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Detailed Kotak Securities Trade Free Plan Review: Kotak Securities on 19th November 2020 announced the launch of a new set of trading plans with zero brokerage for intraday trading across segments, a first of its kind plan in India. It is also known as Free Intraday Trading (FIT) plan.

As a new-age investor, you should always do proper market research before selecting a trusted and reliable brokerage stockbroker. While selecting the best stockbroker, you must compare the different brokerage plans.

It is also important to know the hidden charges because they can reduce your profits. KSL part of Kotak Mahindra Bank Ltd. is offering zero brokerage on intraday trades and Rs. 20 per order for all other future & options (F&O) trades including equity, commodity, and currency.

Quick Note: If you want to open a FREE Demat account with Kotak Securities, here’s the direct link!

Kotak Securities Trade Free Plan Review – Key Features

Kotak Securities also stated that it would offer MIS and super multiple (cover order) at Rs 20 per order. Key features of the Trade Free Plan, Kotak are:

  • It offers ZERO Brokerage on Intraday Trades
  • For all other F&O trades, the brokerage is charged at Rs.20 per order
  • MIS & Super Multiple (Cover Order) at also charged at just Rs.20 per order
  • Trade FREE Plan offers Margin Trading Facility
  • Allows clients to use stocks as margin instead of cash margin.
  • Zero hidden charges.
  • Provide customer satisfaction guarantee under the Trade Free Plan, which means that if the customer is not satisfied with the services then they can within one month of account opening ask for a refund of fees and brokerage.

Read the detailed Kotak Securities review to get more insights.

Kotak Securities Trade Free Plan Review – Charges

Account Opening and Kotak Brokerage Charges:

Charge TypeAmount
Initial MarginFree
Account Opening Fee (includes GST)Free
Intraday (All Segments)Free
Delivery – Equity, Commodity0.25%
Margin Intraday Square off (MIS) & Super Multiple₹20 / Per Order
Stock used as Margin for Derivative Trades0.025% per day
Outstanding Debit Balance on Margin Trading Facility (MTF)0.04% per day
Other Debit Balance0.05% per day

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Open FREE Demat Account

You can read this article to know the exact steps to open demat account with kotak securities trade free plan here.

Taxes and Regulatory Charges


Particular

Equity
Delivery
Equity
Intraday
Equity
Futures
Equity
Options
Currency
Futures
Currency
Options
Commodity
Futures
Commodity
Options
STT/CTT Charges (As per Exchange)0.1% (both sides)0.025% (sell side)0.01% (sell side)0.05% (sell side)NilNil0.01% (Sell side)0.05% (sell side)
Transaction
charges
NSE: 0.00325% BSE: 0.00325%NSE: 0.00325% BSE: 0.00325%NSE: 0.0019%NSE: 0.05% on PremiumNSE: 0.0009%, BSE: 0.00022%NSE: 0.035%, BSE: 0.001%MCX (for Agri & Non Agri): 0.0026% NCDEX: 0.006%Waived off by Exchange
Stamp
charges (As per State)
0.015% or ₹1500 / crore on buy side0.003% or ₹300 / crore on buy side0.002% or ₹200 / crore on buy side0.003% or ₹300 / crore on buy side0.0001% or ₹10 / crore on buy side0.0001% or ₹10 / crore on buy side0.002% or ₹200 / crore on buy side0.003% or ₹300 / crore on buy side
Investor
Protection Fund
0.00001%Nil0.0001%0.001%0.00005%0.002%NilNil

Quick Read

Demat Charges:

Charge TypeAmount
Dematerialisation₹150 per certificate + ₹50 per request (courier charges)
Rematerialisation₹10 for 100 securities (shares, bonds, mutual fund units, etc.; subject to a minimum of ₹15)
Credit transactions (Buy)Nil
Debit transactions (Sell)0.04% of the value of securities (subject to a minimum of ₹20)
Annual Maintenance Charges (AMC)₹50 per month
Charges for Client Master Report changes (Applicable for Email/ Address/ Mobile/ Bank)₹50 per modification request
Delivery Instruction Slip Kotak Securities (DIS) – Reissuance₹100 per DIS booklet + ₹50 courier charges
Request, Invocation, Release (Un-pledge)1.5% Per month (levied every 15 days)
Pledge Charges (For the non-margin purpose)
Request0.05% of the value of securities (subject to a minimum of ₹30)
Invocation0.05% of the value of securities (subject to a minimum of ₹30)

Other Charges

Charge TypeAmount
Auction ChargesOn actuals (subject to a minimum of ₹20 per auction)
Cheque Bounce Charges₹350 + Bank Charges
Research Call on SMSAs per website
Password Printing and Dispatch Charges₹100 per request + ₹50 courier charges
Product Change Charges₹100
Contract Note (Digital)Free
Duplicate Hard Copy Contract Note on Client Request₹20 per contract note + ₹50 courier charges
Digital Copy (Email) Contract Note for Current/Previous Financial YearFree
Digital Copy (Email) Contract Note for years prior to Previous Financial Year₹200 per year per request
Inter-Settlement Charges0.04% of the transaction value (subject to a minimum of ₹20)

Benefits of Kotak FIT Plan

  • Zero Brokerage on Intraday Trading
  • Flat brokerage of Rs 20/per order of F&O Trades
  • Use of Stocks as Margin (Instead of Cash Margin)
  • Full Broker Services at Discount brokerage rate offering a wide range of investment options and research reports.
  • Multiple trading platforms to fulfill almost all customer requirements.
  • In-depth market Market Research Reports

Customer research initiated by Kotak Securities revealed the need for a competitive brokerage plan from a well-capitalized and reputed stockbroker in the Indian capital market. Kotak Securities’ Trade free plan bridges this gap.

This plan is applicable for trading into equity, future and options, commodity, and currency. Also, there are no hidden charges.

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Points to Note

  • The choice to square off the trade is at your discretion. You can convert the order from intraday to delivery (Cash segment) or carry-forward (Futures & Options segment).
  • Any request for activation received before 3:30 PM on a working day would be processed the same day. Requests received after 3:30 PM on a working day would be processed on the next working day.

Closing Thoughts

The Kotak Securities Trade Free plan or Kotak FIT plan is one of its kind of concept, however, it has been criticized to highlight a win-win situation for both the client and the stockbroker. This plan is worth it for the ones who are poised for Intraday trading ONLY and need some support in intraday research and tips.

We hope you have liked the Kotak Securities Trade Free Plan review and find it helpful. Do let us know your views in the comment section below. Open a FREE Demat account with Kotak Securities. