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RKSV Kalaari capital investment – Insiderview

February 12, 2016March 17, 2016 comparebro 1 Comment

Fellow traders & investors,

Read the news on RKSV securities raising Rs 27 crores from Kalaari Capital today morning on Economic Times. Being a CA who follows all the brokerages closely, I took some effort to go through the filings, here is quick overview of the deal:

Firstly, the news article reads 50,000 clients. It is not correct, it is lesser than 10,000 clients as per the latest list available with the exchange. Check this post with all brokers and their active clients.
Rs 27 Crores of investment has lead to dilution of around 18% stake in the business. So RKSV securities has been valued at around Rs 150 crores.
The revenue from operations for the last year was around Rs 7.5 crores. The net loss for the business in the last two financial years FY 2014-15 and FY 2013-14, have been Rs 7 Lakhs and Rs 73 Lakhs respectively.

I guess it was the need of the hour for them to raise some capital, with the losses over the last two years. It is very encouraging though that VC investors are now looking at startups in the capital markets. Fundsindia (around Rs 80 crores), Scripbox (Rs 20 crores), Samco/Indian trading league (Rs 20 crores), and now RKSV (Rs 27 crores). Most of these investments were committed before the recent bloodbath on the stock markets. It would be interesting to find out from the investors if they would have committed capital with so much turmoil around.

Wishing the team at RKSV securities all the best. Also hoping that they spend the money wisely and not just blow it all out on advertising like Samco securities.

Don’t forget to visit http://comparebrokerages.in/.

Empowering Indian retail investors/traders,

Comparebrokerages

Active clients – Broker wise in India

January 13, 2016March 17, 2016 comparebro 3 Comments

Fellow traders & investors,

Find following the list of active clients of all the brokerage firms in India – this is as of NOV 2015. This list is for equity clients only and is available on NSE website.

Active client = 1 trade in that particular financial year.

Visit our website http://comparebrokerages.in/ to compare the popular ones.

