Discount Broker Comparison

[cloudTrader]

There is difference. When Trades are cleared through Professional Clearing Members ( PCM ) , Stock Brokers keep maximum client funds and securities with PCM . PCM cannot trade like Stock Broker. Stock Broker who can do prop trade and can also take exposure on intra day basis from clients funds , as margin reporting is done on the end of the day margin requirement.

Stock Broker doing Prop and also clearing is generally less safer compared to Stock Broker who clears through PCM and also does not do Prop Trading.

How to know which broker is involved in Prop Trading & which broker stays away from Prop Trading ?

Thanks.

 

[mbhardwaj82]

Leonid : I think they have to write in their KYC form and inform clients at the time of account opening.

 

[mbhardwaj82]

Mewar Lion bhai, If we go by your logic than broker who keep money with PCM are more risky. As PCM give intraday additional limits and charge interest to brokers. In this case, broker will never keep all clients funds with PCM and can also use clients funds for personal use where as in case of companies doing clearing and trading have to keep lot more than client funds with NSE else their trading terminal will close once TCM hit 80% of their availble funds with NSE.
TCM mean you can give trading and clearing services both to client and also clearing services to brokers and FII just like PCM. They have to keep more margin with exchanges unlike brokers who use PCM or TCM margin. Broker may use client funds if they are using PCM or TCM for intra day limits as exchnage do not check broker limits during intraday trading ? .. bhai kuch samaj nahe ayay .. pl share your super gyan ...lol
also, SEBI is coming with enhanced supervision for more strict compliance on brokers and clearing companies. so will be more safe now

 

[cloudTrader]

Leonid : I think they have to write in their KYC form and inform clients at the time of account opening.

I opened accounts with discount brokers of of the likes of RKSV, SAS , TSO and a couple of others but never I found any such information in the documents provided by them. I came to know about their prop trading through Traderji only.

 

[OneThatGotAway]

Really ? why worry unless u are above 15 lakhs ....

Investor’s fund

The stock exchanges, BSE and NSE, collect some money from its members i.e. the brokers. It is Rs. 0.15 per Rs. 1 lakh gross turnover of the broker. On a quarterly basis, the exchange adds 2.5% of the listing fees collected by the exchange. All this money is pooled up and an Investor Protection Fund is created. There are trustees to look after the fund.

When an investor is entitled to receive a claim, it is paid from this fund. There are certain norms for how much and when will the money be paid, but the investor does not bear a complete loss of his assets. For example, the maximum claim limit per investor per defaulter is Rs. 15 lakhs.

just keep an eye on complaint against broker and u be fine
https://www.nseindia.com/invest/content/arbitration_status.htm

*In process just got to know your fav discount broker has 219861 active client lol
** winner of total Active client is ICICI SECURITIES LIMITED lol
Last updated on 30-Jun-2017
Name of Broker............................................Active clints
ANGEL BROKING PRIVATE LIMITED ... 255939
ZERODHA ..................................................219861
SHAREKHAN LTD........................................396349
RKSV SECURITIES INDIA ...........................21467
FINVASIA SECURITIES .................. ............1048
SAMCO .........................................................19692
ICICI SECURITIES LIMITED.......................654031

And thats saturday :xD
Total number of active clients for all the stock brokers of the exchange 6349777 [63 lakhs..]

 

[bpr]

I am always skepitical when a broker says they are not doing proprietary trading...
Sometimes they do this through some sister concerns and separate from main entity but the risk is same.

Just something to be aware of...

 

[headstrong007]

Really ? why worry unless u are above 15 lakhs ....


And thats saturday :xD
Total number of active clients for all the stock brokers of the exchange 6349777 [63 lakhs..]

Out of those 63 lakh many active traders have 3-4 accounts, acutal number is much less. Similar calculation is for demats, they only count total number of demats which is less than 2% of population. If count by by person It'll surely reduce to less than 1%. In USA it's over 35%.
For your update, SEBI increases 15 lakh limit to 25 lakh now..

 

[bpr]

upstox pro guest login is very nice feature ...will give them a lot of free advertisement ...

 

[bpr]

Fyers web is now number 1 platform kite upstox is history .....assuming fyers did a good job of integrating the tradingview api ...

 

[simplebuthard]

Fyers web is now number 1 platform kite upstox is history .....assuming fyers did a good job of integrating the tradingview api ...

Let me know why?

Can you write something about their features ?