Compared to 1990’s, the stock market have changed drastically. In 1993, at the time of Harshad Mehta, most of the people were used to buy stock by talking to broker on telephone. Sometimes it took more than a week for you to know at what price you were able to buy the Share. Circa 2010, market have changed. Now a normal share trader can see live quotes from his/her PC. This has become possible to a large part because of online trading companies opening shops in India.
The first and one of the largest online stock broking company in India is ICICI direct. They are the first one which showed the potential for live trading to the masses in India. With the success seen by ICICI in this area, many other banks and stock broking companies started opening there offices in India. Most of them were full service brokers and they provided a whole range of financial products. The major Full Service Broker operating in India are
Most of these full service broker charge brokerage based on the volume of the trade. So id you trade for 10,000 or 100,000 you end up paying .5% of trading volume in brokerage which adds up pretty soon.
Since 2010, there are new type of brokers know as Discount broker which have started operating in India. They provide all all there service from account opening to trading online. They don’t maintain a brick and mortar office because of which they are able to provide very competitive brokerage rate in India. One factor which differs from fill service broker is that they just provide trading and no research and advice. Most of them also don’t provide a facility to trade in Mutual Fund. But these brokerage provide very competitive brokerage rate. Some of the major discount brokers in India are :-
Most of these discount brokers charge fixed brokerage rate for trading. So for example if you trade from 10,000 or 100,000 in case of RKSV you end up paying just Rs 25 as flat brokerage charge. This low brokerage helps a lot in the long run.
But before deciding on any these brokers, make sure to do your own diligence. You can read our review on these brokers on our website. You can find more information about them by calling them and asking all the relevant question to them. There is not one broker which can be called the best as different trader and investor have different needs.