1	ICICI SECURITIES LIMITED	567188
2	HDFC SECURITIES LTD.	384736
3	SHAREKHAN LTD.	341809
4	INDIA INFOLINE LTD.	271383
5	KOTAK SECURITIES LTD.	261482
6	KARVY STOCK BROKING LTD.	170130
7	ANGEL BROKING PRIVATE LIMITED	168344
8	MOTILAL OSWAL SECURITIES LTD.	160831
9	GEOJIT BNP PARIBAS FINANCIAL SERVICES LIMITED	160718
10	AXIS SECURITIES LIMITED	146518
11	RELIGARE SECURITIES LTD.	124826
12	SBICAP SECURITIES LIMITED	122433
13	RELIANCE SECURITIES LIMITED	107613
14	EDELWEISS BROKING LIMITED	75625
15	SMC GLOBAL SECURITIES LTD.	64146
16	NIRMAL BANG SECURITIES PVT. LTD.	60366
17	ANAND RATHI SHARE AND STOCK BROKERS LIMITED	58505
18	VENTURA SECURITIES LTD.	57598
19	ZERODHA	46052
20	INDIABULLS VENTURES LTD.	40631
21	ADITYA BIRLA MONEY LIMITED	40525
22	BMA WEALTH CREATORS LIMITED	36782
23	BONANZA PORTFOLIO LTD.	34015
24	INTEGRATED ENTERPRISES (INDIA) LIMITED	33836
25	MASTER CAPITAL SERVICES LIMITED	33012
26	SHRIRAM INSIGHT SHARE BROKERS LIMITED	31400
27	JM FINANCIAL SERVICES LIMITED	27314
28	NETWORTH STOCK BROKING LTD.	25024
29	EDELWEISS FINANCIAL ADVISORS LIMITED	24512
30	LKP SECURITIES LTD.	22274
31	SHRI PARASRAM HOLDINGS PVT. LTD.	21938
32	IDBI CAPITAL MARKET SERVICES LTD.	21321
33	ASIT C MEHTA INVESTMENT INTERRMEDIATES LTD.	21101
34	GLOBE CAPITAL MARKET LIMITED	20092
35	JHAVERI SECURITIES LIMITED	19996
36	EUREKA STOCK & SHARE BROKING SERVICES LIMITED	18575
37	SUSHIL FINANCIAL SERVICES PRIVATE LIMITED	18209
38	ARIHANT CAPITAL MARKETS LIMITED	17948
39	TRADEBULLS SECURITIES (P) LTD.	17618
40	MONARCH PROJECT & FINMARKETS LIMITED	17062
41	ALANKIT ASSIGNMENTS LTD.	16721
42	TRUSTLINE SECURITIES LIMITED	16459
43	WAY2WEALTH BROKERS PRIVATE LIMITED	15795
44	SWASTIKA INVESTMART LIMITED	15113
45	STEEL CITY SECURITIES LTD.	15038
46	EMKAY GLOBAL FINANCIAL SERVICES LIMITED	14129
47	ASHIKA STOCK BROKING LTD.	14110
48	ISE SECURITIES & SERVICES LIMITED	12437
49	PRABHUDAS LILLADHER PVT. LTD.	12253
50	JAINAM SHARE CONSULTANTS PRIVATE LIMITED	11863
51	ARCADIA SHARE & STOCK BROKERS PRIVATE LIMITED	11672
52	BGSE FINANCIALS LIMITED	11650
53	INDITRADE CAPITAL LIMITED	11333
54	KIFS SECURITIES PRIVATE LIMITED	11009
55	R K GLOBAL SHARES & SECURITIES LIMITED	10356
56	PCS SECURITIES LTD.	10075
57	RKSV SECURITIES INDIA PRIVATE LIMITED	9842
58	FAIRWEALTH SECURITIES LIMITED	9687
59	GUINESS SECURITIES LIMITED	9642
60	PHILLIPCAPITAL (INDIA) PVT. LTD	9632
61	STANDARD CHARTERED SECURITIES (INDIA) LIMITED	9351
62	DBFS SECURITIES LIMITED	9303
63	VNS FINANCE & CAPITAL SERVICES LTD.	9131
64	SURESH RATHI SECURITIES PRIVATE LIMITED	8946
65	C.D. EQUISEARCH PVT. LTD	8734
66	DESTIMONEY SECURITIES PRIVATE LIMITED	8724
