Stock trading has become a rage these days, thanks to competitive brokerage models that have changed the dynamics of stock investment in India. Players like Zerodha and Mirae Assets have been leading the race by offering unmatched brokerage plans to investors to help them make the most out of their investments. When it comes to choosing the most effective way of trading in stocks, the most preferred way is to look for the brokers with lowest brokerage charges in India. This eventually helps investors in saving money on stock trading. In this article, we cover the best stock broker and explore the options that offer the lowest brokerage charges. We will navigate through various brokerage models, fee structures, and additional costs to help you make an informed decision when choosing best stock broker in India that aligns with your investment goals.
For your reference, below are the top 5 stock brokers with the lowest brokerage charges in India.
| Top 5 Brokers with Lowest Brokerage Charges in India | |||
| S.No. | Broker Name | Brokerage Charges | Rating |
| 1 | m.Stock | 0 across all segments under 999 brokerage plan | 8.5 |
| 2 | Kotak Securities | Flat Rs. 20 per order for futures & options; zero for intraday | 8 |
| 3 | Zerodha | Rs. 20 per order (or 0.03%) for trading intraday stock, equity derivatives, commodities, and currencies | 8 |
| 4 | Nuvama | Flat Rs. 10 per executed order | 7.5 |
| 5 | Angel One | 0 for equit delivery and flat Rs. 20 per order across other segments | 8 |
What Are The Lowest Brokerage Charges In India?
Put simply, the lowest brokerage charges means the bottommost price levied by a stock broker against the offered services. Since each stock broker has a different minimum brokerage amount in place, the lowest brokerage costs normally apply when the computed brokerage amount is lower than the minimum brokerage amount.
In the further part of this post, you will also get to know the lowest brokerage charges demat account in India and lowest brokerage charges for options in India.
What Is The Maximum Brokerage A Stock Broker Can Charge?
As per the guidelines stated by the SEBI (Securities & Exchange Board of India), no stock broker is permitted to impose a brokerage fee that is greater than 2.5% of the total order value. It is important to note that the SEBI has not established any minimum brokerage rules and has instead allowed stockbrokers the discretion to select their own standards for determining the lowest brokerage charges. You will learn about the best stock brokers in India in this post along with lowest brokerage charges comparison.
Brokerage Charges For Different segment
1. Brokerage Charges For Futures
Depending on the cost structure and the broker, there may be differences in the intraday brokerage fees. Futures typically have brokerage fees that are either a fixed rate per trade or a percentage-based cost. In terms of percentage-based fees, the charge may range from 0.01% to 0.05% of the overall contract value. The least expensive brokerage fee is 0.01%. However, in the case of flat fee brokerage, the brokers impose a fixed cost on each deal that might range from Rs 10 to Rs 100.
Furthermore, it is important to be aware that brokerage costs may differ from broker to broker depending on the trader’s account type and trading activity. Investors must examine the fee structures provided by several brokers and select the one that best suits their trading needs and their budget.
2. Brokerage Charges For Options
Percentage-based brokerage fees for options trading can vary from 0.1% to 0.05% of the total contract value. For instance, if the contract that the investor acquired is worth Rs. 1,000,000 and the brokerage charge is Rs. 0.05%, the investor will need to pay the broker Rs. 50. If there is a set price for brokerage, each trade may cost anything from Rs. 10 to Rs. 100. The brokerage charge, however, the lowest brokerage charges for options in India may vary depending on the amount of trades and the sort of trading account an investor manages, just as with any other type of trading.
3. Brokerage Charges For Intraday
Similar to this, the brokerage charges for intraday trading will change based on the fee schedule provided by different brokers. It may be a flat price per trade or a percentage-based fee. The lowest brokerage costs are 0.01%, while percentage-based brokerage fees can vary from 0.01% to 0.05% of the entire transaction amount. On the other side, fixed costs for each trade range from Rs. 10 to Rs. 20. The following is how percentage-based fees are determined:
The investor must pay Rs. 250 as the brokerage cost if they sell or buy shares worth Rs. 5,00,000 in a single day at a 0.05% fee.
