Stock brokerage companies are simply referred to as the companies that have agents who in turn are skilled and trained and certified to trade and invest in the share market and securities market. They all act as typical agents for the buyers and the sellers that approach them for the trading of stocks and then these companies charge a small or certain fee for delivering their services to the traders. These stock brokerage firms do not own any of the trader’s shares, they just simply offer their services and ask for the lowest fee.
Now when we know what brokerage companies are let’s discuss the types of brokerage companies. There are two types of existing brokerage companies in India i.e. Discount Brokers and Full Service or Traditional Brokers. The list of each type is mentioned below.
List of Best Discount Brokers Companies
Discount brokers are the brokers who take very less fee or absolutely no fee for the services that are provided by them to the traders. Some of the best such companies are –
1. Zerodha Broking Ltd
Zerodha in itself is largely known and is most popular for bringing in the trend of discounted brokerage in India in 2010. It is considered the best brokerage company in the whole of India and is backed by several modern mechanizations, the latest technology, and brilliant trading tools, Zerodha is the best one you can go for if you are looking for a discount brokerage. Some certain features and benefits are given by this company and they are a low brokerage, 100% online and web processing, and also provide great exposure to the traders.
2. Upstox (RKSV)
Another one of the most popular ones on our list is Upstox. Upstox is widely chosen by the people for trading. It offers the traders cutting-edge tools and also with the free trade option comes the knowledge that’s value-centric and can anchor wisdom. There’s absolutely no cost for trading in equity, F&O, and as well during Intraday trading. However, for an investor to trade on commodities and other currency derivatives, they are needed to pay the fees of just Rs. 20 per order they place.
3. 5 Paisa
Next up on our list of best discount brokerage is 5 Paisa. This firm offers and allows the trading in equity, F&O, and also trading in currencies in NSE or BSE in a discount broker of Rs. 10 for every order placed by the trader. Since 2021, 5 Paisa also announced that there will be zero cost for the maintenance of their Demat account with their zero account maintenance charge policy.
Samco is another big and popular name that you might have heard a lot of times. Samco securities are not only impressive but they also offer perfect online discount brokerage services to the traders and the investors. The Brokerage charges of Samco are nothing but are simply 0.02% or Rs. 20 per every placed order.
List of Best Full Service Brokerage Companies
A full-service brokerage or as it is also called traditional brokerage has a higher fee for their services as they come with personalized recommendations and customized services. A full-service brokerage company charges an approx. of 1% – 2% of the assets of the traders that are managed by them. Some of the best companies are –
1. Angel Broking
If you are looking in the category Of full-service brokerage, then angel Broking is the top-rated and the most popular in India ever since it’s been operating since 1987. The Angel Broking Group is officially a member of the Bombay Stock Exchange and the National Stock Exchange and two other commodity exchanges are – NCDEX and MCX. Angel offers its experts advisory to the traders and uses modern and value-centric trading platforms for the easier trading procedure.
The second one on our list is another top-rated and biggest broking house called ShareKhan. It’s based out of Mumbai and carries with itself the client count of around 1.4 million making it widely regarded among the traders. Not only that, but this house has branched itself and has opened up franchises in over more than 550 cities in the whole of India. They have over 1800 offices and provide a quality class type of brokerage to the traders through their web-based procedure too.
3. Kotak Securities
Thirdly, we have Kotak Securities which came into existence in 1994 as a full-service brokerage house and has been working splendidly since then. Their customer base is strong and carries around 1 – 1.2 million clients which are amazingly impressive. It also has its connection in the BSE and NSE and as their well-reputed member, it manages around 5 lakhs trades on a very regular basis. This house is currently marked as one of the best brokerage houses in India.
4. Axis Direct
Last, but certainly not the least on our list is Axis Direct’s full-service brokerage house. It is among those very few full-service brokerage houses that have a 3-in-1 account system. It doesn’t just hold the trust of thousands of clients but also allows the traders to trade and make investments in equity, IPO, mutual funds, SIPs, bonds, derivatives, company fixed deposits, and many more. The 3-in-1 account features an axis bank savings account, a Demat account, and an axis securities trading account.
We have provided you with enough information on the whole concept and theory of brokerage, different types of brokerage houses, and a list of some top brokerage houses with mentioning their own featured and benefits that they provide to their fellow investors and traders. However, you have to be extremely careful when you are dealing with full-service brokerage houses and should learn to make a wise choice to not lose any unnecessary money. The discount brokerage firms aren’t charging much and hence can be called slightly safer than the full-service brokerage services. It’s entirely up to you to make a wise choice.