67	HEDGE EQUITIES LIMITED	8689
68	SHREE BAHUBALI INTERNATIONAL LTD.	8531
69	INTIME EQUITIES LIMITED	8508
70	MANSUKH SECURITIES & FINANCE LIMITED	8310
71	ADROIT FINANCIAL SERVICES PRIVATE LIMITED	8173
72	SSJ FINANCE & SECURITIES PVT. LTD.	7942
73	INDIANIVESH SECURITIES PVT. LTD.	7877
74	IFCI FINANCIAL SERVICES LIMITED	7626
75	CAPSTOCKS & SECURITIES (INDIA) PRIVATE LIMITED	7312
76	ASE CAPITAL MARKETS LTD.	7294
77	MICROSEC CAPITAL LIMITED	7012
78	PACE STOCK BROKING SERVICES PRIVATE LIMITED	7000
79	COIMBATORE CAPITAL LIMITED	6926
80	LSE SECURITIES LIMITED	6852
81	TATA SECURITIES LIMITED	6114
82	PRUDENT BROKING SERVICES PRIVATE LIMITED	6030
83	MUTHOOT SECURITIES LTD.	5981
84	CONSORTIUM SECURITIES PRIVATE LTD.	5795
85	INDBANK MERCHANT BANKING SERVICES LTD.	5740
86	PEERLESS SECURITIES LIMITED	5739
87	SAMCO SECURITIES LIMITED	5697
88	SYKES & RAY EQUITIES (I) LTD.	5628
89	SOUTH ASIAN STOCKS LTD.	5617
90	B N RATHI SECURITIES LIMITED	5593
91	SPFL SECURITIES LIMITED	5369
92	ELITE WEALTH ADVISORS LIMITED	5118
93	ATS SHARE BROKERS PRIVATE LIMITED	4942
94	BANSAL FINSTOCK PRIVATE LIMITED	4717
95	CHOLAMANDALAM SECURITIES LIMITED	4587
96	KUNVARJI FINSTOCK PVT. LTD.	4495
97	ACUMEN CAPITAL MARKET (INDIA) LTD	4460
98	SYSTEMATIX SHARES & STOCKS (INDIA) LTD.	4448
99	AMRAPALI AADYA TRADING & INVESTMENT PRIVATE LIMITED	4438
100	SKP SECURITIES LTD.	4424
101	MATALIA STOCK BROKING PVT. LTD.	4336
102	INDIRA SECURITIES PRIVATE LIMITED	4287
103	NAVIA MARKETS LTD.	4060
104	ALICE BLUE SECURITIES	4050
105	EXCLUSIVE SECURITIES LTD.	3911
106	DYNAMIC EQUITIES PRIVATE LIMITED	3808
107	NINE STAR BROKING PRIVATE LIMITED	3735
108	LAKSHMISHREE INVESTMENT & SECURITIES PVT. LTD.	3709
109	VERTEX SECURITIES LTD.	3544
110	ANS PVT. LTD.	3542
111	SW CAPITAL PRIVATE LIMITED	3528
112	VOGUE COMMERCIAL COMPANY LIMITED	3510
113	WEALTH MANTRA LIMITED	3464
114	SATCO CAPITAL MARKETS LIMITED	3321
115	ABHIPRA CAPITAL LTD.	3230
116	JUST TRADE SECURITIES LIMITED	2936
117	INDIA ADVANTAGE SECURITIES PRIVATE LIMITED	2913
118	ITI FINANCIAL SERVICES LTD.	2889
119	DIMENSIONAL SECURITIES PVT. LTD	2863
120	HSE SECURITIES LTD.	2849
121	KAYNET FINANCE LIMITED	2831
122	SUGAL & DAMANI SHARE BROKERS LIMITED	2701
123	SHILPA STOCK BROKER PRIVATE LIMITED	2693
124	CHOICE EQUITY BROKING PRIVATE LIMITED	2653
125	EASTERN FINANCIERS LTD	2632
126	KANTILAL CHHAGANLAL SECURITIES PRIVATE LIMITED	2619
127	NG RATHI INVESTRADES PRIVATED LIMITED	2611
128	MPSE SECURITIES LIMITED	2587
129	ASTHA CREDIT & SECURITIES (P) LTD	2567
130	MANUBHAI MANGALDAS SECURITIES PVT. LTD.	2560
131	DANI SHARES & STOCKS PRIVATE LIMITED	2520
132	INTEGRATED MASTER SECURITIES PVT. LTD.	2453
