As a company starts its business, it needs capital to operate. As a result, they seek funding from angel investors or venture capitalists for their capital requirements. But when their business is in the growth stage, they invite normal investors like you and me to invest in their company through stock brokers to gain large capital. This is the stage where the best stock broker in India comes into play.
Among the plethora of options, the top 10 full-service brokers in India stand out as industry leaders. These stockbrokers provide comprehensive assistance to traders, including research, advisory services, and a wide range of investment products.
In this article, we will learn about the stockbroker’s basics and the top 10 stock brokers in India, how it works, and how to earn money from stock markets.
What is a Stock Broker?
A stockbroker can be an individual or a business that works as an intermediary between a stock exchange and a stock investor. The primary responsibility of a stockbroker is to enable seamless buying and selling of stocks in the stock market. In addition, a stockbroker uses its skills and expertise to help traders and investors make the right investment decisions.
A stockbroker is an intrinsic part of the stock markets as no buying and selling of trading are possible without the help of a stockbroker.
Types of Stock Brokers-
There are primarily two types of stock brokers in India- full-service stockbrokers and discount brokers.
- Full-service stockbrokers: Full-service stockbrokers are known to provide their clients with a wide range of services. They are conventional brokers who offer consulting services in addition to a trading platform. Because of this, full-service stockbrokers demand hefty fees, and the brokerage they charge is determined by how many transactions a customer executes overall. Full-service brokerages are well-known companies with offices around the nation. Customers can stop by these branches for assistance and guidance.
- Discount stockbrokers: Due to the growing popularity and accessibility of the Internet, discount stockbrokers have emerged. For their customers, these brokers offer an Internet trading platform. Discount brokers don’t, however, provide research facilities or consulting services. Because of this, cheap brokers also levy lower commissions, which are often a fixed rate. Here are the top discount brokers in India.
Major Responsibilities of The Best Stock Broker in India-
There could be several responsibilities of a broker in India they need to perform for their clients. Let’s get to know them below.
- The best stock broker in India is intended to provide accurate advice on buying and selling stocks and other assets. They may advise a customer on which stocks to purchase and sell as well as the best times to do so because they are knowledgeable about the markets. Prior to providing such suggestions, they do in-depth research on securities.
- On behalf of their clients, stockbrokers purchase and sell shares and take care of the necessary documentation. Stockbrokers maintain the client’s investment portfolio and regularly update their customers on the status of their portfolios.
- They also serve as a record keeper and retain records of all transactions, statements, and other information.
- They also respond to any queries a client may have regarding investments.
- Stockbrokers update their clients on any fresh stock market investing opportunities.
- A stockbroker is also skilled at suggesting an investor make sagacious stock investment decisions.
Why Choose the Best Stock Broker in India?
There are large numbers of top brokers in India, both full-service stockbrokers and discount stockbrokers. The actual selection of a stockbroker depends on a number of things like the investment objective, trading volume, available budget, and others. Conventional brokers impose a percentage-based fee that varies depending on the nature and scope of the transaction. Additionally, these brokers provide their clients with research tips and trading recommendations.
On the other side, discount brokers in India provide the same services for flat or discounted rates across different trade categories. However, they do not supply any trading knowledge, i.e., they do not offer stock or trading suggestions or offer any insights into a transaction. They are appropriate for people who like to educate themselves independently and make their own judgments.
Investors should ensure that the stockbroker and his team have a solid history and a love for trading when it comes to the competency of the brokers in order to have a hassle-free experience. When the team is able, it has a significant impact on corporate operations and gives investors a profit.
Since the investor is entrusting the stockbroker with their life money, selecting the best stockbroker in India is essential to seamless stock trading. Engaging with a stockbroker or his brokerage is a smart move if they offer real-time customer assistance, and other financial services, and, as an added bonus, are interested in improving the client’s market expertise.
Discover the best stock broker in India for unrivaled trading services, advanced platforms, and expert assistance. Make informed investment decisions with the top broker’s comprehensive tools and insights.
Certainly! Let’s discuss different types of share markets and how to make money in the stock market.
Types of Share Markets-
There are two types of share markets in India, i.e., Primary and Secondary markets.
