In its fourth update, released 28 October’s morning, the Multi Commodity Exchange (MCX) advised market players that a technical problem has delayed the start of trade. Although it did not provide a new start time, the exchange stated that trading would start from its Disaster Recovery (DR) site.
It further stated that participants would be informed in due time of the revised start time. Updated at 10:20 a.m. A technical problem has caused a delay in the start of trading. The DR site will be the starting point for trading. Market participants will be notified when trading will begin. “We apologise for any inconvenience,” MCX said on its official website.
Exchange Keep Changing the Timings
The exchange had previously told customers that trading would begin at 9:30 AM, but it then changed that to 10:00 AM and then to 10:30 AM. In an early post on social networking site X, low-broking stockbroking platform Zerodha said that the precise timing for MCX trading to resume has not yet been confirmed.
In their article, Zerodha stated that the MCX opening has been further delayed. The updated timing has not yet been verified. “As soon as an update is available, we’ll share it.” The conversation affirmed that operations would resume from its Disaster Recovery (DR) site, a backup infrastructure intended to guarantee business continuity in the case of outages at the primary site, even if it did not go into detail about the specifics of the malfunction.
This is not the first time that MCX has encountered this problem. A similar technical issue caused a delayed market opening earlier in July of this year, with trading starting over an hour past the 9:00 AM planned time. A phased resumption was indicated by the numerous notices that MCX had sent out during the morning at that point. The first stated that trading will return by 9:45 AM, then it was revised to 10:10 AM, and eventually it started operations at 10:17 AM.
This is not the First Time for MCX
MCX experienced a significant issue in February of last year that resulted in a four-hour operational halt. Its switch to a new trading platform was thought to be the cause of the problem. Both domestic and foreign markets saw a decline in the price of gold and silver on October 27.
The December silver futures contract dropped 2.78% to INR 1,43,367 a kilogramme, while the December gold futures contract closed at INR 1,20,957 per 10 grammes, down 2.02%. Precious metals’ decline came as U.S.-China trade tensions eased, which reduced demand for safe haven assets. Investor interest in gold and silver was further dampened by an impending meeting between the presidents of the United States and China, which is anticipated to conclude a trade agreement.
Quick Shots
•MCX suffered another technical glitch on October
28, delaying the start of gold and silver futures trading.
•Trading is set to resume from the Disaster Recovery
(DR) site, but no confirmed restart time was announced.
•MCX apologized for the inconvenience and assured
updates “in due time.”
•Zerodha confirmed on X that the exact resumption
time was unconfirmed as of morning updates
India is the largest importer of Gold in the world. Gold is not only a material of great value that is closely tied to Indian culture and tradition, but it has also been a time-tested investment option, which is very common among Indian households. With the emergence of the internet and the digitalization of the day, gold and the investment in gold in India also took the digital route.
Yes, it is digital gold now in place of the physical gold that is growing in popularity. Furthermore, numerous gold investment companies and online platforms for purchasing gold are fueling the growing demand for digital gold, or e-gold, enabling investors to buy gold quickly, securely, and easily.
The Digital Gold can be bought online and will be stored in safe vaults until sold. Currently, three entities in India provide Digital Gold. You can use certain platforms to make digital gold purchases online, but these three companies would have to be associated with those platforms.
India’s digital gold market is growing fast and could become a $100 billion opportunity by 2025. This growth is happening because more people are using fintech apps, and young investors are now more aware that gold is a smart way to invest.
The three companies in India are Augmont Goldtech Pvt. Ltd., MMTC-PAMP India Pvt. Ltd., and Digital Gold India Pvt. Ltd., which is sold under the brand Safe Gold. These companies purchase the gold and store it safely in vaults on behalf of the platforms.
Advantages of E-Gold
Gold rates on the NSEare based on Indian market rates.
Investors can buy and sell gold in small denominations. E.g., 1gm, 2gm of gold.
Transparency in pricing and seamless trading are one of the major advantages of this product.
This product is high in liquidity. One can sell it at any point in time. No impurity risks.
Here is the list of gold trading apps that bring in fantastic gold investment options, or buying digital gold, which one can opt to invest in E-gold in India.
List of Best Platforms to Buy Digital Gold in India in 2025
Offers full control, price alerts, and deep insights
How to Invest in E-Gold?
Open a Demat Account
To purchase commodities in NSE, you must have a Demat account. One can keep a separate Demat account for equities and commodities or keep the same one. To open an account, one can submit all the required documentation to NSE.
Trading
Once your account is opened, you can log in and buy e-gold. You can trade from 10 a.m. to 11:30 p.m. on weekdays. Your gold units will get credited to your Demat account in T+2 days (date plus one days).
Physical Delivery
If you want, you can physically deliver gold at any time by redeeming e-gold units in your Demat account.
Gold Price Movement in India
The graph shows the gold price movement in India per 10 grams from 2015 to 2025. The price of gold has been increasing over the past few years, and it is likely to continue to increase in the future.
The gold price started at around INR 26,345 per 10 grams in 2015 and reached INR 58,270 per 10 grams in 2023, an increase of over 100%, and INR 98,303 in July 2025. The main reasons for the increase in gold price are inflation, geopolitical uncertainty, and rising demand from India.
Paytm is an e-commerce payment system and a fintech company in India. It was founded in the year 2010 and has its headquarters located in Uttar Pradesh, India. Paytm provides an opportunity for Indians to invest or purchase 99.99% pure Gold for as low as INR 1.
The user can purchase gold through the Paytm app by choosing the stocks and wealth icon and then selecting the Paytm Gold icon, which lets you invest in Gold in terms of rupees or quantity. It is one of the most trustworthy and best gold investment app in India.
PhonePe
Name
PhonePe
Founded
2015
Minimum Investment
INR 1
Partnered with
MMTC-PAMP
PhonePe – Best Platform to Buy Digital Gold in India
PhonePe is an Indian financial service and a digital payment platform. It was founded in the year 2015 and has its headquarters in Bangalore, India. The company is a subsidiary of Flipkart. EvenPhonePe allows its users to invest or purchase 99.99% pure Gold for as low as INR 1. It is one of the best platform for the best digital gold investment in India.
PhonePe platform provides the promise of transparent pricing and assured quality, and is one of the best ways to buy gold online. In PhonePe, the users will have to log into their account and choose the Gold option available in the My Money section. With PhonePe, the users can invest in Gold in terms of rupees or quantity.
Google Pay
Name
Google Pay
Founded
2011
Minimum Investment
INR 1
Partnered with
MMTC-PAMP
Google Pay – Best Digital Gold Investment App
Google Pay is also a digital payment platform, which is powered by Google. It was launched in the year 2015. Google Pay also lets users invest or purchase 99.99% pure Gold for as low as INR 1.
The users can purchase the gold by using the Google Pay platform, which works similarly to the digital gold purchased throughPhonePe and Paytm.
Groww is an Indian-based online investment platform. It provides services to customers to invest in mutual funds and stocks. The company was founded in the year 2016, is headquartered in Bangalore, and is one of the best platforms to buy digital gold in India.
Through Groww, the users will be able to purchase Gold in terms of grams from a starting price of INR 10. The purchase cannot be made through the Groww funds, and the users will have to purchase them through UPI, NEFT, net banking, IMPS, or RTGS. If it is net banking, then they will have to purchase for more than INR 100.
Jar App – Best Platform to Buy Digital Gold in India
The Jar App is a daily savings platform that rounds off spare change from your digital transactions and invests it in digital Gold, all of this with zero manual involvement. For example, if a person spends Rs. 23, Jar smartly rounds it off to the nearest ten and automatically invests Rs. 7 in digital gold on their behalf. First of its kind, with Jar App, you can save while you spend. The entire process takes 45 seconds and can start right after. Jar App enables its customers to save consistently with minimum hassle so that they are all prepared for the future.
Airtel Payments Bank
Name
Airtel Payments Bank
Founded
2016
Minimum Investment
INR 1
Partnered with
SafeGold
Airtel Payments Bank – Best Digital Gold Platform in India for Investment
Airtel Payments Bank is a financial service company that is a subsidiary of Bharti Airtel. It is the first company to receive a payments bank license from the RBI. Headquartered in New Delhi, India, Airtel Payments Bank was founded in the year 2017.
Airtel has launched a new platform, DigiGold. It is one of the best platforms to buy digital gold from. This platform will allow users to invest in digital gold. This feature can be used only by the savings account customers of Airtel Payments Bank.
Amazon Pay
Name
Amazon Pay
Founded
2007
Minimum Investment
INR 5
Partnered with
SafeGold
Amazon Pay – Best Digital Gold Investment App
Amazon is one of the largest e-commerce platforms in India. It is a US-based company that was founded in the year 1994. Launched in 2007, Amazon Pay uses the consumer base of Amazon.com and focuses on giving users the option to pay with their Amazon accounts on external merchant websites. If you are looking for how to buy gold online with Amazon, then that is easy, too.
The users can buy Digital Gold through the Amazon App on the Amazon Pay page, or they can search for it directly in the search bar. Once the users can log in, they can click on the gold vault icon and see the buy price at that time. The digital gold can be bought from the starting price of INR 5. The users can buy up to 30g of Gold without KYC.
HDFC Securities
Name
HDFC Securities
Founded
2000
Minimum Investment
1 gram of Gold
Partnered with
Augmont Gold
HDFC Securities – Best Digital Gold Investment App
HDFC is a financial securities company that is a subsidiary of HDFC Bank. HDFC Securities was founded in the year 2000, and its headquarters are located in Mumbai, India. HDFC Securities also allows its users to invest in digital gold.
Using HDFC securities, users can buy 24K Gold in terms of rupees as well as quantity. It is one of the best gold trading apps. You will be able to buy the top-quality Gold and store it safely in the digital locker, which can be accessed anytime and anywhere.
Me-Gold – Motilal Oswal – Best Digital Gold Investment App
Motilal Oswal is an India-based diversified financial service company that also provides gold investment opportunities. The company was founded in the year 1987 and has its headquarters in Mumbai, India. Motilal Oswal allows users to purchase digital Gold at a starting price of INR 1,000. You can purchase 24k pure gold at the best price and keep it safe online.
FinPlay
Name
FinPlay
Founded
2021
Minimum Investment
INR 1
Partnered with
MMTC-PAMP
FinPlay – Best Platform to Buy Digital Gold in India
FinPlay is a game-based investment platform that is designed to bring two exciting themes of fintech and gaming together, making it one of the best gold investment apps in India. Founded by two IITians, FinPlay allows users to play games and earn FinCash awards, which they can redeem to get financial products at discounted rates on the platform, along with other rewards like Amazon coupons and more. Recognized as one of the best apps for gold investment, FinPlay offers a user-friendly approach to investing in digital gold, making it the best place to buy digital gold.
FinPlay currently helps users with the opportunity to buy digital gold. FinPlay extends easy ways to invest in 24K, 99.99% Pure Gold, which is 100% safe and secure, and promises transparent pricing. The company also enables its customers and other investors to buy and invest in digital gold starting from Re 1, and is gearing up to become a major company that would let users invest in gold.
Zerodha is India’s largest retail stockbroker by active client base and trading volume. It is a discount broker, meaning it charges lower commissions than traditional brokers. Zerodha is known for its innovative trading platforms and its focus on customer service.
By expanding its reach into the e-hold trading industry, Zerodha has added another layer of innovation to its portfolio. It is a ground-breaking bargain brokerage. With a track record of disrupting the financial sector, it now provides a stable investment environment for digital gold. The platform’s commitment to customer satisfaction is reflected by the multitude of cutting-edge tools it provides, which equip users with the knowledge they need to make sound decisions and pave the way for an interesting and profitable e-gold investment experience.
Tanishq – Best Digital Gold Platforms in India for Investment
Tanishq is a leading Indian jewelry brand in the Tata Group. It is known for its high-quality jewelry and its commitment to ethical sourcing. Tanishq has a wide range of jewelry products, including gold, diamond, and platinum, making it one of the best apps for gold investment.
Tanishq is also a pioneer in the digital gold space. It was the first jewelry brand in India to offer digital gold to its customers. Tanishq’s digital gold product, Tanishq e-gold, is powered by SafeGold, a digital gold provider regulated by the Securities and Exchange Board of India (SEBI).
You can sell or swap the gold at any of its 350+ outlets in India anytime. There are no additional fees for the app’s locker or transaction processing. It is one of the best platforms to invest in gold and one of the most reputable sites for purchasing gold in physical and digital forms because it is a Tata Group firm. Tanishq is a trusted brand with a long history of providing high-quality jewelry and ethical sourcing. Its digital gold product, Tanishq e-gold, is a convenient and affordable way for investors to invest in gold. Tanishq is considered as the safest and best app to buy digital gold.
Spare8 – Best Platform to Buy Digital Gold in India
Founded in September 2021, FinPlay is currently led by Ganesh Kumar Anegondi (Co-founder and CEO) and is built to simplify long-term investing and is, therefore, great for first-time investors. The platform currently lists digital gold as the only asset, but is planning to launch mutual funds and stock baskets in the upcoming months. “Democratise finance and wealth management for millennials in India” is currently the mission of FinPlay. The startup further aims to emerge as the go-to wealth platform for millennials who are just starting their wealth creation journey. It is considered one of the best app for gold investment, as it offers a user-friendly approach to investing in digital gold.