133	FRR SHARES AND SECURITIES LIMITED	2452
134	ASHLAR SECURITIES PRIVATE LIMITED	2441
135	DB (INTERNATIONAL) STOCK BROKERS LTD.	2394
136	JKB FINANCIAL SERVICES LIMITED	2222
137	RR EQUITY BROKERS PVT. LTD.	2217
138	NORTHEAST BROKING SERVICES LTD.	2107
139	NJ INDIA INVEST PRIVATE LIMITED	2058
140	ORION CAPITAL AND DEBT MARKET	2056
141	TRADESWIFT BROKING PRIVATE LIMITED	2025
142	FORTUNE CAPITAL SERVICES PRIVATE LIMITED	1807
143	ALMONDZ GLOBAL SECURITIES LTD.	1785
144	ORTEM SECURITIES LIMITED	1778
145	GOGIA CAPITAL SERVICES LIMITED	1756
146	TRADEWELL SECURITIES LTD.	1589
147	RAGHUNANDAN CAPITAL PRIVATE LIMITED	1568
148	KALPATARU MULTIPLIER LTD.	1552
149	FORTUNE FISCAL LTD	1541
150	PATERSON SECURITIES PRIVATE LIMITED	1506
151	F6 FINSERVE PRIVATE LIMITED	1481
152	BALJIT SECURITIES PVT. LTD.	1448
153	GREENBUCKS SECURITIES PRIVATE LIMITED	1417
154	ACHIIEVERS EQUITIES LIMITED	1404
155	EDELWEISS SECURITIES LIMITED	1397
156	SKI CAPITAL SERVICES LTD.	1338
157	KARUNA FINANCIAL SERVICES PVT. LTD	1309
158	EAST INDIA SECURITIES LTD.	1302
159	RTG SHARE BROKING LIMITED	1286
160	BEZEL STOCK BROKERS PRIVATE LIMITED	1255
161	BERKELEY SECURITIES LIMITED	1235
162	FAST CAPITAL MARKETS LTD.	1182
163	INDOVISION SECURITIES LIMITED	1175
164	SUNFLOWER BROKING PVT. LTD.	1154
165	FORT SHARE BROKING PRIVATE LIMITED	1151
166	COMPOSITE SECURITIES LTD.	1145
167	PEE AAR SECURITIES LIMITED	1089
168	VGP PORTFOLIO	1066
169	MEHTA EQUITIES LIMITED	1059
170	INDO THAI SECURITIES LTD.	1012
171	TR CAPITAL LIMITED	1008
172	MERITS CAPITAL MARKET SERVICES PVT. LTD.	1007
173	BADJATE STOCK AND SHARES PRIVATE LIMITED	976
174	KUMAR SHARE BROKERS LTD.	925
175	MAXGROWTH CAPITAL PRIVATE LIMITED	912
176	SHREEPATI HOLDINGS & FINANCE PRIVATE LIMITED	890
177	TRANSPARENT SHARES AND SECURITIES PRIVATE LIMITED	882
178	SKUNG TRADELINK LIMITED	793
179	WELLINDIA SECURITIES LIMITED	779
180	URJA INVESTMENT PVT. LTD.	778
181	VEDIKA SECURITIES (P) LTD	764
182	VACHANA INVESTMENTS PRIVATE LIMITED	678
183	PRL STOCK & SHARE BROKERS PVT. LTD.	656
184	ROONGTA RISING STOCK PRIVATE LIMITED	652
185	VISHWAS FINCAP SERVICES PRIVATE LIMITED	594
186	ACTION FINANCIAL SERVICES (INDIA) LIMITED	594
187	COMFORT SECURITIES LIMITED	593
188	BOB CAPITAL MARKETS LIMITED	557
189	FINVASIA SECURITIES PRIVATE LIMITED	524
190	AJMERA ASSOCIATES LTD.	485
191	INTELLECT STOCK BROKING LIMITED	438
192	SHREE TISAI CONSULTANT PRIVATE LIMITED	425
193	FIRST GLOBAL STOCKBROKING PVT.LTD.	419
194	I VENTURES CAPITAL PRIVATE LIMITED	399
195	AXIS CAPITAL LIMITED	395
196	INTERACTIVE BROKERS (INDIA) PRIVATE LIMITED	367
197	MONEYPLEX SECURITIES PRIVATE LIMITED	339