1. Primary Share Market-
This is where a company gets registered for the first time to issue its shares and raise money from the market participants. The goal of entering the primary market is to raise funds, and if the company is selling its shares for the first time, it is known as an Initial Public Offering (IPO). Simply put, an IPO is a process by which a company goes public.
2. Secondary Market-
After the shares are sold in the primary market, they are traded in the secondary market. In this way, investors can exit by selling off their shares. Most of the trades occur in the secondary market. In this market, an investor can buy and sell shares from each other at an agreed-upon price. Investors do these transactions with the help of an intermediary known as a broker.
Types of Financial Instruments that Can be traded in the Stock Market
Shares/Stocks:
When you buy a share of the company, you are becoming a shareholder, owning a partial stake in that company. This is one of the most popular investments as it is highly liquid in nature, which means you can easily sell your shares in the market whenever you require any funds.
Derivatives:
It is an instrument that derives its value from an underlying asset like currencies, stocks, commodities, etc. It is a contract between two parties, in which they decide to buy or sell an asset on a specific date at a specific price. The two most popular derivatives contracts are Futures and Options.
Mutual funds:
It is a large fund where many investors, like you and me, put their money to invest in various securities. These securities can be stocks, bonds, money market instruments, etc. Now, this fund will be managed by an expert who is a highly qualified portfolio manager, known as a Fund manager. Each mutual fund scheme issues units which have some certain value. Whoever buys those units, becomes the unit-holder.
Bonds:
They are fixed-income debt instruments issued by private sector companies and the government to raise money. Buying a bond means you are lending to the issuer and, in return, getting the interest rate, also known as the coupon rate. It is one of the safest financial instruments because of its fixed interest rates.
How to Make Money in the Stock Market?
This is one of the most asked questions and there is no right answer to this. But you can become an expert with continuous learning and practice. In the beginning, you should get help from the best stock broker in India for investments. There are two ways to earn money in the stock market: Long-term investing and short-term trading.
Long-term investing:
In this strategy, investors hold their stocks for a long period of tenure such as 5-10 years. Long-term investing helps you to build wealth by using the technique of fundamental analysis. Investors find the fair value of a stock by using economic, quantitative, and qualitative factors. In the long run, returns are compounded year on year which means you can earn inflation-beating returns. In short, it is a buy-and-hold form of investing.
Short-term trading:
Traders mostly buy and sell stock within the same day or sometimes within a week. They look for quick gains from short-term trading. They use various technical indicators like charts, Bollinger bands, etc. to earn profits. Traders generally pick stocks based on volatility and do not look at any fundamentals of the company.
Top Full-Service Stock Broker in India-
To excel in the stock market, you need the guidance of the Best Stock Broker in India throughout your investment journey. Whenever you wish to invest in the stock market, you cannot directly buy a stock through the stock exchange. You require a middleman, known as a stockbroker, to assist you with the entire investing process. Count on the expertise of the best stock broker to navigate this journey successfully.
Who are Full-Service Brokers?
Full-service brokers also known as traditional brokers provide you with a wide variety of services such as advisory, trading platforms, research, taxation planning, and a lot more. In short, they are your investment advisors. Here is a list of the services provided by a full-service broker:
- Financial planning and portfolio management services
- Personal relationship manager
- 24*7 customer support
- Tax planning and retirement planning
- Interesting training sessions for the clients to keep them updated
- Options of investing in various financial instruments like mutual funds, commodities, insurance, IPOs, and bonds
They will charge you the brokerage for providing these services, which would be on the slightly higher side because of their high spending and great customer service.
Now to make it easy for you, we have made a list of the top 10 stock brokers with their services and the brokerage amount. Check it out:
List of Top 10 Stock Brokers in India:
Here is the list of best stock brokers in India –
- ICICI Direct
- IIFL Securities
- Sharekhan
- Kotak Securities
- HDFC Securities
- Angel One
- Motilal Oswal
- Axis Direct
- Edelweiss
- Zerodha
1. ICICI Direct
It is one of the leading full-service brokers operating since May 1995. ICICIdirect.com is a part of ICICI Securities that offers retail trading and investment services. They provide a large of stockbroking services along with banking products as well. ICICI Direct the best stock broker in India offers you a 3-in-1 account, which means a combination of a savings bank account, a stock trading account, and a Demat account.
