Finally full service broker have also started to provide unlimited trading plans to their customer. The first such plan is launched by Kotak in which after paying Rs 999 per year, you can trade unlimited in intraday for any equity segment including intra-day and F&O. That translate into Rs 4 per day of trading which is very low and can give even discount broker a run for their money. There would be Zero brokerage for any intraday trades you will do. This will bring their brokerage at par or even better than those provided by discount broker.
For delivery based trade, they will still charge a brokerage as per the plan you will take. This is a very competitive rate for intraday trading and customer who are getting little concerned with the reliability of discount broker, can start looking at this plan.
One thing to remember about this plan is that it will be applicable only on self generated order. So if you are someone who trade with the help of dealer or sub-broker, this plan would not be a good fit for you. But this don’t seems to be a major issue as with time, most of the customer have a smart phone and they should be able to trade using Kotak app very easily.
With this plan, Kotak Securities have shown that they are not ready to give discount broker a free hand to take their customer. For price sensitive traders, who were not comfortable to trade with discount broker, this will be a blessing and I think that we are going to hear about many such products from the full service broker in India.
How to open account for FIT
For using this service, you have to open a new account with Kotak securities. The account opening is still not available online, so you have to process it offline. Just provide your details by clicking the link below
Points to keep in mind
The unlimited brokerage plan is only available for equity intraday trades. Currency and commodities are not included in this
In case you roll over your position, the trade would be seen as delivery based trade and a brokerage will be charged on such trades.
There would be a nominal brokerage of Rs 0.01 per side of the trade. This is required because as a broker, we need to charge some brokerage.
All other charges like STT, SEBI charges and transaction charges are still applicable on trades.