is lower)

Benefits of the Groww demo and trading account:

1. Simple and intuitive user interface
2. One platform for investing in stocks, mutual funds, gold and US equities.
3. Available for investment in US equities

Cons for Groww Account:

1. Trading in futures and options (derivatives), currencies and commodities is not yet available.
2. As a newcomer, the trading platform has not yet been tested for its proper operation on busy days.

Quick link to open an account with GROWW

7. Trade Smart

Trade smart is a discount broker based in Mumbai, India, catering to traders and investors looking for low brokerage fees, high margins and a fast trading platform. Unlike most discount brokers, Trade smart online is not a start-up company. It is part of VNS Finance & Capital Limited, which has been in existence for over 25 years and is a traditional broker in India. The company has over 50,000 satisfied customers with an average daily turnover of over 5,000 million rupees.

Services provided: Trade smart online offers brokerage services in the equities, futures and options, commodities and foreign exchange segments.

Trade Smart Online Brokerage Services Fee:

This discount broker offers a flat brokerage fee of Rs 15 per trade under its value trading plan, irrespective of the trading volume.

Moreover, a powerful trading plan is offered with a brokerage fee of 0.007% per trade, which is suitable for traders with low trading volumes. Here you will find the brokerage fees for delivery and intraday transactions:

– Delivery: Rs. 15 per transaction (Power plan) or 0.07% (Value plan)

– Intraday trading: Rs. 15 per transaction (Power plan) or 0.007% (Value plan).

Trade Smart online trading and trading account

– Account opening fee: 400 rupees

– Annual operating costs : Rs. 300 (from the second year onwards)

Currently, Trade Smart Online is offering a 100% discount on opening an account for ‘ readers. You can open your FREE account at Trade Smart Online by clicking here.

Trading platform: NEST Trader, SINE (mobile application), SineWeb

Benefits of Trade Smart Online:

1. Low and unique brokerage fee plans,
2. Higher margins on transactions,
3. No additional software costs,
4. No CMA fees under Demat for the first year.

Disadvantages of Trade Smart Online :

1. The 3 in 1 is not offered,
2. There is no direct investment in the IPO,
3. Call and trade at Rs. 20 per transaction (plus brokerage fee)

Quick link to open an account for FREE at Trade Smart Online

8. SAMCO

SAMCO, established in 2015, is another discount brokerage company that offers cheap brokerage services in India. However, SAMCO differs from other discount brokers in that it offers its customers more leverage for trading. Here, clients can get leverage of up to 4x on cash markets, up to 80x on Nifty, 33x on equities and 60x on commodities.

SAMCO Real Estate:

You will find here the brokerage commissions offered by SAMCO:

Trade with delivery: 0.20% or ₹20 per transaction, whichever is less.

Intraday trading: 0.02% or ₹20 per trade, whichever is lower.

SAMCO Opening costs for deposit and securities account:

• Costs for opening an account : Rs 0
• Annual operating costs : Rs 400 (Demat account)

Services provided: Samco offers trading options for stocks, F&O, commodities and currencies on its dashboard.

Trading platform: SAMCO Trader (Omnesys NEST Trader), StockNote (mobile trading application), SAMCO Web Xpress (website), SAMCO STAR

Pros Samco:

1. Free opening of a trading account and a trading account,
2. Excellent margin products are available for traders,
3. Brokerage plan with a fixed maximum rate of Rs. 20 per transaction.
4. Immediate and paperless opening of an AADHAAR-based account.

Disadvantages of Samco:

1. IPO online, FPO application not available
2. Investments in investment funds are not available
3. Does not have branches to support itself locally

Quick link to open an account with SAMCO

Bonus: Other popular discount brokers in India

9. FYERS Securities

Founded in Bangalore in 2015, Fyers is a fast-growing online discount stock broker founded by young entrepreneurs with extensive experience in the trading and stock market industry. Apparently, the word FYERS is an acronym for Focus Your Energy & Reform the Self, which is the company’s core philosophy.

Services provided: Fyers provides services in the cash equities, F&O and currency derivatives segments on the NSE.

Brokerage fees Fyers:

– Mail order: Rs 0

– Intraday trading:  Fixed brokerage commission of up to ₹20 for each executed order.

Fyers demat and trading account opening costs:

– Costs for opening an account : Rs 0

– Annual operating costs : Rs. 0 (AMK Demat is not calculated)

Commercial instruments Fyers One (trading terminal), Fyers Markets (mobile trading application), Fyers Web Trader, thematic investments

Proud Pros:

1. Free online account opening
2. Trade with free delivery and lower brokerage fees
3. Advanced charts, filters and real-time analysis
4. Thematic investment platforms to invest in the latest themes
5. Medium high risk – offers up to 16x intraday equity margin.