DigiGold
Name
DigiGold
Founded
2020
Minimum Investment
INR 1
Partnered with
–
DigiGold – Best Digital Gold Investment App
DigiGold is an investment platform by Amrapali Gujarat, founded in 2020, with 40+ years of legacy in Bulk Gold and Silver. Accredited by NABL and BIS, and supported by GGC and SEQUEL, DigiGold is one of the best apps to buy digital gold and is one of the best digital gold companies in India. Gold purchased by the users is stored in Government-trusted vaults of BRINKS. The minimum amount of purchase starts from just INR 1. They also offer a no-lock-in-period SIP in Gold with a minimum amount of INR 500 through periodic installments. With DigiGold, you can buy and possess a portion of massive gold, silver, and platinum bars that are safely stored in The Vault. DigiGold is considered as the best place to buy digital gold.
Jupiter Money
Name
Jupiter Money
Founded
2019
Minimum Investment
INR 10
Partnered with
MMTC-PAMP
Jupiter Money – Best App for Digital Gold Investment
Jupiter Money is a digital payment app powered by Federal Bank, founded by Jitendra Gupta and Vishnu Jerome in 2019, and headquartered in Mumbai. The Jupiter Money app allows investors to buy/sell digital gold or start a No-penalty SIP starting at INR 10. Jupiter Money and MMTC-PAMP have teamed up to provide digital gold on the platform. You can invest in 24K gold that is 99.99% pure through Jupiter Money. Gold can be purchased and sold at current market prices at any time of day. With the app, you may store gold in safe vaults.
MMTC-PAMP was founded in 2008 as a joint venture between MMTC Ltd. (a government of India undertaking and India’s largest public sector trading organization) and PAMP SA, a bullion brand based in Switzerland. Investors can redeem digital gold for 24K, 999.9 purest gold bars and coins from MMTC-PAMP. They can sell the digital gold back to MMTC-PAMP or gift/transfer the gold to a loved one using the platform.
Gullak
Name
Gullak
Founded
2022
Minimum Investment
0.5 gm of gold
Partnered with
Augmont
Gullak – Best Digital Gold Investment App
Gullak is a savings and investment app founded by Manthan Shah, Dilip Jain, and Naimisha Rao in 2022. Recognized as the best digital gold investment app in India, Augmont and Gullak collaborated to create the leasing scheme known as Gullak’s Gold+. With the Gullak app, customers may safely lease their gold thanks to Gold+. Reputable, reliable, and established jewelers lease gold metal. Jewelers offer investment protection in the form of bank or corporate guarantees. The interest that these jewelers pay is expressed in grams of gold, and the users also benefit from this. The minimum quantity required to participate in Gold+ is 0.5 grams, and the maximum quantity is 250 grams.
Pluto Money – Best Digital Gold Investment digital
Pluto Money, a goal-based saving platform that assists users in creating a secure financial future, was founded by Danish and Reev. It is known as one of the best apps to invest in gold. It assists users in establishing a savings habit, making low-risk investments, and reaching their financial objectives. With Pluto Money, investors can buy 24K, 99.9% pure gold and convert digital gold to physical gold, with delivery to your doorstep. To invest in digital gold, download the app, register, choose your investment amount, and complete your purchase.
Plus Gold
Name
Plus Gold
Founded
2022
Minimum Investment
INR 100
Partnered with
Augmont
Plus Gold – Best Digital Gold Investment App
Plus Gold is an Indian-based jewellery savings app that combines the simplicity of digital gold investment with the excitement of building a jewellery collection. Users can invest in gold through systematic investment plans (SIPs) or one-time purchases, with no lock-in period, allowing for easy redemption anytime. Purchases can be made using UPI, NEFT, net banking, IMPS, or RTGS, making it one of the best apps to buy digital gold.
With Plus Gold, users earn a 10% extra gold benefit, receiving 1 gram of additional gold on every 10 grams purchased. Trusted by over 300 verified jewellers and redeemable at 1,000+ stores in 520+ cities, Plus Gold offers a secure and flexible way to save in gold for the future.
Dvara SmartGold
Name
Dvara SmartGOld
Founded
2019
Minimum Investment
INR 100
Partnered with
Jana Small Finance Bank (SFB)
Dvara SmartGold – Best Digital Gold Investment App
Dvara SmartGold is a micro-savings platform that helps users build a financial safety net by investing in gold. Launched in 2019, it allows you to save in small, flexible installments through SIPs, and redeem your savings as cash, coins, or jewellery from trusted jewellers.
With no fees or commissions on SIPs and secure storage in BRINKS vaults, Dvara SmartGold offers a simple, safe, and affordable way to grow your gold savings for future needs.
Fiydaa
Name
Fiydaa
Founded
2023
Minimum Investment
INR 5
Partnered with
Not publicly disclosed
Fiydaa – Best Platform to Buy Digital Gold in India
Fiydaa is a digital gold investment platform designed for middle-class savers, letting you start with as little as INR 5. It offers flexible SIP options like DigiGold SIP (from ₹100), Lease SIP (earn extra 4% monthly in grams), and Gold Coin SIP (redeem coins later). With Fiydaa X, users can lease gold to earn up to 6% annually. All gold is securely stored and can be redeemed anytime for cash or physical delivery. Fiydaa also offers its jewelry line, Elegance.
eBullion
Name
eBullion
Founded
2020
Minimum Investment
Not disclosed
Partnered with
Not publicly disclosed
eBullion – Best Platform to Buy Digital Gold in India
eBullion is a complete digital gold investment platform that lets users buy, sell, and manage gold 24/7. It’s designed for both beginners and active investors who want full control and real-time insights. The platform offers live gold prices, smart price alerts, and detailed portfolio tracking. Users can set custom alerts to buy or sell at their preferred rates. All gold is 100% insured, stored in secure vaults, and can be redeemed anytime for cash or physical delivery. eBullion focuses on transparency, safety, and flexibility, making gold investing simple and convenient.
Yes, you can buy digital gold in India through various digital gold investment platforms.
Is digital gold better than physical gold?
Digital gold is a better option than physical gold as it ensures safety and has no additional storage costs.
What is E-gold in India?
E-gold is held electronically in the demat form and can be freely converted into physical gold.
Which is the best country to buy gold?
If you are wondering about the best country to buy gold, it is Dubai, UAE.
What is digital gold?
Digital gold or e-gold is a virtual form of gold investment that one can make. The users can easily buy e-gold via the best gold investment apps available online and have it stored in secured vaults.
What is the best way to buy digital gold?
The best way to buy digital gold is through trusted apps like eBullion, Jar, or MMTC-PAMP that offer real-time prices, secure vault storage, and easy redemption.
Which are the best Digital Gold Investment platforms in India?
Some of the best Digital Gold Investment platforms in India are:
In today’s time, almost every process or activity is going online. We can purchase or sell anything without going anywhere, right from the comfort of our homes.
In tune with this, even the stock market operates online now. It means one can have stocks and securities in a company and, thus, can trade online.
For this, a person needs to have a Demat account. With this account, one can have the possession of mutual funds, shares, and more digitally.
Many sites let you open this account online. For example- Upstox, Trading Bells, etc.
What is a Demat Account?
It is the short form for a Dematerialised account. In simple words, it is an account that maintains shares and securities in a digitalized form. It means an investor can hold them without any physical possession of the certificates.
This account is full of perks. The foremost perk is that it allows you to access your trading details online. This makes your online trading journey easy. Stocks, dividends, etc., get automatically credited. It offers low transaction costs and also allows you to transfer funds with ease. The best thing is that one does not have to be worried anymore about losing one’s physical bonds or dividend certificates.
Number of Demat Account Holders in India
How to Choose the Right Demat Account App
Choosing the best Demat app is simple if you look at these points:
How to Choose the Right Demat Account App
Easy to Use: The app should be simple, so you can trade and invest without confusion.
Safe and Secure: It must have strong security to protect your money and personal details.
Good Features: Pick an app that gives live market updates, charts, and helps you manage your portfolio.
Low Cost: Check the brokerage and other charges. Apps like Zerodha and Upstox have low fees.
Helpful Support: Choose an app with quick and friendly customer support, especially if you are new.
Trusted Brand: Go for apps from well-known brokers like HDFC, ICICI, or Kotak as they are more reliable.
List of Sites to Open a Demat Account Online
In modern times, people are getting keener to understand and invest in the stock market. Indeed, the most important thing here is to conduct research and understand where and when to invest. Along with this, people need a Demat account to get themselves into the area of trading.
Since everyone likes to get their work done online, here is a list of sites where you can open your Demat account from home:
Another name that will help you to open your Demat account online is Zerodha. The name seems to be the talk of the town these days. It not only allows you to open an account but also helps you with its research tools and educational trading tutorials.
First, you need to visit their site and sign up with a mobile number. Once you get the OTP, you will be asked to fill in other basic details and submit the Demat account opening fee (200 INR). The rest of the process will be pretty self-explanatory on the site. You can open an account with no minimum balance.
Another valuable name on the list to open your Demat account online is 5Paisa. It offers people share market services like the distribution of mutual funds, bonds, and IPOs. The site enables you to open your account for free with 0% brokerage and a fixed charge of 20 INR for every order.
To open your Demat account here, you need to fill in your bank and PAN details. Then, you will be asked to add your Aadhaar number and link it through DigiLocker. After this, you will be required to take a selfie and e-sign the form, and thus, your account is ready.
Upstox
Company Name
Upstox
Founded
2018
Account Opening Charges
Free
Maintenance Charges
INR 150 per year
Brokerage Charges
INR 20 per executed order
Exchange Membership
BSE, NSE, MCX
Upstox – Top Sites to Open Demat Account Online
It is a tried and trusted platform for many in terms of investing services for many years. Upstox, one of the greatest stock trading platforms allows you to open a free account and also gives you the choice to open it online anytime, anywhere.
It is better if you keep your scanned documents, like a bank statement, PAN, etc., ready in advance. Then, all you have to do is go to their account opening page, fill in the details asked, and upload your documents. After this, you will receive an OTP for the verification, and voila, it’s created.
How To Open An Account on Upstox
Groww
Company Name
Groww
Founded
2016
Account Opening Charges
Free
Maintenance Charges
INR 0
Brokerage Charges
INR 20 or 0.05% which is lower
Exchange Membership
BSE, NSE, MCX, and NCDEX
Groww – Top Sites to Open Demat Account Online
A name that has become quite popular for making investing simple is Groww. Its site will enable you to open your Demat account right from your home. Maintaining this account is super easy and will make your trading process even simpler. You can open your account for free on this site.
You will need to add your bank account and fill in some basic personal details. Then, you will be required to submit your KYC details online. After verification, you will be asked to check and sign your account opening form online. It offers IPOs, stocks, and ETFs.
Angel One – Top Sites to Open Demat Account Online
The platform formerly known as Angel Broking has been gaining the trust of its customers for a long time and has made itself a renowned name. Its website will help you to open your Demat account online with no charges. The platform is a full package for all your financial service needs.
All you have to do is fill out the lead form on its site, and you will receive an OTP on your phone. After submitting the OTP, you will be asked to fill in some basic information and your bank account details. You will then receive your Demat account details on your enrolled email ID.
Sharekhan
Company Name
Sharekhan
Founded
2000
Account Opening Charges
Free
Maintenance Charges
INR 400 per year
Brokerage Charges
INR 25 per executed order
Exchange Membership
BSE, NSE, MCX-SX, NCDEX, MCX
Sharekhan – Top Sites to Open Demat Account Online
This is probably one of the most popular names on this list. It has developed trust among people with its services for a long time. You can open your Demat account online for free from the Sharekhan website. You can also rely on its guidance along your trading journey.
To open your account on its site, you will need to fill in some personal details. Then, you have to upload the required documents online. Lastly, there will be a verification process through a video session. That’s it; you got your account activated.
Motilal Oswal
Company Name
Motilal Oswal
Founded
1987
Account Opening Charges
Free
Maintenance Charges
INR 199 per year
Brokerage Charges
INR 30 per executed order
Exchange Membership
BSE, NSE, MCX, NCDEX, CDSL, NSDL
Motilal Oswal – Top Sites to Open Demat Account Online
Motilal Oswal is one of the most important names on the list. It is a tried and trusted name that allows you to open your Demat account online with great convenience. You can open it without any fee. However, there will be a maintenance charge from the second year.
You will need to fill out a form on their site, and then their executive will give you a call and share the EKYC link. You can upload the scanned copy of your documents there. Then, you will get a call for verification again. After this, you will receive an email with your login details.
India Infoline – Top Sites to Open Demat Account Online
A name that has been a provider of brokerage services for more than 26 years is here to help you with the opening of your Demat account online in a few minutes. It enables you to open your account free of cost and also allows you to turn to its experts for all your investing queries.
Its opening process is super simple. You will need to fill up the lead form and submit your bank and PAN details. Then, digitally verify the KYC details. After this, you can download its application and start your way toward investing.
Trade Smart Online
Company Name
Trade Smart Online
Founded
2013
Account Opening Charges
Free
Maintenance Charges
INR 300 per year
Brokerage Charges
INR 15 per executed order
Exchange Membership
BSE, NSE, MCX, CDSL
Trade Smart – Top Sites to Open Demat Account Online
Another tried and trusted name on the list of sites is Trade Smart. If you want to open your free Demat account online then, this is for you. It provides services in stock, commodity, and currency trading sectors.
To open your account on this site, you need to verify your phone number and fill in the basic details asked for. Then, submit your documents online and be done. You are ready to trade online with your new account.
Trading Bells – Top Sites to Open Demat Account Online
When it comes to opening a Demat account online, Trading Bells is also a popular name to be considered. It allows you to open your account instantly with an opening fee of 750 INR. This charge might seem quite higher than others, but they do not charge any maintenance charges afterwards.
You will need to fill out the online application by submitting your UID number and the mobile number linked to it. You will also be required to upload the basic documents you asked for. Then, you have to pay the opening fee. Finally, to make the process more secure, you will receive a video call, where you have to showcase your documents for in-person verification. That’s it; you got your Demat account.