ICICI Direct provides five different brokerage plans-
- ICICI Direct Prime
- ICICI Direct Neo
- Prepaid brokerage plan
- I-Secure
- NRI brokerage
If we talk about the default I-Secure plan, the brokerage structure is:
| Trading segment | Brokerage charges |
| Equity Delivery | 0.55% |
| Equity Intraday | 0.275% |
| Equity Futures | 0.050% |
| Currency/ Commodity Futures | ₹ 20 Per Order |
| Equity Options | ₹ 95 per lot |
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 700 (waived for the first year)
₹ 300 for ICICIdirect Neo customers |
Active Clients: 31,82,724
Trading Platforms: ICICI direct Mobile and Trade Racer Web-based Platform
2. IIFL Securities
IIFL Securities Limited (formerly known as India Infoline Limited) is a leading independent full-service retail and institutional brokerage firm in India established in the year 1995. They offer custom-made portfolios based on your risk profile and have more than 22+ lakh, satisfied customers.
IIFL offers three brokerage plans- Investor, Premium, and Super Trader.
They do not charge you anything for opening an account. Also, there will be no Demat AMC charges for the first year.
| Trading segment | Brokerage charges |
| Equity Delivery | ₹ 20 Per Order |
| Equity Intraday | ₹ 20 Per Order |
| Equity Futures | ₹ 20 Per Order |
| Currency/ Commodity Futures | ₹ 20 Per Order |
| Equity Options | ₹ 20 Per Order |
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 250 (Free for the 1st year) |
Active Clients: 11,41,787
Trading Platforms: IIFL Markets Mobile App, Trader Terminal and TT Iris.
3. Sharekhan
At Sharekhan, relationships with their customer matter the most. They don’t even call their account a Demat account; they refer to it as a Sharekhan investment account.
In addition to a variety of trading platforms and low brokerage fees, they provide quality research backed by experts.
It was founded in February 2000, and it is the best stock broker provider. They are also available in more than 600+ cities and have 3500+ outlets in India. The company provides a well-known trading terminal known as ‘Sharekhan TradeTiger.’ It is one of the most widely used trading platforms among retail investors.
Account opening charges are zero and also, they do not charge any Demat AMC for the first year.
Here’s the broking structure of Sharekhan:
| Trading segment | Brokerage charges |
| Equity Delivery | 0.30% on market rate or
minimum 10 paisa per share |
| Equity Intraday | 0.03% on market rate or
minimum 3 paisa per share |
| Equity options | ₹ 60 per lot |
| Commodity options | ₹ 60 per lot |
| Currency Options | ₹ 20 per lot |
| Futures (across Equity, Commodity & Currency) | 0.03% per transaction value |
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 400 (Free for the 1st year) |
Active Clients: 7,68,940
Trading Platforms: TradeTiger (Trading Terminal), Sharekhan App (Mobile Trading) Sharekhan Mini (Low bandwidth App)
4. Kotak Securities
Kotak Securities Limited is a subsidiary of Kotak Mahindra Bank founded in the year 1994. They have a well-entrenched presence in the international markets as well, i.e., Asia Pacific, European, Middle Eastern and American markets. As per the recent data, they have a presence in over 360+ cities and have more than 153 branches and 1332 franchisees across India.
They have different brokerage plans, named as Trade free youth, Trade free plan, Trade free max, and Dealer assisted plan.
Here are the brokerage details for their Trade free plan:
| Trading segment
|
Brokerage charges |
| Equity Delivery | 0.25% |
| Intraday Trades –
All Segments |
Free |
| Equity Futures | ₹ 20 Per Order |
| Currency/ Commodity Futures | ₹ 20 Per Order |
| Equity Options | ₹ 20 Per Order |
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 600 |
Active Clients: 12,23,441
Trading Platforms: KEAT Pro X, Kotak Securities website, Kotak stock trader.
5. HDFC Securities
HDFC Securities is one of the best stock broker in India since the year 2000. It is a subsidiary of HDFC Bank which provides you with a one-stop shop for all your financial requirements. It offers you more than 30+ financial products and has more than 250+ branches across India.
They charge you ₹999 for account opening. There are various brokerage plans with different amounts. Here are the details:
(Source: HDFC Securities)
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 750 (Free for the 1st year) |
Active Clients: 11,77,765
Trading Platforms: HDFC Securities Pro Terminal, HDFC Securities Voice-Enabled Investing and HDFC Securities Application.
