{"id":11399,"date":"2023-01-16T19:50:21","date_gmt":"2023-01-16T14:20:21","guid":{"rendered":"https:\/\/aayushbhaskar.com\/?p=11399"},"modified":"2023-01-16T19:52:54","modified_gmt":"2023-01-16T14:22:54","slug":"shoonya-vs-zerodha-whats-the-difference","status":"publish","type":"post","link":"https:\/\/aayushbhaskar.com\/shoonya-vs-zerodha-whats-the-difference\/","title":{"rendered":"Shoonya vs Zerodha: What’s the Difference?","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"

Selecting a stockbroker is an exercise. It needs to be handled carefully.<\/p>\n

Understanding your investing style, figuring out your investment goals, and choosing a broker that fits with them is crucial for making an informed decision.<\/p>\n

We aim to make sure you select the right broker. So, I have put together a comprehensive overview of Shoonya and Zerodha that covers every aspect of trading and investing.<\/p>\n

A brief overview of the companies<\/b><\/h2>\n

Shoonya\u00a0<\/b><\/h3>\n

The Finvasa group was established in 2009. It began providing trading services in August 2016. The corporation recently decided to split its trading platform<\/a>. On December 9, 2022, “Shoonya<\/a>” was launched. <\/span><\/p>\n

Zero brokerage charges are one of the platform’s most well-known features. Shoonya offers brokering and clearing services for retail, high net-worth individuals (HNIs), non-resident Indians (NRIs), and foreign portfolio investors (FPI).<\/span><\/p>\n

Zerodha\u00a0<\/b><\/h3>\n

Zerodha<\/a> is headquartered in Bangalore. It was founded by Nikhil and Nithin Kamath in 2010. The company currently has over 6 million active users.<\/p>\n

It is India’s largest retail stock broker with a 17.42% market share. By proposing the idea of zero brokerage fees, the company set a precedent for its industry. With its innovative pricing strategy and proprietary technology, Zerodha has enabled traders to operate without restrictions.<\/p>\n

Comparing margins<\/b><\/h2>\n

Following SEBI’s latest circular on May 10th,2022, the changes in margin requirements created quite a buzz in the market. In case you aren’t much of an information expert, we’ve got your back. Let’s begin with the basics.<\/p>\n

A margin refers to the security you hold with your broker to guarantee a loan for the purchase of new stocks. The margin acts as collateral in the event of a default. With the use of margin trading, you can buy shares by putting down a smaller sum than the full share price.<\/p>\n

Coming back to the circular, SEBI has now mandated that traders who deal in intraday trading and futures and options (F&O) keep a 100% margin in their bank account.<\/p>\n

Therefore, the ball is in your court now to evaluate the brokers on points other than margin requirements.<\/p>\n

Comparing brokerage\u00a0<\/b><\/h2>\n

Brokerage is the sum you pay a broker as a commission for serving as your agent in executing your trade. Brokerage eats up your share of profits. So, you should compare the charges to make sure you are not giving away too much!<\/p>\n

Shoonya Brokerage Structure<\/b><\/h3>\n

\"\"<\/p>\n

Shoonya lives up to its name by charging zero brokerage charges across all segments \u2013 Equity, F&O, and Commodities. Moreover, the company has gained a lot of traffic in the financial community because of its top-notch services. This is in addition to its zero brokerage across all segments.<\/p>\n

There is nothing concealed here. With Shoonya, you pay shoonya commission under any circumstances.<\/p>\n

Zerodha Brokerage Structure<\/b><\/h3>\n

\"\"<\/p>\n

Zerodha ventured into the zero-commission segment. It has been disrupting the market since then. There’s no fee for delivery of your equities trades and mutual fund investments<\/a>.<\/p>\n

You are free to enjoy your gains. Additionally, for stock, commodity, and currency segments, the intraday & F&O trades brokerage per order is set at flat \u20b9<\/span> 20 or 0.03%, whichever is lower.<\/p>\n

Let us take an example of an intraday buy trade of \u20b9<\/span> 50,000. Thus, the brokerage would be charged separately on Buy trade – \u20b9<\/span> 50,000 & Sell trade – \u20b9<\/span> 50,000, i.e a total of \u20b9<\/span> 100,000.<\/p>\n

The total brokerage charged would be 0.03% of \u20b9<\/span> 100,000 i.e \u20b9<\/span> 3 or \u20b9<\/span> 20, whichever is lower. Thus, Zerodha will charge a brokerage of \u20b9<\/span> 3 on the entire deal.<\/p>\n

Shoonya does not impose a brokerage fee across segments. Zerodha levies a minimal brokerage fee. But it does not outweigh it.<\/p>\n

Shoonya VS Zerodha other charges comparison<\/b><\/h2>\n\n\n\n\n\n\n\n\n\n\n\n\n\n
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Shoonya<\/b><\/p>\n<\/td>\n

\n

Zerodha<\/b><\/p>\n<\/td>\n<\/tr>\n

\n

Account Opening Charges<\/b><\/p>\n<\/td>\n<\/tr>\n

\n

For opening an account across all business categories. These include demat, Shoonya levies no fees.<\/p>\n<\/td>\n

\n

A one-time account opening fee of \u20b9<\/span>200 is charged by Zerodha.<\/p>\n<\/td>\n<\/tr>\n

\n

Annual Maintenance Charges<\/b><\/p>\n<\/td>\n<\/tr>\n

\n

Shoonya does not impose an annual account maintenance fee.<\/p>\n<\/td>\n

\n

Zerodha charges a \u20b9<\/span>300 annual account maintenance fee in addition to GST. It is payable quarterly.<\/p>\n<\/td>\n<\/tr>\n

\n

Payment Gateway Charges<\/b><\/p>\n<\/td>\n<\/tr>\n

\n

Shoonya charges a basic fee of \u20b9<\/span>7 for each transaction completed through a payment gateway.<\/p>\n<\/td>\n

\n

Zerodha charges a basic fee of \u20b9<\/span>9 for transactions made in a manner other than UPI.<\/p>\n<\/td>\n<\/tr>\n

\n

Pledge Charges<\/b><\/p>\n<\/td>\n<\/tr>\n

\n

The pledge fee charged by Shoonya is \u20b9<\/span>20 per instruction plus GST.<\/p>\n<\/td>\n

\n

Zerodha charges a pledge fee of \u20b9<\/span>30 per request plus GST.<\/p>\n<\/td>\n<\/tr>\n

\n

DP Charges<\/b><\/p>\n<\/td>\n<\/tr>\n

\n

When equities are sold, Shoonya deducts your trading account with a DP charge of \u20b9<\/span>9 per script.<\/p>\n<\/td>\n

\n

When equities are sold by Zerodha, a DP charge of \u20b9<\/span>13.5\/script is deducted from your trading account.<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

It is important to note that there are a few other charges levied on your trade by every broker:\u00a0<\/b><\/p>\n