4. Brokerage Charges For Delivery
Brokerage costs for delivery include both flat fees per trade and percentage-based fees. The percentage charges may be between 0.10 and 0.50 percent of the total transaction amount. For delivery, the lowest brokerage fee is 0.10%. Therefore, if an investor buys shares for Rs. 1,000,000 with a 0.30% brokerage cost, the investor will be responsible for paying Rs. 300 in brokerage fees. Additionally, the flat cost for each trade ranges from Rs. 10 to Rs. 25. Before beginning to trade, one must take the broker fee structure into account.
How Brokerage Charges Are Calculated?
Understanding how brokerage charges work and calculated can help you make informed decisions about your assets. Three different brokerage charges are assessed by stockbrokers in the following ways:
Percentage-based fee
The percentage-based fee is based on a specified percentage of the transaction value. For instance, the investor must pay Rs. 20 in brokerage costs if the deal value is Rs. 10,000 and the brokerage cost is 0.2%.
Flat fee per trade
Regardless of how big or small each transaction is, if the broker asks for a set fee for each trade, such as Rs. 20, they will charge that amount.
Hybrid charges
In a mixed fee system, some use a set fee, while others use a percentage-based fee.
The Importance of Lowest Brokerage Charges in India
A trader’s primary objective is to make the most money possible, and in order to do that, they must minimise their outgoing costs, one of which is brokerage fees. Therefore, when trading, it is crucial to select the broker with the lowest brokerage charges in India.
Discount brokers provide lower brokerage fees than full-service or typical brokers, for this reason. For instance, you would be required to pay Rs 500 in brokerage fees if you invested Rs 1 lakh with a full-service broker at a 0.5% interest rate. This is why choosing a bargain broker with no or little brokerage fees is vital. If you pick that broker, you will get an additional Rs 500.
Top 5 Stock Brokers With Lowest Brokerage Charges In India
Here, in the next part, we’ve outlined the top 5 stock brokers that have the lowest fees for trading. You can compare their charges and choose the one that best fits your requirements.
1. M.Stock
Mirae Asset, a startup financial services company, offers an investment platform called m.Stock. Investors have access to a variety of trading and investing alternatives through the stock broker. The most notable feature of m.stock is that it has the lowest brokerage fees in India. A zero-brokerage and zero-commission pricing methodology is used by the stock broker.
On intraday, delivery, and F&O trades, m.Stock charges no brokerage charges.
| 999 Brokerage Plan | 149 Brokerage Plan | |
| Equity Delivery | Zero | Zero |
| Equity Intraday | Zero | ₹20 per trade |
| Equity Futures | Zero | ₹20 per trade |
| Equity Options | Zero | ₹20 per trade |
| Currency Futures | Zero | ₹20 per trade |
| Currency Options | Zero | ₹20 per trade |
| Commodity Futures | Zero | ₹20 per trade |
| Commodity Options | Zero | ₹20 per trade |
2. Kotak Securities
Being a member of Kotak Mahindra Bank, one of India’s most prominent banking conglomerates, Kotak Securities offers straightforward and quick investment options in mutual funds, commodities, and equities. In addition to insurance, market research, depository services, and portfolio management services (PMS), the full service stock broker offers a wide range of other services.
The lowest brokerage charges in India are offered by Kotak Securities, which costs just Rs. 20 per order for trading in futures and options and 0% commission for intraday trading.
The Trade Free Plan, Trade Free Max Plan, No Brokerage Plan, and Dealer Assisted Plan are all offered by Kotak Securities. The cost of intraday brokerage is zero for each of these four programmes. For equities delivery, the brokerage cost is 0.25 percent, or 20 rupees (whichever is higher).
| Category | Brokerage |
| Monthly Fee (Standard) | |
| Equity Delivery | 0.25% (Minimum Rs 20 per trade) |
| Equity Intraday | Free |
| Equity Futures | Delivery: Rs 20 per trade | Intraday: Free |
| Equity Options | Delivery: Rs 20 per trade | Intraday: Free |
| Currency Futures | Delivery: Rs 20 per trade | Intraday: Free |
| Currency Options | Delivery: Rs 20 per trade | Intraday: Free |
| Commodity Futures | Delivery: Rs 20 per trade | Intraday: Free |
| Commodity Options | Delivery: Rs 20 per trade | Intraday: Free |
3. Zerodha
Zerodha is pioneering name in the discount broking sector and offers the most competitive brokerage in the segment. In actuality, Zerodha is one of the brokers that popularized the concept of discount broking by introducing the flat-fee Rs. 20 brokerage model in India. In addition to having the lowest brokerage costs in India, the stock broker is recognised for its speedy and user-friendly Kite trading platform, which can be used from both web browsers and mobile phones.