6. Angel One
Founded in 1987, Angel One Limited (formerly known as Angel Broking Limited) offers full-service brokerage and seeks to develop a strong relationship with GenZ and Millennial investors in India. They have 7 Million+ Registered Clients, 16000+ Authorised Persons, 12 Million+ App downloads, and have a presence in over 1800+ cities in India. It is one of the top 10 stock brokers in India.
Angel Broking has been a traditional broker, but it shifted its focus too extensively using Artificial Intelligence and Machine Learning as part of its transition into a completely digital platform by 2019. As an additional benefit to traders, Angel Broking also offers loans against shares.
Here’s the broking structure of Angel One:
| Trading segment | Brokerage charges |
| Equity Delivery | ₹ 0 |
| Equity Intraday | ₹ 20 / executed order or 0.25% (whichever is lower) |
| Equity Futures & options | ₹ 20 / executed order or 0.25% (whichever is lower) |
| Currency Futures & options | ₹ 20 / executed order or 0.25% (whichever is lower) |
| Commodities Futures & options | ₹ 20 / executed order or 0.25% (whichever is lower) |
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 240 |
Active Clients: 40,63,669
Trading Platforms: Angel Broking Application, Angel Broking Trade-Website, Angel Bee.
7. Motilal Oswal
Motilal Oswal started in the year 1987 as a small sub-broking unit with two promoters and a peon, which now is a multi-faced financial services company. They have a presence in over 550 cities providing a large number of products & services across Retail and Institutional broking, Private wealth management, Home finance, Private Equity, Asset Management, and Investment banking.
They do not charge any fee for the account opening. AMC and Admin charges are also free for the first year. Moreover, they provide you with research and personal advice for free. Motilal Oswal is considered as best stock broker India.
| Trading segment | Brokerage charges |
| Equity Delivery | 0.40% |
| Intraday Trading | 0.04% |
| Futures & Options – Currency | ₹ 20 Per lot |
| Options (Commodity Trading) | ₹ 200 per lot |
| Equity Options | ₹ 50 per lot |
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 299 (Free for the 1st year) |
Active Clients: 9,15,409
Trading Platforms: MO Trader, MO Investor.
8. Axis Direct
Axis Direct is the online brand of Axis Securities that provides simplified investment solutions to over 3.6 million customers. It enjoys a high level of market trust due to its parent company, Axis Bank. They offer you various products & services to make your investment journey easy through powerful research and multiple trading platforms. Axis Direct is one of the finest top 10 stock brokers in India.
It offers you three brokerage plans- Standard, Now or Never, and Investment Plus.
Here are the further details for the standard plan:
| Trading segment | Brokerage charges |
| Equity Delivery | 0.50% |
| Equity intraday | 0.05% |
| Equity Futures | 0.05% |
| Equity Options | Intraday: Rs 0.01 per lot | Carry Forward: Rs 10 per lot |
| Currency Futures | 0.05% |
| Currency Options | Intraday: Rs 0.01 per lot | Carry Forward: Rs 10 per lot |
| Commodity futures | 0.03% |
| Commodity options | ₹50 per lot |
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 650 (Free for the 1st year) |
Active Clients: 4,04,569
Trading Platforms: Axis Direct Trade, Axis Direct Swift Trade, and Axis Direct Mobile Trading Application.
9. Edelweiss
Edelweiss Broking Limited was incorporated in the year 2008 and is a subsidiary of the Edelweiss Group, a leading diversified financial services conglomerate founded in 1995. They have a presence of more than 475 offices in 200 locations across India. They offer flat brokerage plans to their customers.
Edelweiss has two brokerage plan options, namely- Lite and Elite.
| Trading segment
|
Brokerage charges-
Lite Plan |
Brokerage charges-
Elite Plan |
| Equity Delivery | ₹10.00 / executed order | 0.30% |
| Equity intraday | ₹10.00 / executed order | 0.03% |
| Equity Futures | ₹10.00 / executed order | 0.03% |
| Equity Options | ₹10.00 / executed order | ₹75 per lot |
| Currency Futures | ₹10.00 / executed order | 0.02% |
| Currency Options | ₹10.00 / executed order | ₹20 per lot |
| Types of charges | Charges |
| Demat account opening charges | ₹ 0 |
| Demat account annual maintenance charges (AMC) | ₹ 500 (Free for the 1st year) |
Active Clients: 2,10,236
Trading Platforms: Website, Edelweiss Terminal X3, and Edelweiss Mobile Trader.