Disadvantages of Fiers:

1. Increase in maintenance costs for dematerialised accounts
2. Slightly higher trading volume compared to other discount brokers

Quick link to open an account with Fyers

10. Capital of Wisdom

Wisdom Capital, founded in 2013, is an online discount brokerage offering trading in stocks, futures and options on the NSE and BSE, as well as commodities on the MCX and NCDEX. It also offers a zero brokerage fee as part of the FREEDOM rate, which appeals to many customers.

Wisdom Capital investment fees

Wisdom Capital offers its clients three different brokerage plans: Freedom, Pro and Ultimate. Customers can choose what’s best for them. The brokerage fees for each plan are as follows:

Freedom plan:

1. The Freedom Plan offers no brokerage fees in all segments.
2. However, this plan offers very little margin/exposure and therefore may not be suitable for active traders.

Plan Pro:

1. The Wisdom Capital Pro Plan is designed for professional traders.
2. Suitable for traders who want a higher intraday exposure/margin.
3. Broker at delivery: 0.005% of the transaction amount.
4. Brokerage commission for intraday transactions: 0.005% of the transaction.
5. For others, the brokerage fee is Rs 9 per transaction (for NSE futures and options, MCX foreign exchange and commodity trading).
6. The Pro plan offers an intraday cash margin on NSE of up to 40x MIS.

Final plan:

1. The Limit Plan is designed for high-frequency traders.
2. Broker at delivery: 0.007% of the transaction
3. Brokerage commission for intraday transactions: 0.007% of the transaction.
4. For others, the margin is Rs 15 per lot in options, 0.005% for NSE futures, currencies and commodities on MCX.
5. Wisdom Capital’s Ultimate plan offers up to 60x MIS intraday cash margin on NFB.

Wisdom Capital dematerialized account and opening fee trading account:

– Costs for opening an account : FREE

– Annual operating costs : Lifetime 999+ Taxes

Services provided: Wisdom Capital offers trading services in stocks, futures and options, currencies and commodities on NSE, BSE, MCX and NCDEX.

Trading platform: NEST Trader(trading terminal), BSE Bolt – BSE trading platform for trading shares listed on the stock exchange.

Wisdom Pros Capital:

1. Zero mediation in the FREEDOM plan,
2. Flexible brokerage pay arrangements based on client needs,
3. High load/margin in the upper surfaces

Disadvantages of Wisdom Capital:

1. No ability to invest in IPOs, FPOs, mutual funds, FDs and NCDs.
2. Little attention is paid to the development of technology platforms.
3. Average customer service

Quick link to open an account with Wisdom Capital.

11. Tradejini

Tradejini, established in 2012, is a discount broker in Bangalore that offers brokerage services at 0.01% or ₹20 per executed order. It provides a single integrated platform for trading stocks, derivatives, commodities and currencies.

Tradejini brokerage fees:

– Trade with delivery: 0.10% or ₹20 per transaction, whichever is less.

– Intraday trading: 0.01% or ₹20 per trade, whichever is lower.

Tradejini dematerialised account and opening costs trade account:

– Costs for opening an account : Rs. 300 (exchange), Rs. 300 (goods)

– Annual operating costs: Rs. 300 (Demat AMC)

Services provided: Tradejini offers its services on stocks, currencies, commodities and mutual funds.

Trading platform: NEST trading terminal, web trader, now also mobile

Tradejini Pros:

1. Low brokerage fees
2. A single trading platform for all transactions and segments,
3. National CDSL participant

Disadvantages of Tradejini:

1. Does not offer a 3-in-1 account,
2. No possibility to invest in IPO, FPO, FD, NCD and Offer For Sale (OFS),
3. Only trade in non-agricultural goods is allowed.
4. Does not allow BMS commands

Quick link to open a Tradejini account

7 Best Online Stock Market Discussion Forums in India

Final thoughts: Discount broker in India

When choosing a stockbroker, look for one that offers reasonable brokerage fees, low annual service fees, quality trading instruments, proactive customer service and no hidden account fees. Before opening an account, you should also choose a brokerage firm that takes into account your priorities and personal trading style.

Nowadays discount brokers often launch a new campaign every month to attract new customers by offering no account opening fee, referral benefits or even broker cashback. Competition between brokers forces them to innovate faster and provide better customer support, which means traders/investors can benefit from better trading opportunities and services.

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