{"id":86454,"date":"2024-07-03T03:41:04","date_gmt":"2024-07-03T03:41:04","guid":{"rendered":"https:\/\/news.talkwithrattan.com\/index.php\/2024\/07\/03\/sebi-rule-may-end-zero-fee-era-zerodha-times-of-india\/"},"modified":"2024-07-03T03:41:04","modified_gmt":"2024-07-03T03:41:04","slug":"sebi-rule-may-end-zero-fee-era-zerodha-times-of-india","status":"publish","type":"post","link":"https:\/\/news.talkwithrattan.com\/index.php\/2024\/07\/03\/sebi-rule-may-end-zero-fee-era-zerodha-times-of-india\/","title":{"rendered":"Sebi rule may end zero fee era: Zerodha &#8211; Times of India"},"content":{"rendered":"<div style=\"text-align:center\"><img loading=\"lazy\" decoding=\"async\" width=\"600\" height=\"288\" src=\"https:\/\/i1.wp.com\/static.toiimg.com\/thumb\/imgsize-23456,msid-111445998,width-600,resizemode-4\/111445998.jpg?resize=600,288&amp;ssl=1\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"Sebi rule may end zero fee era: Zerodha &#8211; Times of India\" title=\"Sebi rule may end zero fee era: Zerodha &#8211; Times of India\" \/><\/div><p> <br \/>\n<\/p>\n<div>MUMBAI: <!-- -->Sebi<!-- -->&#8216;s move to require <!-- -->stockbrokers<!-- --> to charge customers only the actual <!-- -->fees<!-- --> paid to exchanges, clearing houses, and depositories has had major consequences for stockbroking firms. <br \/>In its circular, Sebi had asked <!-- -->brokers<!-- --> to be &#8216;true to the label&#8217; in how they levy <!-- -->charges<!-- -->. <!-- -->Zerodha<!-- --> Broking said it may be forced to end its zero brokerage structure, and shares of listed stockbroking firms crashed.Angel One &#8211; the largest listed broker &#8211; fell 8.7% while IIFL Securities fell 3.5%.<\/p>\n<div data-pos=\"0\" class=\"id-r-component QbQNS undefined  &#10;        \">\n<div><\/div>\n<\/div>\n<p>The impact of the new regulations were explained in a detailed note by Zerodha founder Nithin Kamath. &#8220;Stock exchanges charge transaction fees based on the overall turnover contributed by brokers. The more the turnover, the less the transaction fee. The difference between what the brokers charge the customer and what the exchange charges the broker at the end of the month is a rebate, which goes to brokers. Such rebates are common across major markets in the world,&#8221; Kamath said.<br \/>He added that this rebate accounts for 10% of Zerodha&#8217;s revenues and anywhere between 10-50% of revenues for brokers across the industry. This income stream will go away following Sebi&#8217;s new circular. &#8220;We were one of the last remaining brokers that offered free equity delivery trades. We could do this because F&amp;O trading revenues were subsidising equity delivery investors. With the new circular, we will likely have to let go of the zero brokerage structure and\/or increase brokerage for F&amp;O trades,&#8221; said Kamath.<\/div>\n<p><script>\nvar _mfq = window._mfq || [];\n_mfq.push([\"setVariable\", \"toi_titan\", window.location.href]);\n!(function(f, b, e, v, n, t, s) {\n    function loadFBEvents(isFBCampaignActive) {\n      if (!isFBCampaignActive) {\n        return;\n      }\n      (function(f, b, e, v, n, t, s) {\n        if (f.fbq) return;\n        n = f.fbq = function() {\n          n.callMethod ? n.callMethod(...arguments) : n.queue.push(arguments);\n        };\n        if (!f._fbq) f._fbq = n;\n        n.push = n;\n        n.loaded = !0;\n        n.version = '2.0';\n        n.queue = [];\n        t = b.createElement(e);\n        t.async = !0;\n        t.defer = !0;\n        t.src = v;\n        s = b.getElementsByTagName(e)[0];\n        s.parentNode.insertBefore(t, s);\n      })(f, b, e, 'https:\/\/connect.facebook.net\/en_US\/fbevents.js', n, t, s);\n      fbq('init', '593671331875494');\n      fbq('track', 'PageView');\n    };\n    function loadGtagEvents(isGoogleCampaignActive) {\n      if (!isGoogleCampaignActive) {\n        return;\n      }\n      var id = document.getElementById('toi-plus-google-campaign');\n      if (id) {\n        return;\n      }\n      (function(f, b, e, v, n, t, s) {\n        t = b.createElement(e);\n        t.async = !0;\n        t.defer = !0;\n        t.src = v;\n        t.id = 'toi-plus-google-campaign';\n        s = b.getElementsByTagName(e)[0];\n        s.parentNode.insertBefore(t, s);\n      })(f, b, e, 'https:\/\/www.googletagmanager.com\/gtag\/js?id=AW-877820074', n, t, s);\n    };\n    function loadSurvicateJs(allowedSurvicateSections = []){\n      const section =  window.location.pathname.split('\/')[1]\n      const isHomePageAllowed = window.location.pathname === '\/' && allowedSurvicateSections.includes('homepage')\n      if(allowedSurvicateSections.includes(section) || isHomePageAllowed){\n        (function(w) {\n         function setAttributes() {\n                    var prime_user_status = window.isPrime ? 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In its circular, Sebi had asked brokers to be &#8216;true to the label&#8217; in how they levy charges. Zerodha Broking said it may be forced to end its [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":86455,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","fifu_image_url":"https:\/\/static.toiimg.com\/thumb\/imgsize-23456,msid-111445998,width-600,resizemode-4\/111445998.jpg","fifu_image_alt":"","footnotes":""},"categories":[604],"tags":[17614,289,5808,9526,4754,9001,273,3980,9136,75397,272,13668],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/86454"}],"collection":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/comments?post=86454"}],"version-history":[{"count":1,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/86454\/revisions"}],"predecessor-version":[{"id":86456,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/86454\/revisions\/86456"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media\/86455"}],"wp:attachment":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media?parent=86454"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/categories?post=86454"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/tags?post=86454"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}