Moving towards the world of high technological advancement there is a vast development all around. With the growing need of internet, today most of the trading business is performed on online platforms. This has given rise to new series of brokers known as Discount Brokers. A Discount Broker is a stock broker who provides trading services to their clients in purchasing and selling stocks, commodities, currency etc at a minimum brokerage rates as compared to other brokers. The brokerage charges are based on the volume of the trade.
Discount broking does not consist of advisory services, but they provide very competitive brokerage rates with a good blend of customer services. Unlimited trading in selecting segments and exchanges are provided here. They offer online trading platform which attracts a large number of self directed investors. Basically the brokers are paid fixed monthly fees rather than commission. Discount broking is growing famous among those who want do their trading as per their wish by accessing to broadband facilities. Discount broking offers very low brokerage plan for their investors. Few attractive brokerage plans like monthly brokerage plan, per trade plan, each segment plan are offered by the Discount broking.
Hence choices of selection for plans are offered as per requirement of the investors. Discount broking is favorable for intraday traders. Major discount brokers are Zerodha, RKSV, SAS Online, and Trade smart online. Discount brokers operate their work on complete online basis this help in providing competitive rates. Discount brokers provide broking account without their physical presence. Before performing the task of investing one should know about the categories of discount brokers. First category is about brokers charging fixed price per trade. A fixed charge is assigned for brokerage as per the volume of trade they perform.
There charges are just Rs9 to Rs20/-per trade. Second category is about brokers charging fixed monthly fees for unlimited trades. There is another very interesting discount broker charging fixed monthly fees and offers on unlimited trading in selecting segment and exchanges they provide. Depending upon the exchanges and services offered by the firm Discount broking has brought unlimited competition in the share market. Trading with Discount Brokers a huge clients are fully satisfied by saving a lot of brokerage. Hence make a smart choice of trading with Discount brokers.