198	PRRSAAR	333
199	KARMIC STOCK BROKING PRIVATE LIMITED	329
200	SHRIAM FINANCIAL PRIVATE LIMITED	321
201	BHAIJEE PORTFOLIO LIMITED	299
202	SAS BROKING PRIVATE LIMITED	279
203	CAPITAL WIZARD STOCK BROKING PVT. LTD.	252
204	MANALI TRADING & HOLDINGS PRIVATE LIMITED	251
205	PADMAKSHI FINANCIAL SERVICES LIMITED	250
206	KEYNOTE CAPITALS LTD.	247
207	DIVYA PORTFOLIO PRIVATE LIMITED	245
208	UBS SECURITIES INDIA PVT. LTD.	232
209	SAMURAI SECURITIES PRIVATE LIMITED	187
210	REFLECTION INVESTMENTS	185
211	FLOURISH FINCAP PVT LTD	176
212	TIME CAPITAL LTD.	160
213	BNK SECURITIES PVT.LTD.	148
214	MOONGIPA INVESTMENTS LIMITED	143
215	INFINITY.COM FINANCIAL SECURITIES LIMITED	124
216	PAN SECURITIES LIMITED	114
217	RELIGARE CAPITAL MARKETS LIMITED	112
218	PARIM FINSERV	104
219	FINCAP PORTFOLIO LIMITED	101
220	COMPUACTION FINANCIAL SERVICES PVT. LTD.	97
221	SAMRIDHI STOCKS PVT. LTD.	68
222	SRM SECURITIES PRIVATE LIMITED	58
223	ENRICH FIN & SECURITIES LTD.	58
224	NIRMAL BANG EQUITIES PRIVATE LIMITED	52
225	NORD FOREX INDIA PVT. LTD.	46
226	GOLDSTREET SECURITIES LIMITED	45
227	DJS STOCK AND SHARES LTD.	35
228	QUANT SECURITIES PRIVATE LIMITED	34
229	BURGEON SECURITIES	31
230	GOOD FORTUNE CAPITALS PRIVATE LIMITED	30
231	ADVENTURES INDIA FINANCIAL SERVICES LIMITED	28
232	KORP SECURITIES LTD	23
233	ANGEL SECURITIES LTD	20
234	OPG SECURITIES PVT. LTD.	19
235	ICICI BANK LTD.	7
236	PASSION STOCK BROKING PRIVATE LIMITED	6
237	CREATIVE GLOBAL STOCK BROKING PRIVATE LIMITED	4
238	ORION STOCKS LIMITED	3
239	KOTAK MAHINDRA BANK LTD.	1
240	TRANSGLOBAL SECURITIES LTD.	1
241	BANSAL SHAREVEST SERVICES LTD	1
242	ICICI SECURITIES PRIMARY DEALERSHIP LIMITED	1
243	UNICON SECURITIES PVT. LTD.	0
244	MAX PLANWEALTH SECURITIES LIMITED	0
245	FIN BRAINS SECURITIES (INDIA) LTD.	0
246	STOCK HOLDING CORPORATION OF INDIA LTD	0
247	DREAMS BROKING PRIVATE LIMITED	0
248	CLICK2TRADE CAPITAL LIMITED	0
249	HDFC BANK LTD.	0
250	ZERODHA SECURITIES PRIVATE LIMITED	0
251	MNS SECURITIES LTD.	0
252	ORIENT CAPITAL MARKETS PVT.LTD.	0
253	ANAND RATHI FINANCIAL SERVICES LIMITED	0
254	ALKA SECURITIES LTD	0
255	AXIS CAPITAL MARKET (INDIA) LIMITED	0
256	IL&FS SECURITIES SERVICES LIMITED	0
257	EDELWEISS CAPITAL LTD.	0
258	BASANT SHARE AND STOCK BROKING PVT. LTD.	0
259	SHREYAS STOCKS PRIVATE LIMITED	0
260	ROYAL INTERNATIONAL SHARES PRIVATE LIMITED	0
261	FULLERTON SECURITIES & WEALTH ADVISORS LIMITED	0
262	INDIABULLS BROKERAGE LIMITED	0
263	MAHESH INVESTMENTS	0
264	ORIENTAL CAPITAL MARKETS LTD.	0
265	KOTAK MAHINDRA SECURITIES LTD.	0
266	ICICI WEB TRADE LTD	0
267	INDIAN FINANCE GUARANTY LTD.	0
268	M G CAPITAL SERVICES LTD.	0