Zerodha, which costs a brokerage fee of Rs. 20 per order (or 0.03%) for trading intraday stocks, equity derivatives, commodities, and currencies, is one of the top affordable brokers. There is no brokerage cost for the delivery of stocks.
| Trading Category | Brokerage |
| Equity Delivery | Rs 0 (Free) |
| Equity Intraday | Flat Rs 20 or 0.03% (whichever is lower) per traded order |
| Equity Future | Flat Rs 20 or 0.03% (whichever is lower) per traded order |
| Equity Options | Flat Rs 20 per executed order (on Turnover) |
| Currency Futures | Flat Rs 20 or 0.03% (whichever is lower) per traded order |
| Currency Options | Flat Rs 20 or 0.03% (whichever is lower) per trader order |
| Commodity | Flat Rs 20 or 0.03% (whichever is lower) per trader order |
| Mutual Fund | Rs 0 (No Limit on Direct MF) |
4. Nuvama (Edelweiss)
Nuvama Wealth & Investment Limited, previously known as Edelweiss Broking Limited, started in 2008 and operates as a full-service stockbroking business in Mumbai. This stockbroker allows individuals to buy and sell various types of investments, such as stocks, bonds, mutual funds, and IPOs. Additionally, it facilitates trading in currency derivatives, commodities, as well as futures and options.
The standard fee for any type of transaction in the Nuvama Lite Plan is Rs. 10 per completed trade. This plan is great for investors who want to trade on their own without relying on the broker for full assistance. Please note that this plan does not include the services of a relationship manager, and any additional services used will be charged separately based on usage.
| Category | Brokerage |
| Monthly Fee (Fixed) | NA |
| Equity Delivery | Rs 10 per executed order |
| Equity Intraday | Rs 10 per executed order |
| Equity Futures | Rs 10 per executed order |
| Equity Options | Rs 10 per executed order |
| Currency Futures | Rs 10 per executed order |
| Currency Options | Rs 10 per executed order |
| Commodity Futures | |
| Commodity Options |
5. Angel One
Angel One, which began operations in 1987, is one of India’s most reputable and reasonably priced stock brokers. The trading platform of the stock broker, which is incredibly high-tech and packed with features, is its finest feature.
In April 2019, Angel Broking changed how they charge fees. Before, traditional stock brokers used to take a percentage of all the money you traded. Angel Broking switched to a flat fee model because discount brokers were facing intense competition.
| Category | Brokerage Charges |
| Monthly Fee (Fixed) | |
| Equity Delivery | Rs 0 (Free) |
| Equity Intraday | Rs 20 per executed order |
| Equity Futures | Rs 20 per executed order |
| Equity Options | Rs 20 per executed order |
| Currency Futures | Rs 20 per executed order |
| Currency Options | Rs 20 per executed order |
| Commodity Futures | Rs 20 per executed order |
| Commodity Options | Rs 20 per executed order |
How To Choose The Best Brokers In Terms Of Brokerage Charges?
If you are looking to save on brokerage, it is necessary that you choose the best stockbroker with the lowest brokerage charges in India. For that, you need to aware of the following factors while choosing the right stockbroker.
1. Cost Structure:
Brokers have different ways of charging fees. So, investors need to compare the costs to decide which broker is the cheapest.
2. Minimum amount Requirement:
A few brokers may demand that the investor have a certain minimum amount in their trading account. Therefore, while selecting a broker, this must be taken into account.
3. Hidden costs:
A broker might add extra fees for opening an account, using their software, and other services, which can make trading more expensive. Investors should choose a broker that is clear about the costs they ask for.
4. Ongoing offers:
Investors can also look for any additional discounts and promotions that the broker may be offering. The investor’s wallet is therefore spared from some additional expenses.
5. Customer Support:
Finally, when selecting a broker, make sure to think about their customer service. Choose a company that offers excellent and useful assistance to its clients.
