By Shreya Maskara
With the spike in the self-trading segment in the 2017-18 financial year by 8%, there has been an outpour of trading services, schemes and brokerage deals in the market. While self-trading customer has several products and options to choose from in this constantly growing segment, often customers get stuck paying very high brokerage fees, due to which he/she ends up paying more in the form of such fees than the profit accumulated. One such product available in the market, that aims to eliminate these high brokerage fees and allow self-traders to actualise the benefits and profits of their trade is the Free Intraday Trading (FIT) service by Kotak Securities.
The FIT subscription offered by Kotak Securities offers self-trading customers zero brokerage fees on all intraday trading in cash, futures and options. Customers should pay an annual fee of Rs 999/- and they can avail all intraday trades free of brokerage fees for an entire year. While a nominal brokerage of 1 paisa per script traded is levied there are no other additional hidden charges a customer is surprised with. Any Indian resident customers with an online trading account and franchisee clients with online accounts can subscribe to the service. However, it is important to note the subscription is not applicable for any currency and commodity trades, as well as on derivative and option plus orders. Additionally, non-resident Indian and qualified foreign investor customers can also not avail the subscription.
While attempting to evaluate the benefits of this product, perhaps one of the key things is to estimate how much an average self-trader spends in a month on brokerage fees and how much he/she stands to benefit by opting for this online subscription. According to estimates, per day an average intraday self-trader spends around Rs. 220 on brokerage, translating to around Rs. 5000 per month (cash segment). With a yearly subscription charge of only Rs. 999, subscribing to the FIT is undoubtedly going to be financially lucrative and prudent for a self-trader.
Furthermore, when a customer decides to delve in the world of self-trading perhaps one of the key deterring points are the pricing of brokerage points, which are not only very high, but often very complex to navigate and involve hidden charges and costs. Perhaps one of the most important benefits of the FIT subscription is that it uncomplicates this procedure of navigating through a complex brokerage scheme. Customers know about the nominal charges of the subscription from the get go, and there are no hidden costs.
In addition to this massive financial benefit, customers also gain access to other services, including intraday research recommendations which can be accessed through the Keat Pro X, offered free of cost by Kotak Securities. Research analysts use tips, recommendations, predictions and market expertise which will help ease the way self-traders trade stocks by helping them spot bullish and bearish trends easily. Not only can customers gain insights from research analysts who work full-time to help you uncover the best trades for the day, but you also get access to a live-stream of stock market data, live stock quotes, analysis tools such as watchlists charts, amongst several others.
For customers engaging in intraday trading time is of the essence and a missed second could lead to significant losses. The Kotak Securities’ trading software offers very high speeds of trading, thereby, ensuring that you don’t lose out due to system errors or lags. Additionally, through this trading software, you can access all markets, including the Bombay Stock Exchange and the National Stock Exchange on one platforms, and create watchlists using all the markets.
Perhaps for any self-trader, the purpose of intraday trading is to make small financial gains, every day, one at a time. With the FIT subscription, a self-trader stands to save thousands of rupees per month that he/she loses in the form of unnecessary brokerage fees. The self-trader can use this additional income to make more trades, invest in other outlets or contribute to savings. The financial savings of having a FIT subscription, along with the access to market reports and predictions, and a top of the line trading software, that can be completely customised, any self-trader is likely to make immense financial gains. Out of the approximate 60 lakh active traders in India, over 20% are self-trading customers, and with the unique financial benefits offered by the FIT, it is certainly bound to transform the self-trading market in the country.
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