Empowering Indian retail investors/traders,

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Orion broking bankruptcy – lesson to learn!

September 11, 2015March 23, 2016 comparebro 2 Comments

orion

Fellow traders & investors,

Has been a while since I wrote a post. Writing this to reiterate the lessons to learn while choosing a broker. I had written this post when Unicon securities went bankrupt a while back, saying how we should not go with any broker who seems willingly wanting to violate rules and regulations.

Orion broking had its primary website as : http://www.orionbroking.com/ offering brokerage services in both Equity and Commodity. The company which is based out of Coimbatore, the promoters are currently underground. Cops are investigating the case now, check this news article.

Have interacted with the promoters a few times, and they for sure are definitely not crooks. Their business model was to entice clients with extreme amounts of leverage. Trade with Rs 2000 for 1 lot of Nifty and Rs 3000 for Bank nifty. In commodities they would give any leverage that you ask for, even let you trade the big gold contract with less than Rs 5000 in the account. The website doesn’t really talk about these leverages anywhere, but if you speak to any of their clients you will know.

On August 20th, Globe capital who is a clearing member of Orion squared off all their positions due to not being able to meet the MTM(marked to market) requirement. Standing now, after the positions were squared off, Orion owes over Rs 40 crores to Globe capital and the exchanges. This is after Orion broking’s personal and client funds which was already debited by the exchange/clearing member to meet obligations. Client funds would have anyways been debited, but what is shocking is that the promoters even liquidated stocks lying in the client demat accounts to meet exchange obligations. So currently all clients of Orion broking who had any money or stock with them are in a soup. Yes, there is Investor protection fund by the exchanges, but it will take its own sweet time.

*An update on Orion Broking Services – The active directors of Orion Broking Services have been arrested on 8th March 2016, on the grounds of the following as per the Indian Penal code –

1. Section 120B (punishment for criminal conspiracy)

2. Section 409 (criminal breach of trust by public servant, or by banker, merchant or agent)

3. 420 (cheating and dishonestly inducing delivery of property)

Kindly go through this article to know more :- http://www.thehindu.com/news/national/tamil-nadu/prime-accused-in-stock-broking-scam-held/article8333481.ece. A further probe is now being instigated against them.

Lesson to Learn?

This just goes to show that, chasing the broker who provides the highest margin may not be the best thing for you. Leverage is a double edged sword, it can not only wipe out your account in a hurry, but also the broker’s. Ensure that you choose a broker who is not over leveraging themselves and their clients.

Empowering Indian retail investors/traders,

Comparebrokerages

Best trading platform in India? – Sharekhan Trade Tiger or Zerodha Pi ?

June 3, 2015March 21, 2016 comparebro 18 Comments

Fellow Traders & Investors,

My vote goes to Zerodha Pi and following is a comparison and my basis for considering Zerodha Pi as the best trading platform in India. There are certain pluses TradeTiger has over Pi, but overall after using both for the last few days, I think Pi is better.

Check this link to compare Sharekhan vs Zerodha in terms of everything else.

There are currently only these two contenders for the top spot. India Bulls was a close contender to be part of the top 3, but considering how disinterested the promoters are towards stock broking I have left them out.

Resource Management

Memory usage : Pi uses 1/3rd of what TT does.

CPU usage: Pi is generally lesser than TT

Bandwidth/Network Usage: Usage of Pi is lesser than TT

Marketwatch

Multiple Marketwatch: TradeTiger has an option to add multiple marketwatches, on Pi the workaround is to use workspaces.

Adding scrips: Easier to add scrips on Pi vs TT

Charting

Intraday data: TT has it only for the last 30 days. On Pi you can pull upto 365 days and more (maximum of 20,000 candles).

Historical data: TT has 10 years whereas Pi has for 5 years.

Time frame settings: TT scores over Pi, you can switch from one time frame to other quite easily. New charts have to be opened in Pi.

Indicators: Pi has 80+, whereas TT has 16+. Pi has more indicators and also has the crosshair function

blog10 — upto 20,000 candles – 365 days or more of intraday data.

Trading from the chart: feature available only on Pi.

Number of charts at one time:

TT: Maximum 5 charts

Pi: Maximum 12 charts

Option Calculator

TT has it whereas Pi doesn’t as of now.

Price alerts

Straight forward in TT, a little complex on Pi, you have to use expert advisor or scripted alerts. The advantage with Pi though is that the scripted alert/expert advisor can be used not just for price, but for any technical analysis based strategies. You can have multiple expert advisors searching and scouting for trading opportunities. You can also create consensus report using multiple EA’s.

Research calls and reports

Sharekhan has an active advisory desk, which gives out research reports which are accessible on TT.

Since Zerodha doesn’t do any research, you can’t see any fundamental data on Pi.

Overall after using Pi for the last week alongside TT, I think it is better overall. So my vote is definitely with Pi for the best trading platform in India.

Empowering Indian retail investors/traders.

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Samco – Indian Trading League – Review

May 10, 2015March 18, 2016 comparebro 30 Comments

Fellow Traders and Investors,

All these advertisements by Kapil Dev for Indian trading league spawned my curiosity. I gave them a call which ended at Samco securities, the execution broker for Indian trading league. That is when I realized that this entire initiative is by Samco and Kapil Dev has invested into Samco.

We have already added Samco on our list of 70+ brokers where you can see everything from financials to hidden charges to everything else. Click on this link to check the review about Samco.

