Discount Broker Comparison

Mavala

Active Member
They were having some issues for last few days ( got messages of slowdown, but api worked ok) and it blowed up with large outage. Yesterday was ok. 5p also has a very stupid home page in their website which unnecessarily starts streaming up all Nifty50 stocks.

Its now mandatory to have your capital divided between multiple brokers, and whenever possible, to have some sort of hedging plan if cannot get out of position. Near EOD its not always possible, but morning there is plenty of time. Only IB is very stable, but even for them i saw an outage once this year for couple of hours in morning.

Hopefully SEBI will make brokers accountable, failure rate is too high. Every month some broker has issue - fyers / upstox / 5p in last few months.
Once a year outage is excellent for IB with given situation of other discount brokers. Is there any loopholes/ disadvantage being with IB compared to others like cost wise ?
 

TracerBullet

Well-Known Member
Once a year outage is excellent for IB with given situation of other discount brokers. Is there any loopholes/ disadvantage being with IB compared to others like cost wise ?
Platform is best - feature wise in terms of ordering options and stability too.

No leverage in stocks is the biggest issue. Fno is better, but they still take higher leverage vs other brokers even for intraday. They have monthly minimum brokerage of 200 else they charge 200 + gst ( waived off if account > 10L ).

Another big issue is how they do quarterly settlement. They dont allow liquidbee workaround in the same way, you have to bring external capital else lose 1 day as they will send you money in morning and then it takes time to get and to send it back. They dont support RTGS. So probably best use case for them is overnight trading in futures or investing.

Quarterly settlement rule from SEBI is really brain dead. They just want everyone to use 3 in 1 accounts. Most brokers have workarounds, but IB does not and they dont make it easier through ill timed and slow funds transfer. Every broker has some issue, so best to divide capital into multiple brokers.

Today again 5p has some issue for their web interface. api seems to be working.
 

bpr

Well-Known Member
Platform is best - feature wise in terms of ordering options and stability too.

No leverage in stocks is the biggest issue. Fno is better, but they still take higher leverage vs other brokers even for intraday. They have monthly minimum brokerage of 200 else they charge 200 + gst ( waived off if account > 10L ).

Another big issue is how they do quarterly settlement. They dont allow liquidbee workaround in the same way, you have to bring external capital else lose 1 day as they will send you money in morning and then it takes time to get and to send it back. They dont support RTGS. So probably best use case for them is overnight trading in futures or investing.

Quarterly settlement rule from SEBI is really brain dead. They just want everyone to use 3 in 1 accounts. Most brokers have workarounds, but IB does not and they dont make it easier through ill timed and slow funds transfer. Every broker has some issue, so best to divide capital into multiple brokers.

Today again 5p has some issue for their web interface. api seems to be working.
qurterly settlement is big issue. one workaround is write far far otm options with zero probablity for one day then close it the nest day ...
 

TracerBullet

Well-Known Member
qurterly settlement is big issue. one workaround is write far far otm options with zero probablity for one day then close it the nest day ...
I have big aversion to un hedged option selling, maybe due to lack of knowledge. Not something i would do anytime soon. Another version probably is to take future position and opposite synthetic future position in options - but that will only work if IB does not give some kind of margin benefit, have not tried it.
For now, i stopped trading with them as i was only testing a 2nd system, but in future, will trade in a group of brokers. So it wont matter as much if 1 of 3 broker is down for a few hours. Its still a hassle to manage all this.

5p settlement worked well, dunno if i got lucky. They did settlement after Friday trading, sent money on saturday and i had a lot of time to send it back. They also support almost-instant funds transfer through RTGS + without manual confirmation, which is nice.
 

bpr

Well-Known Member
I have big aversion to un hedged option selling, maybe due to lack of knowledge. Not something i would do anytime soon. Another version probably is to take future position and opposite synthetic future position in options - but that will only work if IB does not give some kind of margin benefit, have not tried it.
For now, i stopped trading with them as i was only testing a 2nd system, but in future, will trade in a group of brokers. So it wont matter as much if 1 of 3 broker is down for a few hours. Its still a hassle to manage all this.

5p settlement worked well, dunno if i got lucky. They did settlement after Friday trading, sent money on saturday and i had a lot of time to send it back. They also support almost-instant funds transfer through RTGS + without manual confirmation, which is nice.
futures trading cost is high compared to option ...for such things i think it is wasteful
 

cloudTrader

Well-Known Member
They were having some issues for last few days ( got messages of slowdown, but api worked ok) and it blowed up with large outage. Yesterday was ok. 5p also has a very stupid home page in their website which unnecessarily starts streaming up all Nifty50 stocks.

Its now mandatory to have your capital divided between multiple brokers, and whenever possible, to have some sort of hedging plan if cannot get out of position. Near EOD its not always possible, but morning there is plenty of time. Only IB is very stable, but even for them i saw an outage once this year for couple of hours in morning.

Hopefully SEBI will make brokers accountable, failure rate is too high. Every month some broker has issue - fyers / upstox / 5p in last few months.
One day there was a strange instance with 5 Paisa. The order to book profit was placed at 9:17 am from the overnight position but the order got rejected and the reason was that the Market has not opened up for trading. This was the weirdest of all reasons.

This shook the confidence at large and after 5 days of such an instance this fiasco happened. Yesterday too there was login issue for 45 minutes with many clients.
 

cloudTrader

Well-Known Member
It looks like they have not good infrastructure required for the trading scenario which requires millions of hit with in a timestamp. Most of the discount brokers having this issue. :banghead:
Absolutely true and also the technical team is of a mediocre level. The database restart is the last resort which actually should not occur in such financially sensitive arena.
 

Zerodha – Open Paperless Account

Open online account with Zerodha. Free delivery trading and Max Rs 20 for Intraday, F&O, Currency and Commodity Trading. Intraday High leverage with MIS, CO and BO.

Name:Phone:
Email:City:
State:
Are you a day trader?