Help needed in setting up my trading account

#1
Hi,

I am looking to setup my first demat and trading account. After much research, I have finally zeroed in on setting Zerodha as my trading account because of the low brokerage and very good reviews.

I'm planning to do long term investments, meaning, I will buy stocks in small amounts for the next 5 years and retain them for about 15-20 years and use that as my retirement benefit. Intraday might happen in very small amounts, say about 10 transactions/year.

Also, I do not need those charting and other stuff.

Will Zerodha serve my purpose or some other brokerage house help.

I have a bank account with HDFC. Will it better to opt for demat+trading account from Zerodha or Demat account from HDFC and Trading account alone form Zerodha.
Also, Zerodha charges Rs.9/transaction for transfering funds from bank account to trading account. Is it safe to hold lot of money in the trading account and is there any way to avoid this charge
 
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Tlahuicole

Well-Known Member
#4
aj4567,

Welcome to the trading den first of all, if you are looking for long term investments practically any discount broker will work out. I have tried Hdfcsec, India bulls sec and Zerodha, but since I am a day trader I prefer zerodha and its good for long term investments too. When I joined zerodha they did not have demat services on their own and hence we had to get demat services from IIFL.

Please verify with them whether it is the same now a days too before opening the account with them.

Regarding trading platform, it won't affect that much to you if you are an EOD chart investor but bulk investors who wait for price retracements need to have charting program and data feed, hope you are not interested in this. If you are interested, reply here and I will guide you on that as much as possible with my limited knowledge.
 
#5
aj4567,

Welcome to the trading den first of all, if you are looking for long term investments practically any discount broker will work out. I have tried Hdfcsec, India bulls sec and Zerodha, but since I am a day trader I prefer zerodha and its good for long term investments too. When I joined zerodha they did not have demat services on their own and hence we had to get demat services from IIFL.

Please verify with them whether it is the same now a days too before opening the account with them.

Regarding trading platform, it won't affect that much to you if you are an EOD chart investor but bulk investors who wait for price retracements need to have charting program and data feed, hope you are not interested in this. If you are interested, reply here and I will guide you on that as much as possible with my limited knowledge.
Thanks for the support...
1)Yea,They do not have their own Demat service and it is from IIFL..Is the multiple integrations bamk-demat-trading acc going to be a problem. I thought of having HDFC as my Demat account, but they have lots of hiden charges... Zerodha's fees seem to be the best I think..
Would you recommend Zerodha ?

2) I won't be doing intra-day trading for the next few 2 years untill I learn the trade completely. Also, I'm an IT professional, so the charting feature definitely wont help me as I will be working monday to friday 9A.M-7P.M:D
 

Cubt

Well-Known Member
#7
Am using zerodha since 2010, I would recommend it if u r trading regularly or else it doesn't make much difference
 

mastermind007

Well-Known Member
#8
Hi,

I am looking to setup my first demat and trading account. After much research, I have finally zeroed in on setting Zerodha as my trading account because of the low brokerage and very good reviews.

I'm planning to do long term investments, meaning, I will buy stocks in small amounts for the next 5 years and retain them for about 15-20 years and use that as my retirement benefit. Intraday might happen in very small amounts, say about 10 transactions/year.

Also, I do not need those charting and other stuff.

Will Zerodha serve my purpose or some other brokerage house help.

I have a bank account with HDFC. Will it better to opt for demat+trading account from Zerodha or Demat account from HDFC and Trading account alone form Zerodha.
Also, Zerodha charges Rs.9/transaction for transfering funds from bank account to trading account. Is it safe to hold lot of money in the trading account and is there any way to avoid this charge
Zerodha is very good for Intraday traders and reasonably high volume traders. Unless they also have a product tailormade for low volume folks, you will be in wrong place.

If that is your investment strategy, you will have to be very very careful with scrip selection. Buy & Hold (as your strategy is normally referred to) is not as good as it was few decades back. Even very reliable Gold is slipping off that pedestal and emerging as speculator's paradise. Hardly

Virtually any trading account will do, what you need to focus on is Depository charges. DP is where your purchased scrips get held. Although legally permissible, it is impractical (cost wise) to keep DP separate from Trading.
Charges for transferring to-and-from are very high.

Look for Broker who will give you DP at zero cost or bare minimal. Negotiate on that. Best low frill setup I have seen in India is that of Sharekhan although brokerage for Intraday does get expensive
 

Mr.G

Well-Known Member
#10
It's not as easy as you think it is. Every second you have an open position you are exposed to market risk. If you invest in reliable companies, how will you know which companies are reliable? And for fundamentals to come in play you in decades. Investing in market for such short time, even bluechips won't save you from short term fluctuations. Learn either fundamental or technical analysis. Or else don't put money in the market. I'm a fundamental analyst and fund manager.
 

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