Lowest Brokerage Charges Demat Account in India
Now, have a look at the lowest brokerage charges Demat account in India. This would help you choose the right stockbroker that can help you save on brokerage.
| Type of Charges | M.Stock | Kotak Securities | Zerodha | Nuvama | Angel One |
| Demat Account Opening Charges | Rs. 999 | Zero | Zero | Zero | Zero |
| Demat Account Maintenance (Annual) | Zero | Rs. 600 | Rs. 300 | Rs. 500 (2nd year onwards) | Rs. 240 |
| DP Charges | ₹ 12+ GST | Rs 4.5 NSDL charges + 0.04% of the value of the transaction or Min. Rs. 27/-(per Instruction) | Rs 13.5 per debit transaction | Rs 0.02% of the transaction value or ₹20 per transaction, whichever is higher | ₹ 20 Per Debit Transaction ₹ 50 Per Debit Transaction For BSDA Clients |
| Trading Account Opening | Inlcudes in Rs. 999 | Zero | Rs. 200 | Zero | Zero |
| Trading Account Maintenace (Annual) | Free | Zero | Zero | Zero | Zero |
Lowest Brokerage Charges Comparison
Below is a table that highlights the lowest brokerage charges of the top 5 stock brokers. This would help you in doing the lowest brokerage comparison easily and quickly.
| Category | M.Stock | Kotak Securities | Zerodha | Nuvama | Angel One |
| Monthly Fee (Fixed) | Rs. 999 | ||||
| Equity Delivery | Rs 0 (Free) | 0.25% (Minimum Rs 20 per trade) | Rs 0 (Free) | Rs 10 per executed order | Rs. 10 per order |
| Equity Intraday | Rs 20 per executed order | Free | Flat Rs 20 or 0.03% (whichever is lower) per traded order | Rs 10 per executed order | Rs. 10 per order |
| Equity Futures | Rs 20 per executed order | Delivery: Rs 20 per trade | Intraday: Free | Flat Rs 20 or 0.03% (whichever is lower) per traded order | Rs 10 per executed order | Rs. 10 per order |
| Equity Options | Rs 20 per executed order | Delivery: Rs 20 per trade | Intraday: Free | Flat Rs 20 per executed order (on Turnover) | Rs 10 per executed order | Rs. 10 per order |
| Currency Options | Rs 20 per executed order | Delivery: Rs 20 per trade | Intraday: Free | Flat Rs 20 or 0.03% (whichever is lower) per traded order | Rs 10 per executed order | Rs. 10 per order |
| Currency Futures | Rs 20 per executed order | Delivery: Rs 20 per trade | Intraday: Free | Flat Rs 20 or 0.03% (whichever is lower) per trader order | Rs 10 per executed order | Rs. 10 per order |
| Commodity Futures | Rs 20 per executed order | Delivery: Rs 20 per trade | Intraday: Free | Rs. 10 per order | ||
| Commodity Options | Rs 20 per executed order | Delivery: Rs 20 per trade | Intraday: Free | Rs. 10 per order |
The Conclusion
A Demat account in India is compulsory for an investor before he or she invests the stock market through a stock broker with lowest brokerage charges. There are plenty of web-based resources that will advise you of all you need to know before beginning a career as an investor.
Depending on the cost structure and the broker, there may be differences in the intraday brokerage fees. Futures typically have brokerage fees that are either a fixed rate per trade or a percentage-based cost. In terms of percentage-based fees, the charge may range from 0.01% to 0.05% of the overall contract value. The least expensive brokerage fee is 0.01%. However, in the case of flat fee brokerage, the brokers impose a fixed cost on each deal that might range from Rs 10 to Rs 100.
FAQs
Qu1. Which broker is cheapest in India?
Ans. At present, m.Stock by Mirae assets is considered the cheapest stock broker in India as it levies zero brokerage across all segments under its Rs. 999 plan.
Qu2. How can I avoid brokerage fees in India?
Ans. If you don’t want to spend money on brokerage for stock trading, the simplest way is do the lowest brokerage charges comparison and go with the one that matches your stock trading needs the best.
Qu3. How to save money on brokerage?
Ans. The most preferred way to save money on brokerage is to choose a reliable stock broker with lowest brokerage charges in India.
Qu4. Which broker is brokerage free?
Ans. m.Stock by Mirae Assets charges zero brokerage across all trading segments under its Rs. 999 plan.