Samco seems to have been inspired by Zerodha, not just in terms of their pricing model, but also the Indian trading league being an extension of the Zerodha’s 60 day challenge. They have also gone one step ahead seemingly infringing the copyright violations by copy pasting a few of the pages from Zerodha whose website has been live for the last 4 + years. A couple of examples are given below:

Zerodha.com

Samco.in

Note that even the savings number shown by default matches Zerodha

Zerodha.com

Samco.in

My verdict on Samco, and should you start a relationship with them?

1. Samco is erstwhile Samruddhi Securities, and this is their rebranded initiative. The financials of the company even after being in business for a very long time is quite ordinary. If you visit the link on comparebrokerages for Samco, you will see that profits are less than Rs 10lks/year for the last 3 years. The entire balance sheet size for last year (equity and commodity business together) is only around Rs 15 crores, which is the least among all the discount brokers out there. So the question arises if all these prizes – especially Rs 1 crore for the winning trader is actually for real, or just a marketing gimmick to get leads. Yes, they have a new investor in the business, but the question still arises on why would someone invest in a business like this which has quite a bad track record.

2. When this news article was released by ET on May 6th, the website Indiantradingleague.com by mistake was open for public for a few minutes. I guess they realized the folly and shut it down within 5 mins. I was one of the lucky few to have checked out what it was all about even before the launch. They were running a marketing blitz under #eknayileague to give away Rs 1lk to whoever could guess what it was all about. Since I knew what it was, entered into the contest just to see if I am able to win anything( atleast meet Kapil Dev if not for the cash prize). My submission was not even acknowledged forget any prize, the only thing I got from them were spam emails asking me to open an account with Samco the last two days.

Considering that there are not many reviews available on the trading platform and considering that they seem to be blowing this prize money out of proportion, I think it is best to avoid. Smells a little like the “Hometrade scam” back in 2002 when cricketers and actors started advertising for Hometrade which eventually collapsed and caused losses of over Rs 600 crores to the investors.

If you are looking at discount brokers, I’d advise you to choose between Zerodha or RKSV.

Empowering Indian retail investors/traders,

Comparebrokerages

IIFL Rs 9.99 per executed order, just a gimmick?

November 7, 2014March 18, 2016 comparebro 30 Comments

Fellow Traders and Investors,

I guess you must have read the press coverage about how IIFL is reducing the brokerage to as low as just Rs 9.99 per executed order and how Mr Nirmal Jain has claimed that they can go even lower.

In Economic Times

In Live Mint

Be very careful, because we think true to its tradition and reputation even this scheme from IIFL is conniving to say the least. Here are the reasons why:

They will be providing you only web based platform, there won’t be any option to use the desktop or the mobile version. If you have to use the desktop or the mobile, you will have to shift to their traditional brokerage plan.
They are having hidden charges in the name of exchange transaction charges. Check this post to know about how brokerages charge extra in the name of turnover charges. India Infoline charges 0.038% or Rs 380 per crore for futures, whereas ideally it should be only around 0.0021% or Rs 210 per crore. Similarly much higher for options (0.058%) and commodity (0.0041%).
No option to place call n trade, you will have to move to their traditional plan if you want to do so.

Click here to see all other details about India Infoline.

So instead of being penny wise and pound foolish, it is best to avoid IIFL and use one of the reputed discount brokerages out there. Use our website Comparebrokerages, to make the best choice.

Empowering Indian retail investors/traders,

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Is it safe trading with Discount brokers who are not registered on exchanges directly?

October 14, 2014March 21, 2016 comparebro 5 Comments

Fellow Trader and Investors,

With the advent of discount brokerage in India, there are many traditional brokerage houses trying their hand at discount broking in a different brand name. The reason for doing this under a different brand name is quite obvious, this low cost plan doesn’t eat into their existing clientele who would probably be paying a much higher brokerage. The query that I see often, is it safe to trade with such entities?

So here is the list of such brokerages:

Compositedge Composite Investments Private Limited
Easy Tradez Asit C Mehta
Rupeeseed Acumen
MyvalueTrade Mastertrust Capital Services
Tradewalla Berkeley Securities
Trade plus Navia Markets
Tradesmartonline VNS Financials
Wisdom Capital F6 Finserve (Wisdom is the only one on the list who is a different entity, all the others are owned by the parent brand)

The risk of trading in terms of technology or financial risk with such firms is equal to that of directly trading with the parent brand as all the account opening documents will be executed in name of the parent brand. So there is no increase in risk just because you trade with a brand created by the parent company to promote low cost brokerage.

