So, can we take it that you will guarentee that traders in mumbai will never be charged stamp duty retrospectively, unless you open a branch here?
Also, it was your argument before that you were not able to negotiate a better rate with your clearing firm bcoz of low volumes, and that when your volume goes up you will bring it down.
In newspapers articles we can see zerodha among the top brokers in India. So, when do you plan to reduce your charges? When you reach number one? or do traders get get a benefit in the very very near future?
Also, it was your argument before that you were not able to negotiate a better rate with your clearing firm bcoz of low volumes, and that when your volume goes up you will bring it down.
In newspapers articles we can see zerodha among the top brokers in India. So, when do you plan to reduce your charges? When you reach number one? or do traders get get a benefit in the very very near future?
Yes we are doing alright in terms of turnover, but do note that 80% of the turnover that happens today in the markets are in options and not futures. Even at Zerodha, less than 10% of our turnover contribution comes in futures. We are hoping that the reduction in STT will push the trading volumes in future up and will give us the leeway to get this charge reduced.
The other day when gold was down 10%(2 circuits), none of our clients would have faced any issue in terms of margin or in terms of the platform. 40% of the MCX members platform was disabled and 10% of the members went out of business. What I am trying to say is that for us the focus presently is to ensure that we continue to improve on the quality of service, our platforms and everything else. Yes if futures business picks up considerably the rates will drop, but what is important for us to be able to do is to ensure that any serious market volatility doesn't affect our business at all. Hasn't happened in the last 3 years, but there hasn't been any crazy volatility also(other than the 10% movement in gold the other day). But we know that the day nifty cracks 10%, we are ready for it.
Btw, what is the scene with the markets, just when it looked like it will go make an alltime high, it has broken...