Ok now moving from Zerodha to any other Discount Broker we will save money on the brokerage leg, save money on the turnover charge assuming it is less than Zerodha.
But in stamp duty leg we might make loss.
Lets understand the stamp duty difference.
Most of the other brokers charge 0.002% stamp duty.No other discount broker has replicated the stamp duty model that Zerodha has.
For futures positions stamp duty comparison looks like this.
I have started with 5 lakh as turnover because if you buy&sell 1 lot nifty your turnover will be around apprx 5 lakh. So the minimum is 5 lakh.
Point to note unless your daily average turnover is more than 25 lakh you are loosing money on stamp duty on Zerodha and vice versa. This is true for swing traders who makes 1 or 2 trades every now and then.
But the overall impact is less.
This probably is the reason why Zerodha is not reducing their turnover charges.
Similarly for Options turnover comparison we will have the same chart but we will have to start with a smaller turnover value to keep it in the context.
AS you can see again unless your daily turnover is more than 25 lakh you are loosing money with Zerodha. In option 25 lakh turnover is significant unlike futures.
Conclusion:
Zerodha's 0.01% is five times higher than 0.002%.
For inactive traders or traders with less volume will benifit if they move to other discount brokerage. This is especially valid in case of option rather than futures.
For active traders zerodha's Stamp duty cap is a boon.