Sharekhan is one of the pioneers of online trading in India. It offers a broad range of financial products and services. That is mutual fund distribution, loan against shares. ESOP financing, IPO financing and wealth management.
It provides brokerage services through its online trading website Sharekhan.com. Has 1800 offices which includes branches & franchises in over 550 cities across India.
About Demat Account
A Demat Account is an account that allows investors to hold their shares in an electronic form. A Demat Account provides a secure, easy, and convenient way of holding shares and securities. It eliminates the risk of theft, forgery, loss, and damage of physical certificates. A Demat account ensures immediate transfers of securities.
In other words, A Demat account is like a bank account. Money is held in an electronic format in a bank account, and it makes electronic entries in the bank passbook.
Similarly, shares and other equity-investments are held in their dematerialized form in a Demat account. And the credit and debit is reflected accordingly in the Statement of Accounts. It is not compulsory to have any balance of shares while opening a Demat account. You maintain Zero balance in a Demat account.
How to Open a Demat Account
To open a Demat account you have to provide documents that fulfill the requirements of KYC (Know Your Customer) norms. A contract with a stockbroker does not have to be signed. Generally, the documents are:
- PAN (compulsory)
- Bank statement (last 3 months)
- Address proof
- Income Tax Return
- Two-color passport size photos
- Bank crossed cheque (If required)
- A canceled cheque that bears bank account details like the investor’s name, account number, IFSC Code, MICR Code, and bank and branch details is also required.
- Aadhar Card, Voter ID, Passport or Driving License as Proof of Identity (PoI). Other government authorized identity proofs are also acceptable.
- Either Passport, Voter ID, Driving License, Ration Card, Registered Lease/ Sale agreement of residence, Utility Bills (Electricity, Gas or Landline) or Bank account statement/passbook as Proof of Address (PoA).
Sharekhan Brokerage Charges
It is India’s 3rd largest stockbroker (after ICICI Direct and HDFC securities). Sharekhan has seen incredible growth over the last 10+ years. It is a very successful online trading platform and the chain of franchises located in almost every part of India. It also has an international presence in the UAE and Oman.
Sharekhan Trading Brokerages Charges:
- Equity Cash Intra-day Trades: 0.10% on the buy-side.
- Equity Delivery Trades: 0.50% or 10 paise per share or ₹16 per scrip whichever is higher.
- F&O Trades: 0.10% on the first leg and 0.10% if squared off on any other day.
- Options Trades: 2.50% or ₹250 per lot on the premium (whichever is higher).
- Currency Future: 0.10%.
- Currency Options: 2.50% or ₹30 per lot on the premium (whichever is higher).
- Commodity: 0.10%.
Sharekhan Minimum Brokerage Fee:
- For Intra-day Trades: Sharekhan charges minimum brokerage of 5 paise per share. This means that while doing intraday trading if the share price you trade in is ₹50 or less, it will charge a minimum brokerage of 5 paise.
- For Delivery Based Trades: Sharekhan charges a minimum brokerage fee of 10 paise per share. This means; for delivery based trades minimum brokerage of 10 paise per share is charged when the share price is ₹20 or less.
- Minimum DP charges: DP charges of ₹16 per scrip is charged when the total traded value is ₹3200 or less in case of the sale transaction.
- Sharekhan Brokerage Charges for Equity future: Traders have to pay 0.10% on the first leg, 0.02% on the second leg if it is squared on the same day. In case the squaring takes place on another day, traders have to pay 0.10%.
- Sharekhan Brokerage Charges for Equity Options: For each lot, Sharekhan charges Rs100 or 2.5% on the premium. They levy whichever yields the highest amount.
|Benefits of Demat Account|
|An easy and convenient way to hold securities|
|Reduced paperwork for transfer of securities|
|Reduced transaction cost|
|Demat account has eliminated the restrictions on the selling of shares|
|Traders can work from anywhere|