Empowering retail investors and traders,

Comparebrokerages,

fist

Can I transfer money between equity and commodity account?

October 10, 2014March 18, 2016 comparebro Leave a comment

Fellow Traders and Investors,

I see many queries online on whether same funds can be used to trade Equity and after 3.30pm be used to trade commodity when trading with the same brokerage firm. There are many brokers who don’t let you do this, but there are a few who let you do this.

I am attaching the SEBI and FMC circulars, which clearly say that a broker is not allowed to transfer funds for a client between equity and commodity accounts. If a person wants to do this, he has to first withdraw the money from equity to his bank account and then transfer it back to the commodity account.

But note that funds which are in your equity account is allowed to be used for both equity and currency trading. It can’t be used for commodity trading.

So if your broker is offering this, beware! He is not being compliant to SEBI/FMC regulations. If he is not compliant to one rule, it is possible that he is not being compliant to other rules as well, which tomorrow might cause harm to the business and in turn affect your trading account with him.

Here is the link to the SEBI circular

Here is the link to FMC circular

25th Dec 2015, SEBI penalizes Greshma Shares and Stocks Limited – Rs 20lks for allowing the same funds to be used for trading equity and commodity. Reiterates everything we had posted earlier. Check this link for the circular.

2th Jan 2016, SEBI penalizes Anand Rathi for Rs 30 lks for allowing same funds to be used for trading equity and commodity. Check this circular.

Empowering Indian retail investors/traders

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Tempted by low brokerage advertisements?

September 25, 2014March 18, 2016 comparebro 7 Comments

Fellow Traders & Investors,

I was just seeing an advertisement on TV of a brokerage (Tradewalla) saying freedom from brokerage, only Rs 20/month or Rs 1950 unlimited/month.

Firstly, ensure that you don’t get carried away by just low cost advertisements, the many you are seeing on TV, google ads, newspapers and more. What you need to ensure is firstly that the brokerage is a financially viable entity, they have good technology backend, have the infrastructure to offer you support and also check for their client reviews, all of which you can see at CompareBrokerages.

Once you are done with your due diligence, ensure to check if the particular brokerage is charging low brokerage and has hidden charges in terms of transaction charges/turnover charges. Do check this blogpost.

We have made it easy for you, following is the list of all the brokerages who charge you less in terms of brokerage, but have big markups in terms of hidden costs. You might think what is the big difference between a transaction charge of 0.055% on options vs 0.08% on options, it could mean you would have to easily pay thousands of rupees extra every month.

1. Easy Tradez

2. Tradewalla

3. Trade Online Plus

4. Trade Smart Online

5. Compositedge

6. SAS Online

7. Wisdom Capital

8. Achiievers

9. Asthatrade

10. My Value Trade

11. Traders Khazana

12. Trade Jini

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Lodge your claims against Unicon or Unickon Securities immediately

September 10, 2014March 18, 2016 comparebro 9 Comments

Fellow Traders & Investors,

As you all must be aware by now, SEBI has barred Unicon (Unickon) Securities, and all the AP’s (Authorized Persons) and Sub-Brokers. Click here to see the SEBI order. The National Stock Exchange (NSE), Bombay Stock Exchange (BSE), have also expelled Unicon Securities.

The value of total claims pending as on the date of the SEBI order is Rs 11.81 Crores on NSE and Rs 3.02 Crores on BSE.

NSE has today put out a notice in all the leading newspapers to lodge claims, if any (in the prescribed form) against Unicon securities within the next 3 months. Any claim after these 3 months will not be entertained by the exchange. Also the maximum compensation limit per investor if found due and payable out of the investor protection fund is Rs 15 lakhs. Find below the notice, and you can also read the news article here.

Ensure you spread this message amongst your friends who might have been trading with Unicon Securities to lodge their claims immediately with the exchanges.

NSE Notice on Economic Times on 10th Sept 2014

Empowering Indian retail investors/traders

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