Aditya Birla Capital
Company Name
Aditya Birla Capital
Founded
2007
Account Opening Charges
INR 750
Maintenance Charges
INR 300 per year
Brokerage Charges
0.50% of the transaction value
Exchange Membership
BSE, NSE, MCX
Aditya Birla Capital – Top Sites to Open Demat Account Online
If you’re someone who is interested in investing in financial products like low-risk mutual funds, ETFs, equity delivery, intraday trading, and derivatives, then the Aditya Birla Capital Demat account might be the perfect fit for you. This account offers a wide range of investment options, all in one place, making it easier for you to manage your finances and invest your money with confidence. With the Aditya Birla Capital Demat account, you can take advantage of various financial products and services that can help you achieve your investment goals.
Expert investors have access to investment opportunities that are more complex but offer higher returns. They can also benefit from competitive brokerage rates. Demat accounts make the investment process in Indian stocks and mutual funds simpler while also providing tax benefits for Non-Resident Indians (NRIs).
Axis Direct
Company Name
Axis Direct
Founded
2011
Account Opening Charges
Free
Maintenance Charges
INR 650 per year, free for the first year
Brokerage Charges
INR 20 per executed order
Exchange Membership
BSE, NSE, MCX, and NCDEX
Axis Direct – Top Sites to Open Demat Account Online
If you’re searching for the best app to open Demat account, look no further than Axis Direct! With over 2 million satisfied customers, Axis Direct is a trusted provider of a 3-in-1 account that seamlessly integrates banking, trading, and Demat services. By choosing Axis Direct, you will benefit from a wide range of investment options, including equities, mutual funds, bonds, derivatives, ETFs, and more.
Additionally, Axis Direct offers free market analytics reports to help you make informed investment decisions. But that’s not all! You will also receive personalized trading guidance from expert researchers. This means that you will have access to expert advice to help you make the most of your investments. So, whether you’re a seasoned investor or just starting out, Axis Direct has something for everyone.
Kotak Securities – Top Sites to Open Demat Account Online
Kotak Securities is an esteemed name in India’s stock market industry, serving almost 20 million users. It offers a comprehensive 3-in-1 account that includes a savings account, a Demat account, and an online trading account. The platform enables users to access market analysis tools, trading recommendations, and expert advice to make informed investment decisions. As a SEBI registered broker and a member of major stock exchanges such as NSE, BSE, MCX, and NCDEX, Kotak Securities offers a wide range of investment options in Equity, F&O, Currency, Commodities, IPO, Mutual Funds, Tax-free Bonds, and Stock Lending. With robust technology and a user-friendly interface, Kotak Securities is a one-stop solution for all your investment needs.
SBICAP Securities
Company Name
SBICAP Securities
Founded
2005
Account Opening Charges
INR 850
Maintenance Charges
INR 0
Brokerage Charges
INR 20 per executed order
Exchange Membership
BSE, NSE, MCX, and NCDEX
SBICAP Securities – Top Sites to Open Demat Account Online
SBICAP Securities offers a Demat Account that can be accessed through both web and mobile platforms. This account provides investors with valuable educational resources, market analytics, and trading tips that can help them make informed decisions. Due to its excellent services, it is considered one of the best Demat accounts in India. Some of its pros include having a dedicated relationship manager and market analytics. However, it has a downside of having an account opening charge of ₹850.
HDFC Securities
Company Name
HDFC Securities
Founded
2000
Account Opening Charges
Free
Maintenance Charges
INR 750 per year
Brokerage Charges
INR 25 per executed order
Exchange Membership
BSE, NSE, MCX-SX, NCDEX, MCX
HDFC Securities – Top Sites to Open Demat Account Online
HDFC Securities Limited is a leading subsidiary of HDFC Bank that offers a comprehensive 3-in-1 account solution. This account integrates savings, trading, and Demat accounts, making it a one-stop shop for all your investment requirements. One of the standout features of HDFC Securities Limited is its Demat account, which simplifies the trading process by eliminating the hassle of paperwork. With this account, you can trade in Indian and global stocks with ease, thanks to the 24/7 customer support that HDFC Securities provides.
Some of the significant advantages of using HDFC Securities Limited for your investments include portfolio tracking features, margin trading, and global investment options. With these features, you can keep track of your investments, leverage your portfolio, and explore global investment opportunities without any hassle.
ICICI Direct
Company Name
ICICI Direct
Founded
1995
Account Opening Charges
Free
Maintenance Charges
INR 300 per year
Brokerage Charges
INR 25 per executed order
Exchange Membership
BSE, NSE, MCX-SX, NCDEX, MCX
ICICI Direct – Top Sites to Open Demat Account Online
The ICICI Direct Demat Account is a versatile investment platform that provides access to both domestic and international markets. Whether you want to trade in stocks, mutual funds, fractional shares, or other assets, this account has got you covered. What’s more, for in-house customers, it offers the added convenience of a three-in-one account that seamlessly integrates your bank, trading, and demat accounts.
One of the standout features of this account is that it allows investors to buy a fraction of a share, which can be particularly helpful for those who want to invest in high-priced stocks but don’t have a large amount of capital to spare. Additionally, the platform is designed to be user-friendly and easily accessible, even with slow or unreliable internet connections.
IIFL Demat Account is a trusted name in the financial industry, with a remarkable 25 years of experience in providing comprehensive trading and investing services. This platform offers an array of financial instruments, including derivatives, stocks, equities, loans, Bonds, IPOs, FDs, and commodities, making it an all-in-one solution for investors. With the added advantage of free account opening and market analysis tools, IIFL Demat Account is an ideal choice for novice investors who wish to invest their money with confidence.
Choice Equity Broking
Company Name
Choice Equity Broking
Founded
2010
Account Opening Charges
Free
Maintenance Charges
INR 300 per year
Brokerage Charges
INR 20 per executed order
Exchange Membership
BSE, NSE, MCX, NCDEX, CDSL, NSDL
Choice Equity Broking – Top Sites to Open Demat Account Online
Choice, a reputable company with over 25 years of experience, provides a top-notch service that allows you to open a Demat account for free, with only a minimal annual charge. Their cross-platform app ensures a fast account opening process that takes less than 5 minutes, thanks to its user-friendly interface and quick 4-step process that anyone can easily follow. Choice offers free research and advisory services to help with informed investment decisions. They also have low brokerage and DP charges to save money.
However, it should be noted that some users have found the app’s UI to be less smooth than other applications. Despite this, Choice remains a trustworthy and reliable choice for anyone looking to open a Demat account quickly and efficiently.
Paytm Money
Company Name
Paytm Money
Founded
2017
Account Opening Charges
INR 100
Maintenance Charges
INR 0
Brokerage Charges
INR 0 (free) per trade
Exchange Membership
BSE, NSE, MCX
Paytm Money – Top Sites to Open Demat Account Online
Paytm Money is a highly desirable investment platform that stands out from the competition by offering one of the best Demat accounts in India. With a minimal investment starting from just Rs. 100, Paytm Money makes it easy for users to create a Demat Account that supports a wide variety of investment options, including the Stock Market, Mutual Funds, ETF, IPO, F&O, and NPS retirement funds. This makes it an ideal choice for anyone looking to invest in the Indian financial market, whether they are seasoned investors or just starting out. The platform is designed to be user-friendly and cost-effective, ensuring that investors get the most out of their investments with minimal hassle.
Fyers
Company Name
Fyers
Founded
2015
Account Opening Charges
Free
Maintenance Charges
INR 300 per year
Brokerage Charges
INR 20 per executed order
Exchange Membership
BSE, NSE, MCX, NCDEX, CDSL, NSDL
Fyers – Top Sites to Open Demat Account Online
The FYERS Demat account provides convenient trading access across different market segments, such as Equity, Currency, Mutual Funds, and IPOs, along with a range of analytical tools, user insights, and educational resources. Emphasizing financial literacy, FYERS offers features like heatmaps, stock screeners, market meters, and trend scanners to enhance understanding of market dynamics.
The account opening process is lightning-fast and hassle-free, taking less than 5 minutes to complete. Competitive pricing is available for all trades, giving you the edge you need to succeed. However, be aware that server problems may occur during peak trading hours, so it’s best to plan accordingly.
₹500/year for Demat (1st year free); ₹0 for Trading AMC
Brokerage Charges
Lite Plan: ₹10 per executed order (or 0.01%, lower) Elite Plan: Equity Delivery 0.30%, Intraday/Futures 0.03%, Options ₹75 per lot, Currency Futures 0.02%, Currency Options ₹20 per lot
Exchange Membership
BSE, NSE, MCX, NCDEX, CDSL, NSDL
Edelweiss – Top Sites to Open Demat Account Online
Edelweiss Broking offers an easy-to-use app where you can invest in stocks, derivatives, and mutual funds. It provides strong research and advice to help you make smart decisions. The app is simple for beginners, gives real-time market updates, and lets you track investments anytime. It also has quick customer support, making it a good choice for all investors.
Conclusion
The world of trading online is expanding at a very rapid rate, contributing to demat account growth in India. Every other person wants to take a dive into it and try to be successful with their investing decisions. To begin with the process, one must have a Demat account, without which one cannot be a part of the many stock investment platforms. So, the above-mentioned is the list of sites that will allow you to create your account online anytime and anywhere.
Yes, many sites enable you to open your Demat account online.
Can I open a Demat account on Zerodha for free?
No, it charges an opening fee of 200 INR.
How to make a Demat account?
To make a Demat account, choose a Depository Participant (DP) such as a bank or brokerage firm, fill out the account opening form, and provide necessary documents like identity proof and address proof. Complete the KYC process and sign the agreement to activate your Demat account.
It has recently been discovered that individuals are pumping millions into the Indian equity market. While there is a prevalent belief that equity market investing is riskier than other asset classes, the recent surge of the Indian equity market has enticed many to make share price investments. The stockholders’ eagerness to put their funds in various equities has been increasing at all of India’s main stock traders.
Now, if you want to buy stocks, the notable point is that you’ll need a broker to function as a liaison between you and the equity markets. The stockbroker’s function is crucial since he serves as your single interface for all stock-related issues. That’s why all traders use the assistance of the best brokers in India. Full-Service Stockbrokers and Discount Brokers are the two kinds of brokers in India.
Difference Between Full-Service Stockbrokers vs Discount Brokers
Full-service Brokers
Let’s start with full-service brokers, also known as conventional brokers. The majority of these brokers have been in business for years. Angel Broking, HDFC Securities, Motilal Oswal, and others are examples. These intermediaries are unique in that they are licensed to offer both offline and internet services.
That is, you visit their workplace and have your problem resolved. They provide excellent service. You’ll also get a trusted and experienced manager who is always available.
They also offer research reports, stock advice, fund management, and investment management services, among other things. They employ a large number of employees, including consultants and market analysts, to ensure that you have an enjoyable outlook and receive accurate research reports.
All of these services, however, are not free. Their brokerage is sure to be higher because their spending is more. In contrast to discount brokers, they cost a larger brokerage fee. However, they are attempting to vie with discount brokers. They cover a plethora of low-cost brokerage solutions for high-volume investors.
Discount Brokers
Discount brokers like Zerodha, Upstox, and others are popular among individual investors and traders. They are becoming incredibly common among today’s youngsters as smartphone usage rises and data rates fall.
As the title suggests, these brokers provide discounted or very minimal brokerages. They have set brokerage plans in place. How much more valuable will your deal be if you must pay a set brokerage fee? Their users are largely virtual and have little substantial form.
They don’t offer a whole variety of services, so they don’t have to pay for a license, infrastructure, or staff. These advantages are delivered to clients in the mode of reduced brokerage fees. The majority of these dealers don’t offer investment managerial services or research reports.
How Do You Benefit From These Brokers?
Let’s say you bought 100 shares of Asian paints, each valued at Rs.2000.
Total value = Rs.200000 (100*2000).
Full service brokerage = 0.4% * 200000 = Rs.800
Discount Brokerage = Flat RS.9 to Rs.20
Savings = Rs. (800-20) = Rs.780
Full-Service Broker Vs Discount Broker
Top 11 Best Discount Brokers in India
Zerodha
Name
Zerodha
Founded
2010
Founders
Nithin Kamath and Nikhil Kamath
Active Clients
65,98,363
Zerodha – Top Discount Brokers in India
With the most active clientele and a customer base of 18.85 per cent, Zerodha is at the pinnacle of success. It was the first Indian company to explore the idea of stock brokerage. It is a firm with offices in several Indian cities that was established in 2010.
Its trading platform is known as Kite. It has a web-based and smartphone-based UI. For stock delivery trading, it does not impose a brokerage fee. However, it costs 0.03 per cent or Rs.20 per placed order for stock intraday and stock futures, whichever is lesser. It charges a fixed fee of Rs.20 per placed order for stock options. It charges fees for creating an account, which most brokers do not.
Dealing in equity, futures options, and currencies costs Rs.200 account opening fee. If you want to add a commodities account to it, you’ll have to pay an additional Rs.100, and the starting fee would be Rs.300. Aside from that, there is an annual account upkeep fee of Rs.300 + GST. The Coin by Zerodha portal also offers services for investing in mutual funds and is best discount broker in India.
Like Zerodha, it was formerly named Angel Broking, and it is India’s largest brokerage firm in several ways. It is a classic stockbroker that has maintained its commissions low, similar to a discount broker. For its one-of-a-kind nature, it stands out.
