Last updated on 10th Aug 2020
by Team Top Share Brokers
A few years back, trading was done only via offline mode from branch office or franchise office of the broker in the local city. ICICIDirect and Sharekhan were among the several pioneer brokers who have started online trading. But now, almost all the brokerage houses of India are offering online trading to its customers directly via mobile app, web trading app or terminal software.
Let’s discuss in brief about offline and online trading.
Offline trading is when you operate your trading with a local broker, i.e., he trades on behalf of you. In such trading, you visit your local broker office and give instruction to your broker agent to perform trade on your behalf or you can do trade by calling him and give required instruction.
Online trading is “do your trades by yourself”. Maximum brokers nowadays’ are pushing traders towards online trading where they are providing best trading platforms to you via the web, desktop software or mobile app.
In the past, maximum people were doing offline trading, but the growing demand for online portals has made it compulsory for all brokers to move towards online trading. So, in this article, we are going to list some of the “best online brokers in India”.
Before we list down the best online brokers in India, let us explain how we have chosen the best online brokers.
Best trading platform - The trading platform must be easily available, simple, fast and secure.
Best Customer support - In case if the customer needs any support, then he must get online or offline support ASAP. Mode of online support is via a phone call, email or live chat. Mode of offline support is through online documentation of problems, tutorials, videos and so on.
Multiple Trading Platform options - The broker should provide multiple trading platforms and should have no or zero connectivity issue. When the market is volatile, the system should handle the volume as well as traffic. Should have an alternate trading platform or call & trade facility, so in case of any issue, the customer can use an alternate approach to perform his trade.
Pay in and Payout options - Smooth & easy process for pay-in and pay-out options so the fund can be transferred both the ways when required.
Exposure/Margin Limit -
For traders, Margin policy must be clearly defined so, in case of big trades, they should know upfront about negative trades.
Among the numerous discount brokers, Zerodha was the first broking firm which has gone online. The first thing they came up with is the "Lowest Brokerage Charges", to compete with well-established brokers. Second Zerodha "highly focuses on Technology and innovation".
Now Zerodha is the number one broker in terms of Trading Platform. They have the best-in-class feature in trading tools and keep enhancing as per customer requirements. Zerodha Trading Platform is very easy for use.
The online library of documents and education make customer support team's life easy. 99.99% of clients don't need to call the customer support team as all questions and answers are well documented with a proper response.
They are best-in-class with Brokerage, Margin Policy, and Pay-in & Pay-out options. Zerodha doesn't have any hidden charges or hidden fee. The whole process is 100% online, so you don't have to call the support team to manage your trades and/or transactions.
Zerodha also started the application for online buyback and OFS request. The main focus of the founders is to use the technology and build a robust online platform so things can run smoothly without manual interventions.
The company has started late in the discount broking segment, but it is trying to use the same path as Zerodha. Yes, 5paisa is also a Flat Fee discount broker with low brokerage and completely online. 5paisa is also investing its resources to build best-in-class trading platform and provide as many possible features online, so the clients don't need to wait for a support agent.
5paisa is missing in an online library and education courses/documents. But on the trading front, they are top in brokerage, margin and product offerings.
5paisa is becoming a one-stop shop for traders and investors with their great offerings, including brokerage service, commodity trading, Mutual Fund Investment, Insurance, Finance and many more.
ICICIDirect is the pioneer to start online trading. They are the first one to give an online platform to its clients to use the online trading platform as per their convenience.
ICICIDirect trading platform is well known product in the brokerage industry with all the features, the only negative point with ICICIDirect is their higher brokerage plans. With ICICIDirect user can trade in Equity, Cash, Intraday, Derivatives and current trading, Invest in IPO in a single click, tender shares online in buyback & OFS, purchase and redeem Mutual Funds, start mutual fund SIP, can start Equity SIP.
Yes, ICICIDirect has everything online and best online broker in India.
Sharekhan is the pioneer in online trading and they have invested a huge amount of money in the early phase to provide a trading platform to reach the individual client. As Sharekhan is not a banking company, they were the first true brokerage company who had a vision towards online broking.
Sharekhan has both the models – Offline via branch offices and Online.
They offered an online (web-based) trading platform to their client when the use of the internet was not much popular in India. Now also Sharekhan's trading platform is one of the best with all the features required by the end users. The only challenge Sharekhan is facing with discount brokers is that they can't compete with the pricing model.
SAMCO is a true online Broker in India. The reason behind that is they are operating from a single location, no branch offices and partner network. They are supporting operation from complete online mode.
The company offers competitive Lowest Brokerage Plans, great trading platform, online support and online education to its clients.
On the conclusion note, now each broker is moving towards the online broking and providing its service via a web portal, mobile app, and desktop terminal. Some have in-house development team; some are using external vendors to customize the trading application for them. But the winners are those building their own trading platform so they can scale up as customers grow, keep enhancing the features, keep adding the new services and so on. List of other brokers who are also providing best online services, but we have not mentioned in the above list are –