10. Zerodha
Zerodha is the first stockbroker in India which brought the concept of discount broking to investors in India. In terms of trading volume and active client base, Zerodha is the top stockbroker in India. It allows traders and investors to invest in a wide range of stock market instruments Equity, Currency, Commodity, IPO, Futures & Options, Bonds, Govt. Securities, and Direct Mutual Funds.
Zerodha levies 0 brokerages for trading in equity delivery and direct mutual funds. It has a brokerage of flat Rs. 20 or 0.03% for intraday and futures. In the case of options trading, the brokerage is fixed at flat Rs. 20 per executed order.
| Transaction | Applicable Charges |
| Demat and Trading Account Opening | Rs. 200 |
| Demat Account Maintenance Charges | Rs. 300 per year |
| Trading Account Maintenance Charges | Rs. 0 |
Brokerage
| Trading Category | Brokerage |
| Equity Delivery | Rs 0 (Free) |
| Equity Intraday | Flat Rs 20 or 0.03% (whichever is lower) per executed order |
| Equity Future | Flat Rs 20 or 0.03% (whichever is lower) per executed order |
| Equity Options | Flat Rs 20 per executed order (on Turnover) |
| Currency Futures | Flat Rs 20 or 0.03% (whichever is lower) per executed order |
| Currency Options | Flat Rs 20 or 0.03% (whichever is lower) per executed order |
| Commodity | Flat Rs 20 or 0.03% (whichever is lower) per executed order |
| Mutual Fund | Rs 0 (Free Unlimited Direct MF) |
Conclusion-
Full-service Stockbrokers can help you build wealth and make wise investment decisions. The selection of a stockbroker is not an easy task. So, it is of paramount need to carefully assess each one of them as per your needs and choices. Look for a quality trading platform, with low brokerage charges, good customer service and which facilitates better investing decisions.
The stock market helps you to build long-term wealth and it may look very fascinating to new investors. But one should always be aware of all the risks associated with it.
Here are some final important things to remember before investing in the stock markets:
- Always do your research before investing and never follow any stock tips blindly.
- Do not ever try to time the market.
- Control your emotions while investing in the markets.
- Allocate a budget that you need to invest in and try to diversify it.
- Lastly, stock market investing is all about discipline and patience. So, monitor your portfolio regularly and take informed decisions.
FAQ About The Top 10 Stock Brokers in India-
1. What is a Stock Broker?
Ans- For a fee or commission, stockbrokers purchase and sell stocks and other assets on behalf of ordinary and institutional clients over the counter or through a stock exchange.
2. Where to get the best Stock Advice?
Ans- To get the best advice, you can follow the below websites:
- Moneycontrol.
- Economic Times.
- NSE India.
- BSE India.
- Livemint.
- Investing.
- Screener.
3. What Stock will boom in 2023?
Ans- The top 5 stocks to invest in 2023 are below:-
- Reliance industries
- Tata Consultancy Services
- HDFC Bank
- Infosys
- Hindustan Unilever
4. Which is the best NSE Stock Broker?
Ans- Zerodha is the best NSE stock broker in India.
5. What is SEBI Insider Trading?
Ans- A person working in a company that is also trading in the share market. If he does trades on the basis of information that is not in the public domain for the same company to earn profits. It is considered insider trading. It is also considered illegal in India.
6. Who is the best Stock Guru?
Ans- Radhakrishnan Damani or RK Damani is also known as the best stock guru in India.
7. Do I Need a Demat Account to Trade Stocks in India?
Ans- Yes, to trade stocks in India, you need a Demat (Dematerialized) account. It holds your shares in electronic format, eliminating the need for physical share certificates. Best stock broker in India offer Demat accounts as part of their services, and you can link your trading and Demat accounts for seamless transactions.
8. Which Stock Broker Offers the Lowest Brokerage Charges in India?
Ans- Brokerage charges can vary widely among different brokers. Some discount brokers in India offer competitive rates, while full-service brokers may charge higher fees but provide additional services like research and advisory support. It’s essential to compare brokerage charges based on your trading style and requirements.