Dinesh Thakkar launched the company in 1987. Its offices are based in Mumbai. It’s also a publicly traded firm, which implies its equity is traded on a stock market. It offers full-service brokerage solutions at a fraction of the cost of a discount broker. It costs only Rs.20 for each order and allows you to deal with any amount. It provides a multitude of services, including research and advising services.
It is one of the few discount brokers that offer study and advising services and is one of the top 10 discount brokers in India. It provides a variety of programs, including sub-brokerage, franchise, alliance, and others.
Angel One, as a full-service stockbroker at a discount brokerage firm, provides a ton of products that you won’t find with other discount firms. It provides clients with ARQ Robo advice, which is among the most unique services available today. It is known as the best stock broker in India.
Shrini Viswanath, Ravi Kumar, Kavitha Subramanian, and Raghu Kumar
Active Clients
22,37,974
Upstox – Top Stock Brokers in India
With a customer base of 10.9 per cent, the Mumbai-based discount brokers rank second among active clients. Ratan Tata and Tiger Global, a US venture capital, fund this brokerage ID, which was established in 2011.
Pro by Upstox is the trade system’s title, and it has both web-based and smartphone-based UI. Like Zerodha, it provides free stock delivery trade brokerage. However, it charges a fee of 0.05 per cent or Rs.20 per placed order for stock intraday and stock futures, whichever is lesser. It charges a fixed fee of Rs.20 per placed order for stock options and Upstox is considered as the top 3 discount brokers in India.
Account setup costs are not charged. However, there is a Rs.25+GST monthly account upkeep fee. It offers services to trade in Mutual funds and digitized gold.
5paisa
Name
5paisa
Founded
2016
Founders
Nirmal Jain
Active Clients
4.22 lakhs (March 2025)
5paisa – Top Discount Brokers in India
Founded by Nirmal Jain, 5paisa Capital is one of India’s leading discount brokers, with an active client base of around 4.22 lakhs as of March 2025. It offers a simple and cost-effective trading platform with a feature-rich interface. Traders can invest across equities, derivatives, commodities, and mutual funds, all from a single account.
5paisa offers a flat brokerage fee of INR 20 per order across all segments — equity delivery, intraday, futures, and options (including equity, commodity, and currency). Mutual fund investments are completely free of charge.
The broker provides multiple trading platforms, including the 5paisa mobile app, web-based terminal, and EXE desktop software, each packed with advanced trading tools like real-time data, stock scanners, technical analysis charts, and customised watchlists. Additional offerings include margin trading facilities, algo trading support through Xstream and XTS APIs, expert research reports, direct mutual fund investments, IPO access, real-time notifications, and 24/7 customer support. With competitive pricing and powerful technology, 5paisa ensures a smooth and seamless trading experience for investors.
Lalit Keshre, Harsh Jain, Neeraj Singh, and Ishan Bansal
Active Clients
70,92,413
Groww – Top Discount Brokers in India
Groww is a discount brokerage firm that started operating in 2016, mainly as a portal for investment in mutual funds. The firm began its brokerage operation in 2020. Groww is the title of its smartphone app. You can engage in the equity section using its web-based and smartphone-based interfaces.
As a participant in the discount brokerage firms sector, Groww is poised to introduce an F&O solution shortly and is one of the top 5 discount brokers in India. Under this offering, the pricing structure entails 0.05 per cent or Rs. 20 per placed order for stock intraday and equities future, whichever is less. Additionally, for F&O transactions, a flat commission of Rs. 20 per transaction is applied.
There are no fees for creating or maintaining an account. It also provides mutual funds and digitized gold investment services. It also gives you the chance to trade in US stocks.
Paytm Money is a financial services company based in India. It was launched in 2018 as a subsidiary of One97 Communications, Paytm’s parent company. Paytm Money aims to provide easy and accessible investment opportunities for millennials and first-time investors. The company offers a mobile app and web platform with features that include paperless account opening, easy funds transfer, zero commission stock investing, and mutual fund purchasing with systematic investment planning, risk profiling, and real-time portfolio tracking and falls under top 50 discount brokers in India. Paytm Money is backed by major investors such as Ant Group and SoftBank. The company aims to tap into the growing population of digitally savvy, young Indian investors who are looking for seamless tools to enter the markets.
Pravin Jadhav, Alok Kumar Pandey, and Jay Prakash Gupta
Active Clients
3,10,070
Dhan – Top Discount Brokers in India
Dhan is a discount brokerage company that has been gaining popularity in India since 2016. It is known for its innovative features, competitive pricing, and focus on educating its users. Unlike many other brokerages, Dhan does not charge any fees for account maintenance or stock delivery trades, making it an attractive option for long-term investors. For active traders, Dhan charges a flat ₹20 per trade or 0.03% of the trade value, whichever is lower, for intraday fees. The platform is modern, user-friendly, and comes equipped with advanced charting tools, educational resources, fractional share investing, and access to US stocks. Whether you are a seasoned investor or just starting out, Dhan’s combination of affordability, features, and educational focus makes it a compelling choice.
Alice Blue
Name
Alice Blue
Founded
2006
Founders
Sidhavelayutham Mohan
Active Clients
1,55,619
Alice Blue – Top Discount Brokers in India
Alice Blue is a discount broker that was established in December 2006 in Erode, Tamil Nadu. Initially, the company had only five employees and an MCX membership. In 2007, it became a discount broker and moved its headquarters to Chennai. In 2017, Alice Blue relocated to Bangalore, where it currently operates. Over the years, the company has grown significantly and now has around 400 employees. It has also formed partnerships with 12,000 associates and serves approximately 500,000 clients in 20 major Indian cities. Alice Blue holds membership in various exchanges, including MCX, NSE, NCDEX, MCX-SX, BSE, and CDSL. Alice Blue’s Freedom 15 Brokerage Plan is designed to establish a competitive pricing structure in the Indian Stock Broking Industry and is one of the top 10 stock brokers in India. The plan charges only ₹15 for Intraday and F&O Trading while offering free Equity, IPO, and Mutual Funds Investments. Additionally, the company does not impose clearing member charges, which makes it more customer-friendly.
Fyers
Name
Fyers
Founded
2015
Founders
Shreyas Khoday, Tejas Khoday, and Yashas Khoday
Active Clients
2,04,904
Fyers – Top Discount Brokers in India
Fyers is a discount brokerage firm that came into existence in 2015. It is known for its state-of-the-art tech platform and focuses on empowering active traders. Fyers has created a niche for itself with its advanced features, such as free equity delivery trades, a flat brokerage fee of ₹20 or 0.03% across other segments (capped at ₹20), and tools like algo trading, market depth scanners, and option strategy builders. Although their platform caters more towards experienced investors looking for a powerful toolkit, Fyers’ focus on innovation and low costs makes them an attractive option for active traders who want to maximize their returns. They also provide special low fees and streamlined account opening for NRIs. However, it’s important to note that they may not be the most beginner-friendly option due to their focus on advanced features.
Kotak Securities
Name
Kotak Securities
Founded
1994
Founders
Jaideep Hansraj
Active Clients
10,86,716
Kotak Securities – Top Discount Brokers in India
Kotak Securities, a member of the Kotak group, was a full-service broker before introducing its Trade FREE Plan in November 2020, which offers a unique approach to India’s discount brokerage model. This plan, also known as the Free Intraday Trading (FIT) plan, allows zero brokerage for intraday trades across various segments.
For all other future and options (F&O) trades, including equity, commodity, and currency, Kotak Securities sets the brokerage at Rs. 20 per order under the TRADE FREE PLAN. The plan’s key features include no brokerage charges on intraday trades, a nominal charge of Rs. 20 per order for other F&O trades, and a currently waived Rs. 499 opening charge for the Demat account. Kotak Securities provides a wide array of investment options and research reports to its clients while offering full broker services at a discounted rate. The fee structure includes zero account opening charges and an annual maintenance charge of Rs. 50 per month, and 0.25% of the transaction as delivery brokerage charges.
IIFL Securities is a prominent player in the Indian stock market, known for combining full-service expertise with the benefits of discount broking. Under its discount broking plan, it charges a flat fee of ₹20 per trade, making it a cost-effective choice for active traders. The platform offers advanced research tools, in-depth reports, and robust customer support to help investors make informed decisions and is one of the biggest stock broker in India.
With seamless trading access across mobile and desktop platforms, IIFL Securities caters to both beginners and seasoned investors. It also provides portfolio management solutions and a wide range of investment products, making it a comprehensive solution for trading and wealth creation.
Now that you’ve learned about certain greatest discount broker firms, you’ll need to learn how to choose a reputable discount broker. Here are some things to consider while selecting a discount broker:
Brokers Fee
Verify that the broker’s fee is as low as possible if you transact frequently. It’s critical to evaluate intermediaries and pick the one with the finest and least expensive price.
Trading Interface
Pick a trading interface that makes things easy for you, such as order placement, analysis tools, etc., so that you can get the most out of it. It’s also important to look at the service provided by the discount broker, as this aids in making it a streamlined experience for the investors.
Margin Trading
Margin trading is an important factor to consider when choosing a discount broker because it distinguishes between two brokers.
These are the most important factors to consider when selecting a discount brokerage firm. Also, keep an eye out for additional fees, broker reviews, distribution structure, electronic trading terminals, and discount broking company’s financial strength when deciding on a broker.
Advantages of Online Brokers
In comparison to conventional full-service brokers, they offer the lowest brokerage fees. This enables investors to earn from a deal with a low transition point.
They provide an electronic trading interface that allows investors to buy and sell easily and swiftly.
One of their finest features is that they provide the same services to large and small investors alike.
They are fairly trustworthy as all of their transactions are visible since everyone has access to the margins estimator.
Several offer their users instructional video training to assist them in trading with them for a while.
Disadvantages of Online Brokers
• They don’t offer free consultation, while full-service brokers do.
• They allow you to open both a trading and a Demat account.
• They usually function remotely, so if you require branch assistance for documentation, you’ll have to find another solution.
• They don’t provide investment management services. A full-service broker is an ideal alternative for you if you want a portfolio manager.
You must use a discount broker if you are tech proficient, can perform your transactions by yourself, your trades are small, and don’t need further analysis or add-on services or trading support. There are numerous discount brokers in India; however, you must select the appropriate stock broker according to your needs.
FAQs
Which is the No. 1 stockbroker in India?
Groww is considered one of the best stock brokers in India. It has a client base of 70,92,413 active clients.
What is a discount broker?
A discount brokerage firm charges lower fees than traditional full-service brokers, typically offering self-directed investing with limited guidance. They focus on trade execution at low costs, leaving investment decisions to the client.
How to be a broker in India?
Meet eligibility: Indian citizen, 21+, 10+2 education, 2+ years experience in financial services.
Pass exams & register for NSE/BSE certification, SEBI RIA exam/IRDAI license (depending on broker type).
Which is the best discount broker in India?
Zerodha, 5paisa, Groww, Angel One, and Upstox are some of the best discount brokerages in India.
Are discount brokers safe in India?
Yes, your money is safe with discount brokers, but they will not advise about the risks of the investment like a full-service brokerage.
Mobile cryptocurrency trading has seen a tremendous surge in India due to the increased number of beginners who started using apps before getting into real trading. The trend of trading via smartphones is going to another level with its user-friendly and seamless trading experience.
Nowadays, trading apps have become quite common among youths. People have started preferring mobile trading rather than traditional trading. Moreover, cryptocurrencies have also become the latest fad among youths. India ranks 2nd in the world in crypto adoption.
Despite the risk, cryptocurrency platforms have successfully been able to hook young Indians by offering a seamless user experience. Even inexperienced youths are busy exploring these crypto trading apps.
In order to make your trading experience more confident, we have compiled a list of the safest online stock trading and crypto trading apps in India. You can have a look at these lists and analyze which apps suit you best.
Robust security and wide range of cryptocurrencies
Security-conscious traders & global users
List of Safest Online Stock Trading Apps in India
Someone who’s stepping into the world of the stock market needs to have the proper stock trading app from an authorized stock trading platform. Since they’re beginners, they want the safest, most user-friendly, and most legitimate platform to start their trading journey.
So, here is a list of online stock trading apps offered by legit discount brokers that would help you to buy or sell stocks with simple steps.
Zerodha Kite
Platform
Zerodha Kite
Founded Year
2010
Headquarters
Bengaluru, India
Special Feature
Advanced charting with 100+ indicators, seamless order execution, API for algo trading
Zerodha Kite – Best Trading App in India to earn Money for Beginners
Zerodha Kite is one of the best and safest trading apps and the number 1 stockbroker in the country, making it the best trading app for beginners in India. The app has a user-friendly platform with streaming market data, advanced charts, an elegant UI, and more. Zerodha is India’s first discount brokerage company.
For intraday trading of stocks and futures (i.e., when you buy and sell the stock on the same day), the brokerage charge is 0.03% of turnover or INR 20, whichever is lower per executed order.
Zerodha can be the best choice for a beginner as well as an experienced individual.
Zerodha Trading | Full Tutorial
Upstox PRO
Platform
Upstox PRO
Founded Year
2011
Headquarters
Mumbai, India
Special Feature
Fast order execution, advanced charting tools, options strategy builder, and seamless mobile trading experience
Upstox PRO – Best Trading App in India for Beginners
Upstox PRO is a mobile application of one of the leading discount brokers in the country, i.e., Upstox. Upstox was formerly known as RKSV Securities, and Ratan Tata backs the company.
The Upstox charges are similar to those of Zerodha, making it a discount broker and the second-best trading app in India. It is also recognized as the best trading app for beginners. Currently, you can open a Demat and trading account with Upstox for free of cost with various other benefits.
