Zerodha is India’s top Discount broker that allows its clients to trade in Equity and Commodities. Equity and commodity are two different asset classes in which you can trade as well as Invest. Know what are equity and commodities in detail.
Zerodha is India’s largest discount broker with over 3.4 million active clients. Zerodha allows its clients to trade in Equity, Commodity, and Currency. It also allows you to trade in Derivatives like Futures and Options in these asset classes.
The term ‘Equity’ means stock in any company. Equity shares are a category of shares that companies issue. Equity shares and preference shares are the two types of shares that can be traded. Zerodha allows you to trade and invest in Equity (Shares) that are listed on the NSE (National Stock Exchange) as well as BSE (Bombay Stock Exchange). These are the two exchanges from where you can buy and sell shares.
Zerodha allows you to buy shares in CNC (Cash And Carry) as well as Intraday or MIS (Margin Intraday Square off). In intraday trades, you have to square off your position within the same trading day.
Equity is usually used as an investment avenue by investors who buy and hold shares of companies. Zerodha also allows trading in Equity Derivatives such as Stock Options and Stock Futures. These are separate trading tools that Zerodha offer to its users. In derivatives, the underlying asset is not exchanged. Instead, the buyer and seller of the derivatives contract trade these on an agreement to exchange the underlying on a certain date and at a certain price.
Commodities are traded similar to equities but they are altogether different from Equity. Commodities include Gold, Silver, Aluminium, Crude Oil. These are traded in derivatives such as Futures and Options. These cannot be bought and stored in your Demat for the long term. As every derivatives contract has an expiry date on which the holder of the contract has to take or give delivery of the underlying. Unlike Equities, these are used for mostly speculation purposes by traders.
In Zerodha you can trade in commodities in Intraday (MIS) or take overnight positions using (NRML) orders. These commodities are traded on the MCX (Multi Commodity Exchange). Zerodha is a member of the MCX hence the users of Zerodha can easily trade in commodities.
To start trading in Commodities you have to enable the commodities segment in Zerodha which costs Rs 100. This can be either done at the time of account opening or at any given point in time. Some documents like Income proof are to be submitted while requesting the Commodities segment.
Zerodha offers both Equity and Commodities trading to its clients. The brokerage charges for trading in commodities are also reasonable at Rs 20 per order. To activate the Derivatives and Commodities segment you need to submit some documents in order to verify your income and risk-taking capacity. Some of these documents include ITR, Salary Slip, Form16, Demat Holding statement, etc. Once you submit any one of the following, you can trade in Equity and commodities.
Zerodha is one of the best discount brokerage firm based in India. It provides a wide range of financial services to investors and traders.
Realized P&L statement is the total amount of profit or loss you have made with each trade in any segment is reported here. It also includes the brokerage charge that you might have to pay.
An unrealized P&L statement involves the active trades currently running under your portfolio, which showcases how much profit or loss you are currently making in those trades.
Discount brokers have gained a lot of popularity in the past couple of years. Zerodha is currently India's largest and most trusted discount broker which is also the best option for beginners. It has all the necessary qualities required for a good broker like low commissions, low-maintenance charges, high-quality trading terminal, etc.
When talking about the best stock broker in India, we cannot rule out Zerodha. It is the market leader in bargain stockbroking, is premised in Bengaluru, and accounts for more than 15% of total retail trading activity in the country. Mr. Nitin Kamath formed the leading brokerage firm in 2010 Kamath, and it now has a customer base of over 6 million.
To login Zerodha Kite, you have to enter your Login ID and password. Before that, you must have a demat and trading account with Zerodha to have complete access to its stock trading platform.
You might have read about different stock brokers in India. Here I'll review two of the most popular discount brokers in India: 5Paisa v/s Zerodha Comparison.
Head into your Zerodha Streak account, then click on the create option, following which enter all the fields of your choice. Click on the finish button to execute the scrips in your trading strategy.
DP charges apply if you sell shares from your demat account. This is an income source for depositories (CDSL or NSDL) as well as its Depository participants (Stock brokers). DP charges are applicable only one time per scrip in a single day irrespective of the quantity you actually sell.
Zerodha was incorporated in the year 2010 by Nitin Kamath, an entrepreneur. The idea behind the firm was to offer high quality services to a huge chunk of population at low cost, and Zerodha is very well known as pioneer of discount model in India.
GTT in Zerodha is an acronym for the Good Till Trigger feature offered by Zerodha that lets the investor select a trigger price and a set of predetermined conditions that as and when are met, an order is placed automatically.