Offers Provided by Most Stocks Brokers in IndiaLast Updated Date: Nov 17, 2022
No market can survive without investors/traders, and the statement fits well on stock brokers as well.
Apart from brand recognition, it is a solid user base providing a glimpse of the company’s growth profile ahead in the industry. But the problem is, with wider choices in the market, traders/investors often struggle to land on the best alternative.
Well, this is where most stock brokers in India try to lure customers with broad-ranging offers. Many stock brokers – be it new or well-known names – have long been taking the support of captivating offers to entice people into the stock market.
And it is worth figuring out what types of offers these are and what is covered to benefit a user. After all, as a stock market member, you can also benefit from them. So take a look.
List of Offers Provided By Stock Brokers In India – That Aren’t A Click Bait.
Below is a list of some common yet highly demanded offers provided by stock brokers in India.
Free Account Opening
If you have been a stock market investor for many years, you must have noticed that many brokers were used to charging a specific amount for account opening. Most notably, charges were levied separately for Demat accounts and trading accounts until new players entered the market.
These new brokers often named ‘discounted brokers’, brought up a culture of ‘free account opening.’ The most prominent names Groww and Angel One (Previously Angel Broker) are the best suiting example.
Both platforms allow traders and investors to start their journey in the stock market for absolutely free.
Watching this culture shift in the stock broking industry, other platforms as well brought up the rule of no charges on account opening.
Discounted trading is also in trend. However, the term is often used as a synonym for trading service provided by ‘discount brokers‘.
Simply put, unlike traditional ones, these discount brokerage firms charge reduced commissions on the transaction.
Casting light upon some real discount brokers, these are namely Zerodha, Upstox, Angel Broking and 5Paisa, which continue to give tough competition to some older broking firms with a well-established name in the industry.
For example – discount broker Zerodha charges Zero Brokerage, 0.03% or Rs. 20/executed order and not more than that. In India, most stock brokers charge around the standard brokerage limit of 2.5% set by BSE & NSE Bye-Laws.
Free Trading and Investment Tips
Another prominent benefit that broking platforms offer clients is free trading and investment tips. These educational menus are offered on almost every broking platform now.
Simply go to the ‘dashboard’ of the respective broker’s website and gain educational insight into diverse stock market niches.
The menu covers broad-ranging educational topics, e.g., stock market strategies, best indicators and tutorials, candlestick know-how and so on.
All these facilities are offered to the client for absolutely free. Such as the stock broking firm – Kotak Securities – in its menu, ‘Knowledge Bank’ provides a university-level stock market concept in detail from scratch.
On the other hand, Angelone also makes a “knowledge centre” available in its menu, where you can explore many great strategies to succeed in the stock market.
A trusted source of news or market updates could be a game changer when you are in the stock market.
However, people whose decision to invest is largely driven by the latest news announcement are also called “News Traders” who believe in making a profit from scheduled news announcements within a specific time.
These News Traders even purchase subscription plans of stock market news websites. It gives an idea of how important these news updates are sometimes. But surprisingly, most stock brokers in India offer this news for absolutely free.
Users are also updated about this news through bell notifications, emails and messaging. Such as the financial company and a broking platform, Edelweiss, shares live market updates for free.
Free + Paid Courses
Free + Paid Courses is another great offer available at most stock broking websites.
These courses aim at improving clients’ knowledge of the stock market and normally carry in-depth and great tutorials on multiple concepts surrounding investment and the market.
However, these courses are free but sometimes come with a paid membership with a stock broking firm. Such as, Smart money by Angel One is a certificate course offered for free to learners interested in the stock market.
On the other hand, Sharekhan by BNP Paribas offers ‘short courses’, ‘intermediate courses’, and ‘premium courses’, and access only to registered users.
Leverage means a lot to intraday traders in the stock market. The facility enables traders to purchase a stock on margin. Simultaneously that brings an opportunity to traders to gain more if it is a profit.
However, a huge loss can occur if the market is unfavourable or moves in the opposite direction. Hence, citing it as risky, most stock brokers believe in offering tight leverage to clients.
Still, leverage contributes a significant role in the trading mechanism of many investors. That’s why most stock brokers even have an additional-leverage facility in their offers.
Such as Wisdom Capital, SAS Online, Zerodha and Upstox (RKSV), the starting leverage value starts from 2.5x and can go up to 60x.
But it’s worth noting that multiple factors decide the exact leverage to be offered to a client. For example, Equity Delivery and Intraday Equity sometimes occupy the highest leverage limit.
Not all trading or investment firms offer this facility except child organizations backed by some big financial firms. Such as ICICI direct – the child firm of ICICI Bank – offers ‘Loan Against Shares.’
Clients can get a loan of up 50% of the share value at a flexible interest rate. The broking firm also specifies the conditions of the loan and minimum disbursement amount.
However, Angel One seems to be an individual player in the territory as the broking firm also offers ‘Loan Against Securities’ despite having no parent organization to back it up.
Similarly, lots of other broking organizations also offer loan facilities alongside their general trading and investment services. But the loan disbursal amount and the rate of interest charged can vary significantly.
Bonuses and Promotions
Bonuses and promotions are offered in addition to the basic broking plans. These smile-deriving activities can be inclusive of tons of great and unique items to impress a trader.
Most stock brokers in India provide bonuses and promotions to clients just to keep them engaged with their platform.
ICICI Direct 3-in-1 Account combined with integrated Demat and Trading Account is an example describing the types of bonus the broking firm provides. Kotak Securities and HDFC Securities also provide similar bonuses.
Limited Time Deals
Limited time offers can last for a few days, weeks or months, and clients can be alerted about them through diverse internet mediums.
Simply put, the broker firm can alert interested stock market traders/investors whenever an offer strikes through paid campaigns, mobile notification or email marketing.
To summarize them better, these offers could be target-based or sometimes launched at special festivals. Similarly, they can be inclusive of monetary benefits, or entirely unique gift items may be covered for existing clients.
Free account opening by Zerodha launched during special months or occasions is a perfect example to describe these limited-time deals.
So these are some of the most prominent offers by stock broking firms in India. However, not every broker is necessary to have all these popular offerings available.
You can find a few of them on a specific broking platform, but it is noted that all offers can’t be grabbed in one place. That’s why it is worthwhile to know your requirement first and jump straight to the broker offering relevant servings.