Personalized advisory services, AI-powered ARQ investment engine, and extensive research reports
Angel Broking – Best Trading Platform for Beginners
Angel Broking is one of the oldest players in the stock market brokerage industry. They have been in the industry for more than 30 years, and is top 5 trading app in India. They have a wide range of services, and an online trading platform is one of them. Earlier, the company used to follow a full-service model for its trading platform, but in 2019, it started following the discount broker method.
All intraday trading, i.e., stocks, futures, options, currencies, and commodities, will be charged INR 20 per trade. Angel Broking account opening charges are free, and one is exempted from paying the Annual Maintenance charge for the first year.
Motilal Oswal
Platform
Motilal Oswal
Founded Year
1987
Headquarters
Mumbai, India
Special Feature
Research-driven stock recommendations, wealth management services, and strong focus on long-term investing
Motilal Oswal – Best Trading App for Beginners
Motilal Oswal (MOSL) is another major stockbroker in India who started in 1987. They have a strong network of branches and sub-brokers. The company has 1700+ branches across India. Motilal Oswal is not a discount broker. Their brokerage charges are quite higher as compared to the discount brokers.
Their research papers are considered good as they invest 10% of their profits into research. If you are a beginner who requires some guidance and doesn’t mind paying extra, then you can choose Motilal Oswal for the best mobile trading app experience.
5Paisa
Platform
5Paisa
Founded Year
2016
Headquarters
Mumbai, India
Special Feature
Flat ₹20 per trade brokerage, robo-advisory, and easy-to-use mobile app for trading and investing
5Paisa – Best Stock Trading App for Beginners in India
5Paisa is also known as one of the best trading platforms and a discount broker in India. The company, promoted by IIFL (India Infoline), offers a unique feature of guest login. Using this feature, one can avoid giving their personal details to check the app and end up getting unsolicited emails, calls, and messages from the service provider.
All intraday trading, i.e., stocks, futures, options, currencies, and commodities, will be charged INR 20 per order that is executed. The rates are similar to other discount brokers such as Upstox, Zerodha and Angel Broker.
Comprehensive research reports, wide investment options, and strong customer support
India Infoline – Best Trading Platform in India for Beginners
India Infoline (IIFL) is a full-service stockbroker. It is a reputed stock broker in India that was established in 1995. IIFL’s brokerage charges are higher than those of other discount brokers.
The company provides personalized service to all its clients, and if someone is looking for a company that will guide and support them through research and recommendations, then they can choose IIFL. They provide stock tips to make a better decision.
Zero brokerage on intraday trades, full-service brokerage with research and advisory
Kotak Securities – Best Online Trading Platform in India for Beginners
Kotak Securities is an excellent choice for new investors, offering a hassle-free account opening process with no fees and discounted rates for those under 30. Their intuitive trading app is available on multiple platforms and provides access to diverse investment options, such as stocks, IPOs, derivatives, mutual funds, and global investment opportunities. In addition to its user-friendly interface, the platform offers several valuable features, such as margin funding, live portfolio tracking, and comprehensive stock analysis tools.
Kotak Securities stands out among other trading platforms because it offers zero account opening charges and competitive brokerage rates of 0.25%. With over 10 lakh Android downloads, their mobile app is user-friendly and allows for seamless trading experiences. Additionally, their refer and earn program rewards users with referral points equivalent to 15% of the referred transactions, incentivizing them to grow their network. Kotak Securities is committed to making investing accessible and affordable for everyone, with no initial financial barriers and competitive brokerage rates.
Groww
Platform
Groww
Founded Year
2016
Headquarters
Bengaluru, India
Special Feature
User-friendly platform offering direct mutual funds, stocks, ETFs, IPOs, digital gold, and F&O trading
Groww – Best Trading App in India for Beginners
Groww has a simple pricing structure that follows a flat fee model for brokerage charges. This model charges a minimum brokerage of 0.05% and a maximum of INR 20 across all trading segments, including Equity Delivery, Intraday, and F&O. This provides investors with transparency and cost-effectiveness. Moreover, account opening and maintenance are free, and there are no charges for Demat account upkeep, making it more accessible for users. The platform offers a wide range of investment options, such as stocks, mutual funds, gold, US stocks, and fixed deposits, and provides robust security measures to safeguard customer data and transactions through encryption and verification protocols.
Groww offers various tools like live market updates, stock screening, portfolio tracking, SIP calculator, and smart alerts for informed decision-making. Users also receive expert guidance and support from a dedicated team of analysts who provide research reports, recommendations, tips, and insights. With 24/7 customer support, Groww ensures a seamless investment experience for its users.
TradingView & ChartIQ integration, fast order execution
Dhan – Best Trading App in India for Beginners
Dhan is a modern trading app designed for both active traders and long-term investors. Known for its fast trade execution and advanced options trading tools, it offers real-time market data, backtesting, and API access for algorithmic trading, making it ideal for options traders and algo developers seeking a technical edge.
The platform also stands out for its innovative features, competitive pricing, and strong focus on user education. Unlike many brokers, Dhan charges no account maintenance fees and no brokerage on stock delivery trades, which appeals to long-term investors. For intraday trades, it applies a flat fee of INR20 per order or 0.03% of trade value, whichever is lower.
With advanced charting tools, fractional share investing, access to US stocks, and a user-friendly interface, Dhan offers a blend of affordability, technology, and educational support—making it a compelling choice for traders at every level.
Paytm Money
Platform
Paytm Money
Founded Year
2017
Headquarters
Bengaluru, India
Special Feature
Direct mutual fund investments, stock trading, NPS, digital gold
Paytm Money – Best Trading App in India for Beginners
Paytm Money, a subsidiary of One97 Communications, was launched to make investing simple and accessible for India’s young and first-time investors. Headquartered in Bengaluru, the platform focuses on providing seamless digital investment solutions through its mobile app and web interface.
The platform offers paperless account opening, easy fund transfers, and zero-commission stock investing, along with mutual fund investments featuring SIPs, risk profiling, and real-time portfolio tracking. Backed by major investors like Ant Group and SoftBank, Paytm Money is strategically positioned to cater to the rising wave of digitally savvy millennials seeking effortless entry into the financial markets.
Like the stock trading app, there are crypto trading apps meant for buying or selling underlying coins via an exchange.
Crypto Trading Apps provide a platform to consider the movement of cryptocurrency prices. One can buy or sell cryptos like Bitcoin using Indian Rupee in simple steps using these mobile apps.
Binance
Binance India – Best Trading App in India for Beginners
Binance, established in 2017, is a platform for trading cryptocurrencies. It is considered one of the largest cryptocurrency exchanges in the world based on its trading volumes. The platform focuses strongly on Altcoins. An altcoin is an alternative digital currency to Bitcoin. It refers to a group of cryptocurrencies, ultimately all the cryptocurrencies other than Bitcoin.
The platform charges 0.1% from the taker and 0.1% from the maker’s side. You can choose Binance for trading cryptos if you want to invest in lesser-known cryptocurrencies.
Coinbase – Best Trading App in India for Beginners
Coinbase is also a cryptocurrency platform founded in 2012. It is a secure platform for buying, selling, and storing cryptocurrencies and is quite popular in the United States.
Coinbase charges around $0.99 to $2.99 depending on the dollar value of the purchase. Their user interface is considered to be very simple, and the transactions are highly liquid.
WazirX
WazirX – Best Trading App in India for Beginners
WazirX is an Indian cryptocurrency trading platform that is owned by the global cryptocurrency exchange Binance. WazirX has the highest trading volume compared to any other cryptocurrency exchange in India.
WazirX claims a $2.3 billion monthly volume with a registered user base of around 1.75 million. As per CoinMarketCap, WazirX was the 27th top cryptocurrency exchange globally in terms of liquidity, traffic, trading volumes, and confidence in the legitimacy of the trading volumes.
Trading View
Trading View – Best Trading App in India for Beginners
Trading View is a stock market trading and investing platform. It is one of the best platforms for beginners as it provides an option for paper trading. Paper trading is a method where the platform provides you with an imaginary amount and lets you pick trades in an imaginary stock market.
The platform provides an experience of what the real market looks like and how trading feels exactly. Also, there is an option to trade in cryptocurrency exchanges as well.
Bitfinex
Bitfinex – Best Trading App in India for Beginners
Bitfinex is a cryptocurrency trading platform owned and operated by iFinex Inc, which is registered in the British Virgin Islands. The platform was launched in 2012 and deals with all sorts of cryptocurrencies around the world.
Bitfinex is the leading exchange for USD-denominated Bitcoin trading. It offers to order books with top-tier liquidity, allowing users to easily exchange Bitcoin, Ethereum, EOS, Litecoin, Ripple, NEO and many other digital assets with minimal slippage.
Kraken
Kraken – Best Trading App in India for Beginners
Kraken is a cryptocurrency platform where you can trade all kinds of cryptocurrencies using fiat currencies. You can use fiat currencies such as U.S. Dollars, Canadian Dollars, Japanese Yen, and Euros.
Conclusion
They offer a trading platform with all sorts of required features for individual cryptocurrency traders as well as large trading firms. Kraken is one of the top leaders in cryptocurrency exchanges.
Everyone (be it a trader investor or youth) has started to lean more towards the discount brokers who are offering their best online trading mobile app service. Hence, these trading apps are considered to be the best and safest in the marketplace.
Disclaimer: All the above-mentioned data are based on our research. Use these apps only after thorough research from your side.
FAQs
Which are the best stock trading apps for beginners in India?
The safest online trading apps in India are as follows:
Zerodha Kite
Upstox PRO
Angel Broking
Motilal Oswal
5Paisa
India Infoline Markets
Binance
Coinbase
WazirX
Trading View
Bitfinex
Kraken
How much money do day traders make in India?
It depends on who is trading. If a non-skilled trader is trading, it is highly likely that he/she will lose money. But if a skilled trader is trading, he/she can make up to ₹1 lakh per day with ₹1 crore of investment, i.e., 1%.
Who are the prominent traders in India?
Some prominent traders in India include Radhakishan Damani, the founder of D-Mart, and Nemish Shah, the co-founder of Enam Holdings.
Is online trading safe?
Online trading is as safe as offline trading. It has grown over 100% in India due to an increasing number of beginners who have started using the apps before getting into real trading.
Is Zerodha good for beginners?
Zerodha is considered the best discount broker for beginners in the trading market as its brokerage charge is 0.03% of turnover or INR 20, whichever is lower per executed order.
What is WazirX?
WazirrX is an Indian cryptocurrency trading platform that is owned by the global cryptocurrency exchange Binance. WazirX has the highest trading volume compared to any other cryptocurrency exchange in India.
Is Kite Zerodha safe?
Zerodha is a safe, legitimate, and genuine stock broker in India. SEBI regulates it and is a debt-free company.
Which is the best mobile trading app in India?
According to user reviews and industry rankings, IIFL Markets is often considered the best mobile trading app in India for its user-friendly interface and comprehensive features.
Which trading app is best for beginners?
Groww and Paytm Money are best for beginners in India because they are simple, low-cost, and easy to use.
Nikhil and Nithin Kamath, co-founders of Zerodha, have paid INR 250 crore to purchase a minority interest in InCred Holdings Limited, which is the parent company of InCred Financial Services Ltd (IFSL).
This is in advance of InCred’s anticipated first public offering later this year. IFSL is a tech-enabled NBFC that specialises in financing for SMEs, consumers, and educational institutions.
Since its establishment in 2016, the business has served clients throughout India by utilising data science, risk analytics, and digital-first operations. According to investor and entrepreneur Nikhil Kamath, the credit ecosystem in India is rapidly evolving, becoming more formal, digitised, and easily accessible.
He went on to say that it appears that InCred Group was aware of this fluctuating pulse rate. They have a solid staff, prioritise technology, and have a clear idea of the market’s future. Supporting them is an investment in that larger change—and the conviction that responsible lending can grow without sacrificing its core values.
InCred’s IPO and Funding Till Now
InCred is reportedly aiming for an IPO valuation between INR 15,000 crore and INR 22,500 crore. Through the IPO, it hopes to raise between INR 4,000 and 5,000 crore.
In 2023, the business joined the unicorn club with a $1.04 billion valuation. Manipal Education and Medical Group, owned by Ranjan Pai, is one of its investors.
An additional INR 1,000 crore was allotted to start-up funding by Rainmatter Capital, an investment arm supported by Zerodha, according to Nithin Kamath’s 2023 announcement.
In order to assist financial startups, Rainmatter was founded in 2016. Nithin Kamath stated, “We have invested INR 400 crore in 80 start-ups so far.”
Yet to Finalise Bank for the IPO
Despite worldwide market turbulence that has affected fundraising plans and caused a media agency to speculate last week that InCred Financial’s IPO may be delayed, the company is still exploring selling its shares.
Despite such market fluctuations, UBS Group AG is becoming more optimistic about Indian stocks, moving the market from underweight to neutral due to its defensive appeal.
In an interview with a media outlet earlier this month, the chief investment officer of InCred Financial’s credit division, InCred Alternative Investments, stated that the company intends to raise 15 billion rupees through a new fund in order to meet the demand for private lending.
Bhupinder Singh launched InCred Financial in 2016, and it specialises in financing for small businesses, retail customers, and educational institutions. In 2022, the company announced a cooperation with KKR India Financial Services Ltd.
The way we save, invest, and exchange money is changing as a result of technological advancements in today’s lightning-fast financial industry. The pioneering force behind this transformation is fintech, an abbreviation for financial technology. When it comes to the stock market and online broking, Zerodha is what comes to the mind of an Indian. Zerodha is the most prominent and the leading discount brokerage company, founded in 2010. The company is the first-ever stock brokerage company that gave rise to discount brokerage options for investors as well as traders.
Today, Zerodha is the biggest brokerage company in India with a client count above 5 million. It is also known as the Robinhood of India.
The company contributes over 15% to every retail order volume in India on a daily basis through trading and investing in various stocks, Commodities, F&O, IPOs, and others. In this article, we have briefly discussed the business model and revenue model of Zerodha. Let’s get started!
About Zerodha
Zerodha is an Indian fintech startup that has been shaking up the conventional brokerage sector since its founding in 2010 by brothers Nithin Kamath and Nikhil Kamath. The company’s name represents its objective to remove hurdles and democratize finance. It is a mix of “Zero” and “Rodha,” the Sanskrit words for obstacles.
The largest online brokerage firm in India, Zerodha is widely famous for its discount brokerage option. Zerodha offers financial services with the main motive of providing low-cost services to customers. Zerodha is a significant member of BSE, MCX-SX, and NSE, which provides broking services to the traders of the stock market.
Zerodha is headquartered in Bengaluru and has a huge customer base. Zerodha is the first discount broker in India because of this, it gained huge support from the audience.
An essential part of Zerodha’s success has been its dedication to offering traders and investors products that are affordable, easy to use, and driven by technology. Belief in creating a world without brokers is Zerodha’s motto. The financial market players will benefit greatly from this ideology. In addition to meeting the unique demands of each client, the organization strives to offer cheap trade services and first-rate customer service. Using cutting-edge innovation, innovative ideas, and unparalleled customer service, Zerodha aims to build a world without brokerages.
Besides, the most intriguing thing about Zerodha is that it always comes up with brilliantly innovative ideas supported by several strategic and definite efforts. Zerodha runs with the tagline of “The Free Trade Zone“.
Moreover, Zerodha offers tons of open online education and community programs that uphold retail traders as well as investors.
Fintech platforms like Smallcase, Streak, Sensibull, Quicko
Technology service providers
Regulatory bodies like SEBI
Key Activities
Running trading platforms (Kite, Console)
Brokerage and margin trading operations
Developing fintech tools and APIs
Educating users through Varsity
Value Propositions
Zero brokerage on equity delivery trades
Flat ₹20 fee for intraday and F&O trades
Transparent and simple pricing
User-friendly tech tools and mobile platforms
Free mutual fund investment via Zerodha Coin
Customer Relationships
Self-service platform with online tutorials and support
Transparent reports and statements
Community building via social media and Varsity
Quick issue resolution through online support
Customer Segments
Young salaried professionals (below 30 years)
First-time investors
Active intraday and F&O traders
Tech-savvy developers and fintech enthusiasts
Key Resources
Trading and account management platforms (Kite, Console)
Kite Connect API
Skilled technology and support teams
Regulatory licenses and compliance systems
Channels
Zerodha website and mobile app
Social media platforms like Instagram, Twitter
Referrals and financial influencers
Educational platform Varsity
Cost Structure
Technology development and maintenance
Employee salaries and operations
Compliance and legal costs
Customer acquisition and marketing
Revenue Streams
Brokerage fees on intraday and F&O trades (up to ₹20/order)
Interest income from margin trading
Demat account DP charges
Subscription fees from partner tools (e.g., Streak, Smallcase)
Float income from idle client funds
Annual account maintenance charges (₹300/year)
Where does Zerodha operate?
Zerodha is a financial service company that offers various retail and institutional-based brokerage, bonds, mutual funds, and currency & commodities trades. Zerodha operates in various states of India, including Hyderabad, Bengaluru, and Pune.
Key Products and Services of Zerodha
The broking limited company, Zerodha, offers tons of key products to its customers. These products include Console for account management, Kite for trading platforms, Varsity for financial education, Quicko for the traders in Tax stems, Coin for Free Mutual Fund, Kite Connect API for the developers, Kill Switch for the risk management for retail traders, and Sentinel for the cloud-based market alert tool.
Zerodha majorly targets its potential audience in Pune, Bengaluru, and Hyderabad based on the average age group of people below 30 years. It focuses on those below 30 people who are new to their jobs and have already started saving from their salaries and are searching for better saving and investing methods to increase their money effectively. With its incredible services and products, it has gained over a million active users.
Zerodha Business Model
The most significant thing about the business model of Zerodha is the success and popularity it gained among the audience. Zerodha offers a very convenient service to its customers, because of which it gained absolute success in the strenuous market as well.
Zero Brokerage Model
When it comes to equity delivery deals, Zerodha stands out due to its zero brokerage strategy. This is a great alternative for long-term investors since it allows investors to purchase and hold equities without paying brokerage fees. They make money from many categories, including intraday trading, futures, and options, and others, by collecting a flat fee on each deal.
Transparent Pricing
Another important part of Zerodha’s business model is transparency. Importantly, being a fintech company they offer a straightforward pricing system. To prevent unpleasant unexpected events, traders can determine their trading costs in advance. Customers trust them more because of this openness, and they distinguish themselves from more conventional brokerages that have convoluted pricing structures.
Zerodha USP
The entire business model of Zerodha is very transparent and has no hidden costs later on. It lets you know all your transactions and also provides a quick tutorial on online trading.
It keeps all the information transparent and open to the customers. These facets help the company more vibrantly and gain more significant clients for trading.
The USP of Zerodha is its zero brokerage concept. Traders don’t need to pay to trade stocks if they plan to keep them for longer than a day. There is no brokerage fee; all the trader has to do is pay their taxes. Brokerage fees from intraday and derivatives trading are Zerodha’s main source of revenue. For FNO trading, Zerodha has a fixed brokerage fee of INR 20 per order.
Zerodha is the biggest trading network with the highest number of active users in India. People across India use Zerodha for investing and trading. Zerodha revenue sources include brokerage fees, interest on margin funding, and income from partner platforms and technology services. The company charges only Rs. 20 (or 0.03%) for every F&O and intraday capital trade.
Although its charge is pretty low, as a huge number of transactions take place, the company gains enough profit. Besides the account maintenance, it charges Rs. 300 annually.
From the records of the past few years, Zerodha experienced rapid growth. This results in the 2% contribution of investors in the stock exchange. This, later on, boosts the revenue of the company. With this revenue source, Zerodha raised its valuation worth $1 billion. The valuation of Zerodha is around $3.6 billion (2023).
Along with stock trading, Zerodha also provides a platform called Zerodha Coin where users may invest in mutual funds without paying a commission. Numerous clients seeking an easy method to put their money into mutual funds have taken advantage of this service. The larger movement towards digital wealth management and the use of the term “hire a fintech developer” to describe the process of creating and managing such systems is congruent with this.
Zerodha Financials
Particulars
FY24
FY23
FY22
FY21
Revenue
INR 9,994.5 Cr
INR 6,877.1 Cr
INR 4,964 Cr
INR 2,729.6 Cr
Expenses
INR 3,119.3 Cr
INR 2,992.7 Cr
INR 2,165.1 Cr
INR 1,260.2 Cr
Profit after Tax
INR 1,122 Cr
INR 2,094 Cr
INR 2,907 Cr
INR 4,700 Cr
Revenue Model of Zerodha
Zerodha has shown consistent growth in revenue and profit over the last few years. In FY24, the company saw significant growth in revenue and profit, continuing its upward trajectory from FY23.
Zerodha Revenue Breakdown:
Particulars
FY24
FY23
Revenue from operations
INR 9,372.2 crore
INR 6,832.8 crore
Other income
INR 622.3 crore
INR 44.3 crore
Total revenue
INR 9,994.5 crore
INR 6,877.1 crore
Zerodha’s revenue has consistently increased over the last few years, with a notable spike in FY24. Revenue from operations saw substantial growth, and other income showed a significant rise in FY24 compared to FY23.
Zerodha SWOT Analysis
Swot Analysis of Zerodha
Zerodha Strengths
Zerodha has shaken up India’s traditional brokerage market with its novel approach to trading, providing clients with commission-free trading.
Customers can rely on quick and dependable trading because of Zerodha’s powerful technological infrastructure.
To meet the demands of traders with varying skill sets, the firm has created several trading platforms and tools.
Thanks to its user-centric strategy and great customer service, Zerodha has a high customer satisfaction rating.
To meet the varied investing needs of its clients, Zerodha provides a comprehensive suite of financial products, including stocks, bonds, mutual funds, and derivatives.
Zerodha Weakness
The potential for growth and expansion is limited for Zerodha because its operations are limited to India.
Zerodha is at risk of cyber threats and system breakdowns because its business model is highly reliant on technology.
Brokerage fees and commissions are Zerodha’s only sources of income, which may lead to difficulties for the company down the road.
Zerodha Opportunities
Zerodha has a great chance for growth due to the continuously expanding population of retail investors and traders in India.
Zerodha has a golden opportunity to grow its business by taking advantage of the growing popularity of online shopping in India.
If Zerodha wants to diversify its revenue streams and access new markets, it might look into foreign expansion prospects.
Zerodha Threats
There is a lot of competition for Zerodha’s products and services from both well-established brokerage businesses and emerging startups.
Business operations and profitability at Zerodha are susceptible to changes in regulatory policies and guidelines.
Investor sentiment and trade volumes are influenced by economic uncertainty and market volatility, which in turn affect Zerodha’s revenue sources.
Even after this huge customer base, Zerodha is still working on expanding the company on a broad scale with a more significant client base. Nithin Kamath, the CEO of Zerodha, mentioned in an interview that he is aiming to take the company to a client base of 5-10 million in the upcoming years.
Zerodha believes in promoting its services, as the company hardly spends any money on advertising channels. The company holds a great reputation in the market because of its incredible services and customer interactions. This has resulted in the comprehensive and impeccable growth of the company.
Within the context of the Indian brokerage industry, Zerodha’s commission-free trading business model is characterized by an effective technological infrastructure, a high level of customer satisfaction, and diversified product offerings that offer significant value. These offerings are relatively uncommon and difficult to imitate, and a robust organizational culture supports them. This helps the company maintain its significant competitive advantage.
In the upcoming years, Zerodha is expected to grow even more and expand more promptly. Stay tuned for more updates!
FAQ
What does Zerodha do?
Zerodha Broking Ltd. is an Indian stock broker and financial services company. The company provides institutional and retail brokerage services, as well as currency and commodity trading. Additionally, Zerodha offers investment options in mutual funds and bonds.
Is Zerodha free?
Traders don’t need to pay to trade stocks if they plan to keep them for longer than a day. There is no brokerage fee; all the trader has to do is pay his taxes. For FNO trading, Zerodha has a fixed brokerage fee of INR 20 per order.
What are the strengths of Zerodha?
The strengths of Zerodha include commission-free trading, its technological infrastructure, versatile trading platform, high customer satisfaction, and its comprehensive financial products.
What is Zerodha business model?
Zerodha follows a discount brokerage business model, offering low-cost trading services in stocks, commodities, and currencies. It charges zero brokerage on equity delivery trades and a flat fee of ₹20 per order for intraday and F&O trades. The company earns revenue from brokerage fees, interest on margin funding, and its tech platforms like Kite and Coin. By focusing on technology and low costs, Zerodha has attracted a large base of retail investors.
How Zerodha earns money?
Zerodha earns money through brokerage fees on intraday and F&O trades, charging up to INR 20 per order. It also makes money from interest on margin funding, DP charges when clients sell shares, and subscription fees for premium tools like smallcase and Streak. Additionally, it earns float income from idle client funds.
If you have a little bit of interest in the equity or stock market, you must have come across the name Zerodha. It is one of the dominant brokerage platforms that facilitates five million+ orders daily.
To be very honest, after the 2008 financial crisis, many big corporate houses have faced colossal losses. The stock market was at its worst, and many people lost their faith in investment.
The 2008 market collapse was the most significant single-day decrease in modern history. The fallout from this disastrous financial catastrophe washed away large portions of retirement savings and had a long-term impact on business, even after the share market had stabilized.
The recession was the black phase for every country, but then in 2009, the Kamath brothers came up with the idea of Zerodha, which is an online brokerage platform. At that instant, there were many share marketing platforms like Sharekhan and ICICI available in the market, and launching Zerodha seemed to be a foolish move. Because how can you beat the legends but with hope in their heart, they launched Zerodha in 2010 with a small budget of INR 10 lakhs.
Let’s know all about Zerodha and its marketing strategy in detail.
Zerodha is a brokerage company situated in Bengaluru, Karnataka. Nitin Kamath created it on August 15, 2010. It is India’s first cheap broker, ushering in a new era in the brokerage sector. In India, Zerodha is the biggest and one of the finest stock brokers. The ultimate aim was to make investing barrier-free, which is why they came up with the name Zerodha.
The name “Zerodha” is an English-Sanskrit portmanteau word consisting of “Zero” in English and “Rodha” (Barriers or Obstructions) in Sanskrit, to sum up as “No Obstructions.” The name of the company directly signifies the birth of the challenge-free online stock-broking platform that Zerodha is!
The Zerodha logo features the numeral ‘0’ in a block format, cropped stylishly to form an upward-pointing arrow. This represents the successful path traders can expect when using Zerodha’s platform.
Do you know that both brothers are listed in the Forbes list of India’s 100 most prosperous 2020? You might be aware of that, but what makes us awe is how they became the most substantial brokerage company in India, with around 10 million users.
Before founding Zerodha, the company’s co-founder, “Nithin Kamath,” worked in customer service at night and traded during the day. He was exposed to the financial markets by a companion when he was 17 years old, and he has been investing ever since.
After working full-time for over ten years, he chose to be a broker because he felt the moment had come to offer a distinct type of structured finance service that he had never encountered throughout his trading career. When he initially considered creating Zerodha, he believed that digitalization and a user-friendly platform were highly required. Nithin Kamath further noted that the hefty brokerage costs imposed on trades are one of the reasons why young people are hesitant to begin trading. His goal was to be an internet broker who prioritized people before profits by utilizing cutting-edge technology. That’s the incarnation of Zerodha.
Coming to our next section, where we will shed light on how Zerodha became so popular among people and what their marketing strategy is. Zerodha was launched to give consumers technology-efficient and cost-effective services. Many young users were afraid to try stock investments because of the brokerage charges. Furthermore, the technology used was old and could be a bummer for many of us. Kamath’s brother knew that it was time to change and allure young minds with a service that didn’t require any technological expertise.
Not only this, he knew that to attract youthful consumers, he had to offer something out of the box. Many of the young customers were put off by hefty commission fees when it came to trading. He took advantage of it, and hence he introduced a zero brokerage strategy. The owners of the company believed that there was no better marketing than word of mouth. They didn’t spend huge chunks of money on the advertisement. Instead, they started focusing on building brand credibility. The next thing they started was educating millennials about trading.
Zerodha’s Unique and Innovative Customer Acquistion Approach
While many stockbrokers still use cold calls and ads to get clients, Zerodha took a different route. It focused on making trading easy, rewarding referrals, and educating users, leading to massive word-of-mouth growth.
India’s First Zero Brokerage Plan
Back when all brokers charged a fixed commission, Zerodha broke the norm. It became the first in India to offer zero brokerage on equity delivery trades. This bold move helped them stand out and quickly attract customers.
Growth Through Referrals
Instead of spending heavily on ads, Zerodha chose to reward its users. Through its referral program, existing clients earn bonuses for every new person they bring in. Today, more than 60% of Zerodha’s users have joined through referrals, saving the company a lot on marketing.
Educating Investor Communities
Zerodha created Varsity, a free learning platform that teaches everything from basic finance to advanced trading strategies. It’s become a trusted resource for anyone looking to learn, helping Zerodha build trust and credibility in the market.
Zerodha Marketing Success Factors
The critical factors involved in the success of Zerodha are mentioned below.
Zerodha Marketing Success Factors
Standard Proposition
The very first marketing strategy was to be crystal clear about everything. Most users don’t trust brokerage services because they involve money. So they considered that thing by being clear about everything. When the company entered the market, many stockbrokers offered irrational prices and non-transparent pricing to clients. Then Zerodha came up with a standard proposition with zero commitments. This worked out well for the company. If you take a look at the FAQ section of the company, you will see the direct response and clear answers admired by most of their users. The company doesn’t believe in confusing its clients.
Concentrate on New Account Opening
The second reason for their vast success was putting their minds to bringing in more customers. They didn’t have any relationship managers or dealers. They started focusing on getting a new client. Today, the company has more than 2.3 million clients.
Number of Active Clients With Zerodha From Financial Year 2014 to 2022
Referral Program and Business Affiliates
The strongest pillar of Zerodha marketing is the referral and affiliate programs. Rather than investing in an advertisement, they came up with the idea of giving a commission to their referrals. Many bloggers and YouTubers promote the services through affiliate programs on their platforms, and in return, they earn a commission on every purchase. The referral program helped Zerodha discover thousands of leads that too without any upfront cost.
Innovation and Technology
The company understands the importance of change and evolution for growth. They knew how important it is to take advantage of technology and offer something innovative to their client base—that’s why they keep launching applications like Kite, Pi, and much more. The platform was fundamental in the earlier days with minimal features, but then they added advanced features like API integrations, third-party applications, and much more. They keep adding new features so that their consumers won’t lose interest.
Zerodha Kite
Online Engagement and Digital Marketing
Every business knows how important it is to gain an online presence and engagement. This is why they kept their users engaged on the platform by offering to educate them about blogs and much more. Varsity offers content that educates users, and it brings a chunk of traffic. The importance of digital marketing is that it provides a subscriber base and improves the authority of the domain in the eyes of Google. Also, clients find the service genuine when they gain something in return, such as learning about the stock market or trading.
The reason for the same is that most users don’t make impulse purchases when it comes to stock marketing. Trading involves investment and the risk of losing money, so the users try to be very cautious and attentive. The following reason why most people prefer to invest in the stock market is because of greed. The greed to double their money. Zerodha analyzed their customer mentality, and they knew if stock marketing became an impulse, it wouldn’t benefit them. So they started shifting their focus to word-of-mouth marketing. Most of the users on Zerodha are recommended by others. Such users won’t lose interest in trading because they want to make the best out of it.
So, rather than focusing on an advertisement, they start investing in customers.
The reason why Zerodha is distinct from its users is its approach to educating its users first. Zerodha does not provide stock recommendations, unlike a full-fledged brokerage platform. When new traders enter the site, they first must learn the ropes of the trade. An engaged customer base would be driven by traders’ capacity to comprehend why they are going bankrupt or trade sensibly. In 2015, Zerodha Varsity was developed with the same goal in mind and a blog connection to build interest in the website. In 2019, the Varsity App was released, as well as material in Hindi.
Later, there were Finception and LearnApp. Finception concentrates on making financial material easy for its users, whereas LearnApp sells finance information to consumers for a fee, including videos handpicked by top fund institution specialists. They’ve been extending their educational goal by using current collaborations.
Furthermore, unlike the other companies, the Kamath siblings do not impose charges for distribution or trading. Instead, they retain a 10% portion of the earnings from the investment.
That’s all! Here we have mentioned all about the Zerodha marketing strategy. The business model of a company is promising. Their user base is young. The reason behind their success is exceptional products with transparent pricing. However, most of the users were not satisfied with the company’s uptime, and it has been news for the server down issue, but the brothers promised to make the platform more friendly each passing day. Not just this, there has also been news that soon the company will enter the advisory sector too. It would be fun to watch how well this would work out for Zerodha.
That’s all we have for now. In case we have missed something, please feel free to reach out to us in the comments section.
FAQs
Is Zerodha a unicorn?
Zerodha entered the unicorn club in June 2020 with a valuation of $1 billion.
Who is the owner of Zerodha?
Nithin Kamath and Nikhil Kamath are the owners of Zerodha.
How much does it cost to open a Zerodha account?
Zerodha charges Rs 200 for online accounts and Rs 400 for offline account opening.
What is Zerodha Pricing?
Zerodha Pricing are listed below:
All equity delivery investments (NSE, BSE), are absolutely free.
Flat Rs. 20 or 0.03% (whichever is lower) per executed order on intraday trades across equity, currency, and commodity trades.
All direct mutual fund investments are absolutely free.
What is the number of active customers of Zerodha?
Zerodha has over 62.77 lakh active customers as of 2022.
In light of the increased volatility in the Indian stock market as a result of uncertainties surrounding international trade, Nithin Kamath, co-founder and CEO of Zerodha, has offered some nuanced guidance for D-Street investors. “It won’t be a bad idea” for investors to “take a break from trading and recharge,” according to Kamath. “You’re going to need it, based on what’s happening,” he stated. The head of the discount broking stated on the microblogging site “X” that there will only be four trading days in the next ten days due to the Indian stock market’s scheduled closures for the forthcoming festivals. Investors should therefore refrain from trading in “potentially crippling conditions” due to low trade volumes and worries about a worldwide recession. The leader of India Inc. asserts that in order to trade profitably, investors must keep an eye on both the market and their own emotional states. According to Kamath, “It’s best to stand aside and wait for the situation to change” when neither is favourable for trade. Kamath’s statements coincide with the growing international trade conflict brought on by US President Donald Trump’s tariff increases.
Staying Out for More Profitable Trade in Future
According to Kamath, investors can survive to trade another day when they are in the best possible frame of mind and the market is at its best. Currently, all they need to do is to avoid the markets. The majority of market analysts predict that volatility will persist until trade war worries fade and economic growth stabilises. “Now is a good time to heed this advice,” the CEO of Zerodha wrote in a post on “X”. There are just four trade days in the next ten days. Taking a break from trading to refuel is not a terrible idea. Based on the current situation, you will require it. According to Kamath’s post, in order to trade well, you must keep an eye on both your psychological and market moods. It’s advisable to take a back seat and wait for things to improve if one of them makes trading difficult. Don’t make the mistake of believing that you should trade despite these potentially crippling circumstances, he added. By avoiding the markets, you can live to trade another day when the market is at its best and you’re in the best possible frame of mind.
Why to Avoid the Market Now?
It is often necessary for even seasoned professionals to take a step back and reconsider their approaches. Recognise your limitations, take a break, and then, when you’re ready, enter the markets. On certain days, one feels worn out, depressed, or simply not in their best mood. Traders could find it difficult to keep the optimistic, unbiased attitude they require for trading during these periods. Because their psychological reserves are exhausted, they could behave impulsively or emotionally. According to seasoned pros, investors perform best when their previous approach begins to fail and they need to come up with a new one. They see the situation as a puzzle that they need to figure out. They observe the techniques closely while removing themselves from the market. They seek the reason why the strategy didn’t work and anticipate making adjustments till it does.
The boom of the stock market has been skyrocketing since the 2000s. Imagine a player coming in and letting the traders trade barrier-free. Yes! That has been a reality with Zerodha since 2010 when it was founded by brothers Nithin and Nikhil Kamath.
Headquartered in Bangalore, Zerodha is a financial service company that is registered with the Securities & Exchange Board of India (SEBI) and a member of NSE, BSE, and MCX-SX, built to provide brokerage facilities to the stock market traders. All in all, Zerodha is an online discount broking company that aims to lower the costs for their clients, something that is crucial in deciding the long-term profitability of the trader trading in the stock markets of the country. Zerodha’s journey is a story of revolutionizing India’s stockbroking industry through innovation and accessibility.
Read about Zerodha’s Story, its History, Journey, Business Model, Revenue Model, Founders, Growth, Competitors, and more in the article ahead.
A Bangalore-based fintech/financial services company, Zerodha offers retail stock brokerage facilities at discounted rates along with other opportunities for currency and commodity trading, mutual funds, and bonds.
Zerodha – How it Works?
The company works on the idea of discount broking, which means that it charges a reduced commission or low brokerage on the transactions to ideally attract investors to use this platform. This makes Zerodha famous amongst the traders and is the main reason behind Zerodha having an active client base of 6.3 million.
Zerodha has the first-mover advantage as it was the first discount broker in the country. “Zerodha was incorporated to make trading barrier-free; so is its name, Zerodha, i.e., No Obstructions,” says Nithin Kamath. Another important reason for the highly surging growth of Zerodha is that it puts in constant effort and keeps coming up with innovative ideas and unique strategies, all of which have helped Zerodha get an edge over its rivals.
Zerodha – Founders and Team
The founders of Zerodha are two brothers, namely Nithin Kamath and Nikhil Kamath.
Nithin Kamath
Nithin Kamath Zerodha Founder and CEO
Nithin Kamath, Founder and CEO of Zerodha and Rainmatter Foundation, a non-profit initiative by Zerodha with an aim to improve environmental sustainability, is the older of the two founder brothers of Zerodha. Nithin is an alumnus of the Bangalore Institute of Technology.
After completing his studies, he was initially self-employed as a Proprietary Trader and later served as a Senior Telesales Executive at Manipal Infocom and as a Partner at Kamath Associates. Nithin eventually collaborated with his younger brother, Nikhil Kamath, to find Zerodha.
Nikhil is the younger Kamath brother, who is the Co-Founder of Zerodha along with being the Co-Founder of True Beacon, an asset management firm dedicated to the service of the ultra-rich. Nikhil dropped out of school when he was only 16, after Class 10.
Always keen on trading, Nikhil started with the used cellphone business first when he started selling old cell phones while in the 10th grade. He soon joined a call center after dropping out of school at 17 and started equity trading at the same time in his leisure. Nikhil eventually started managing some money from his friends and colleagues as well, which helped him gain his initial experience in asset management.
He then quit his call center job and started auto trading with his brother, and they eventually founded Zerodha together. Nikhil is known as a brilliant trader. At Zerodha, he manages the prop trading desk, risk management, and everything related to trading.
The company has 501–1,000 employees, as per LinkedIn.
The founder and CEO of Zerodha, Nithin, has been trading in the Indian stock market since the age of 17. Nithin attended an engineering college and then went on to become an entrepreneur. During his college years, he spent considerable time trading in the stock market, and that forced him to take up a job at the call center. Hence, he worked at the call center during the night and saved the daytime for trading.
“I did this, working-trading, for almost 3 years during 2004-5, post which, I quit my job when I got my first client who asked me to manage money for him after looking at the positive returns on my trading account,” says Nithin Kamath.
Though Nithin managed to make quite a fortune by trading in stocks, he lost a significant amount of money in the stock market crash of 2001-02. However, he eventually landed a cheque from a foreign HNI to manage his money, which he did along with landing a job at Reliance Money, where he served as a sub-broker.
Within a very short span, Nitin managed to get many big clients for Reliance Money. At Reliance Money, Nitin was one of the most successful sub-brokers, breaking volumes of more than 1000 sub-brokers at once.
“But as a trader, I was still finding something missing with the way RMoney was working, not really what a trader requires. That is when we decided to start Zerodha,” added Nithin.
Nithin again lost a considerable amount of money in the market crash during the global financial crisis of 2008-09. After this, he decided to change ways and started to develop an idea of building a company that will provide online stockbroking services for all the traders of the country, which will be simple to use and affordable.
Rise of Zerodha
Zerodha – Startup Launch
After the founders, Nikhil and Nitin, founded Zerodha, it took a long time for them to establish a market standing. It was a slow transition that happened over the last decade. Zerodha, in its first year, opened 3,000 accounts. In India, when the cost of any product or service is less, people generally start questioning the quality. And that was the biggest milestone for the Zerodha founders to conquer. As a result of this, they built a community that also helped them in the long run. Even today, Zerodha doesn’t spend any money on advertising.
The focus on building a community for the traders helped Zerodha. This was because the initial doubts of the traders towards Zerodha’s discount broking model stemmed from the fact that retail investors were often clueless about what stocks should be bought or sold and did not ideally offer any research services. To counter this challenge, Zerodha launched Varsity. Varsity is a learning module that has become immensely popular. It ran Trading Q&A, an active forum where traders and investors were able to discuss stock ideas.
Over time, Zerodha used technology heavily to differentiate itself from the rest of the market. Zerodha also went on to launch Coin, which is an online platform to buy mutual funds directly.
Zerodha is firmly committed to working towards the vision of creating a world without any brokers, which will hugely benefit the stakeholders when it comes to the financial markets. Furthermore, the company is equally committed to providing the best possible customer experience with the help of a support and service that can be highly personalized.
Zerodha envisions creating a brokerage-free world.
Zerodha – Name and Logo
“What’s in a name?” William Shakespeare once said, and this is what Zerodha is likely proving with its wide success. Zerodha founder Nithin Kamath indicated the same in a recent post when a LinkedIn user was confused with the naming of the company. Check out the LinkedIn post below to have a quick glimpse into the same.
The name “Zerodha” is an English-Sanskrit portmanteau word consisting of “Zero” in English and “Rodha” (Barriers or Obstructions) in Sanskrit, to sum up as “No Obstructions.” This name of the company directly signifies the birth of the challenge-free online stock-broking platform that Zerodha is!
Zerodha – Products and Features
Zerodha products and features are:
Kite
It’s a modern browser-based trading tool with a wide range of order types, advanced charting, keyboard shortcuts, and streaming quotations that provides a seamless trading experience.
Zerodha has introduced a ‘privacy mode’ on its Kite trading website, allowing users to hide real-time profit and loss (P&L) changes. This feature was launched on 22 August 2024. The feature aims to reduce distractions and the temptation to overtrade. Currently available only on the Kite website, the feature will soon be added to the Kite app as well.
Zerodha Kite Web was launched in November 2015, and the Kite App was launched in November 2019.
Console
The Zerodha console is a dependable back-office platform created for their esteemed clients. It acts as a vital reporting dashboard, allowing users to easily keep track of and manage all of their investments.
Coin
It’s the finest platform for hassle-free and cost-free direct mutual fund investments. Over 40 mutual fund houses’ thousands of equity, debt, hybrid, and ELSS tax-saving schemes are available on the platform. Zerodha Coin Web was launched in April 2017.
Kite Connect API
The Zerodha Kite Connect API offers a number of capabilities for developers to create trade applications and interface them with Zerodha’s trading platform.
Varsity Mobile
Zerodha Varsity Mobile is a free online tool designed to teach people about stock market trading and investments. It is accessible online via a website or a mobile app.
Zerodha – Business Model
The business model of Zerodha works on a ‘low margin and high volume model.’ Zerodha charges a very minimal amount to the traders for transactions, because of which the trading volume is generally high. This fee collection of smaller amounts from a larger number of clients leads to good revenue generation for Zerodha. Also, one more factor aiding high profit margins for the company is operational costs. They are quite low for Zerodha as compared to some of the top brokers because of its online structure, which allows it to maintain low operational costs.
Zerodha has finally gotten approval from the SEBI (Securities and Exchange Board of India) to offer mutual fund services, said Zerodha co-founder Nithin Kamath via his Twitter handle. The company had applied for the license for the same in February 2021. This will help Zerodha launch its asset management company, AMC, and is surely another feather in its cap.
“Passive, simple, cheap index-traded funds will be on offer. Mutual fund products need to be simplified to attract investments from young investors,” said the co-founder and CEO of the brand, Nithin Kamath.
The revenue model of Zerodha can be summed up as follows:
Commission and Fixed Fee Structure: Unlike full-service brokers, who normally charge a percentage of the deal value, Zerodha charges a fixed fee for intraday and futures and options (F&O) trades. Zerodha charges a maximum brokerage of INR 20 for every transaction, regardless of the value of the transaction.
Volume-based Revenue: Drawing a lot of transactions to its platform is Zerodha’s main goal. By providing high-quality goods at a competitive price, their goal is to make money from the sheer number of trades. Despite charging a set fee for each transaction, the daily total money generated by millions of transactions can be rather large.
Startup Incubation: Rainmatter, a subsidiary of Zerodha, acts as a startup incubator for companies in the banking sector. Profitable businesses like CRED, LearnApp, Smallcase, Streak, Tradelab, and CRED all provide revenue to Zerodha in different ways, like equity investments, revenue-sharing contracts, or acquisitions.
Mutual funds and True Beacon: To broaden its portfolio of products, Zerodha introduced True Beacon, an alternative investment fund that targets high-net-worth individuals (HNIs) with a $million minimum investment. Zerodha aims to enter the mutual fund industry and has applied for a mutual fund AMC license as a result of True Beacon’s success.
Zerodha – Shareholding
Zerodha’s shareholding pattern as of March 2023, sourced from Tracxn:
Zerodha Shareholders
Percentage
Nithin Kamath
41.0%
Nikhil Kamath
36.4%
Seema Patil
14.7%
Fund
0.1%
Straddle Capital
0.1%
Rainmatter
–
Austin Global Ventures
–
Other People
0.3%
ESOP Pool
7.5%
Total
100.0%
Zerodha Shareholding
Zerodha – ESOPs
Zerodha created a new ESOP pool for its employees as of November 1, 2021. Under this ESOP Plan 2021, the company has allocated around 7,00,000 options, as per the regulatory filings of the company with the Registrar of Companies (RoC).
The company then issued another ESOP pool that is estimated to be worth around Rs 100 crore at the beginning of Q3 2022.
Zerodha – Challenges Faced
Zerodha, while a prominent player in India’s brokerage landscape, confronts notable challenges, notably technical glitches during periods of heavy trading, and diminishing customer satisfaction. Its customer service system also lags below that of other top brokers.
In contrast to its rivals, Zerodha does not provide important informative resources like news alerts and daily reports, which reduces investor attraction. But Nithin Kamath, the company’s founder, is aggressively resolving these problems. The goal of features such as the nudge feature is to provide traders with well-informed tools for making decisions.
One such tool is the killswitch, which is used to stop losses from occurring continuously. Challenges remain despite efforts; Kamath predicts a possible market correction and an ensuing slowdown in growth in the upcoming months. To preserve its reputation in the brokerage sector, Zerodha is still dedicated to improving the customer experience and overcoming these challenges.
Zerodha – Investments
Zerodha has invested in five companies to date.
Below are the details of the Zerodha investment:
Date
Company Name
Funding Round
Amount
March 27, 2024
Subko Coffee
–
–
Aug 10, 2023
Rainmatter Capital
Venture Round
Rs 1,000 crore
May 10, 2023
Castler
Seed Round
$5 million
Dec 1, 2022
RBL Bank
POST-IPO Equity
–
Apr 26, 2022
Actlogica
Seed Round
–
According to various news reports, Zerodha has exited RBL Bank.
It has 75+ branches and partner offices as of March 2024
Over 1+ crore clients place millions of orders every day as of March 2024
It is trusted by over 1.3 crore customers in the Google Play Store as of March 2024
It has 6.4 million active customers as of October 2023
Zerodha – Financials
Zerodha has shown consistent growth in revenue and profit over the last few years. In FY24, the company saw significant growth in revenue and profit, continuing its upward trajectory from FY23.
Particulars
FY24
FY23
FY22
FY21
Revenue
INR 9,994.5 Cr
INR 6,877.1 Cr
INR 4,964 Cr
INR 2,729.6 Cr
Expenses
INR 3,119.3 Cr
INR 2,992.7 Cr
INR 2,165.1 Cr
INR 1,260.2 Cr
Profit after Tax
INR 1,122 crore
INR 2,094 crore
INR 2,907 crore
INR 4,700 crore
Zerodha Financials
Zerodha has announced revenues higher than INR 8,370 crore and profits of INR 4,700 crore for FY24, as shared in a blog post by co-founder and CEO, Nithin Kamath. This marks a 22% increase in revenue and a 62% rise in post-tax profit compared to the INR 6,875 crore in operational revenue and INR 2,907 crore in profit reported for FY23. The company has yet to file its audited annual report.
In FY23, Zerodha reported a 38.5% increase in revenue, reaching INR 6,875 crore. Profits also grew by 39%, totaling INR 2,907 crore for the year.
Zerodha Revenue:
Zerodha’s revenue has consistently increased over the last few years, with a notable spike in FY24. Revenue from operations saw substantial growth, and other income showed a significant rise in FY24 compared to FY23.
Particulars
FY24
FY23
Revenue from operations
INR 9,372.2 crore
INR 6,832.8 crore
Other income
INR 622.3 crore
INR 44.3 crore
Total revenue
INR 9,994.5 crore
INR 6,877.1 crore
In FY24, Zerodha’s total revenue increased by approximately 45% compared to FY23. The main contributor was the revenue from operations, but other income also saw a significant rise.
Zerodha Expenses:
Zerodha’s expenses grew in FY24 compared to FY23, but the company’s profit still grew substantially. The biggest increase was seen in operational costs, which rose as revenue increased.
Particulars
FY24
FY23
Total expenses
INR 3,119.3 crore
INR 2,992.7 crore
Employee benefit expense
INR 474 crore
INR 623.2 crore
Finance costs
INR 1.9 crore
INR 1.2 crore
Amortization & Depreciation
INR 24.4 crore
INR 20.4 crore
Other expenses
INR 2,619 crore
INR 2,347.9 crore
Zerodha’s expenses increased in FY24, mainly due to higher operational costs, which grew by approximately INR 271.1 Cr compared to FY23.
Zerodha Profit/Loss:
Zerodha’s profit before tax and profit for the year both saw significant growth in FY24. The company’s net profit increased substantially, reflecting the growth in revenue.
Particulars
FY24
FY23
Profit before tax
INR 7,051.7 Cr
INR 3,884.4 Cr
Profit for the year
INR 5,493.4 Cr
INR 2,904.5 Cr
Zerodha’s profit for FY24 saw a notable increase of approximately 89% compared to FY23, reflecting the company’s strong financial performance.
Quick Summary:
Revenue: Significant growth of 45% from FY23 to FY24 (INR 9,994.5 crore in FY24).
Expenses: Operational costs rose with increased revenue, but profit growth outpaced expense increase.
Profit: Net profit increased by 89% in FY24, reaching INR 5,493.4 crore.
Zerodha – Awards
Zerodha won several awards; some of the prominent ones are:
In the second Unicorn Premier League (UPL) tournament, which was played in Bangalore, Zerodha triumphed against Flipkart by a margin of six wickets to win the championship, as per the news report of February 28, 2024.
Nikhil Kamath, the founder of Zerodha, received the 2023 CK Prahalad Next Practice Entrepreneur Award and the Kempegowda 2023 Award.
Nikhil Kamath also won the Entrepreneur of the Year Award at the Economic Times Awards in 2023.
Zerodha – Competitors
Zerodha faces some cutthroat competition in the market. It is competing with other discount brokers like Upstox. Simultaneously, Zerodha also faces serious competition from full-service brokers, which are huge and popular among traders, such as HDFC Securities, Kotak Securities, Motilal Oswal, etc.
Zerodha plans to expand its financial education efforts, with a focus on multilingual tools and resources. The company aims to offer personalized investment solutions using AI, while also broadening its range of ESG and green investment options. Enhancing user experience through improved platform design, exploring blockchain for better transparency and security, and launching initiatives to support underserved communities are key goals for the future.
FAQs
Who are the founders of Zerodha?
The founders of Zerodha are two brothers namely Nithin Kamath and Nikhil Kamath.
What is Zerodha?
Zerodha is a financial service company and a member of NSE, BSE, and MCX providing brokerage facilities to stock market traders. It is an online Discount Broking company.
How Zerodha started?
Zerodha was founded in 2010 by Nithin and Nikhil Kamath. The brothers started the company with the aim of providing low-cost, technology-driven trading solutions. Zerodha’s focus on offering discounted brokerage fees and an easy-to-use platform quickly attracted retail investors, leading to rapid growth in the Indian stock market.
When was Zerodha founded?
Zerodha was launched in 2010.
Who are the Top Competitors of Zerodha?
Zerodha’s top competitors are :
Upstox
SAS Online
IIFL
Finvasia
Angel Broking
Beeline Broking
TradingBells
Karvy Stock Broking
Sharekhan
Motilal Oswal
HDFC Securities
ICICIdirect
How does Zerodha make money, what is Zerodha Revenue Model?
Zerodha generates revenue through its commission and fixed fee structure. Its Rainmatter-led business incubation program also generates revenue through revenue-sharing agreements and equity holdings.
What is Zerodha business model?
Zerodha operates as a low-cost discount brokerage firm, primarily offering online trading services for equities, commodities, and derivatives. It generates revenue through brokerage fees, providing retail investors with access to a wide range of financial instruments via its trading platform, Kite. Zerodha focuses on offering competitive pricing, technology-driven solutions, and educational resources for traders.
What is Discount Broking?
Zerodha works on the idea of discount broking, which means that it charges a reduced commission or low brokerage on the transactions to ideally attract investors to use this platform.
What is Zerodha funding history?
Zerodha has remained bootstrapped since its inception and has not raised any external funding. The company’s growth has been entirely organic, funded by its founders, Nithin and Nikhil Kamath, and its revenue model.
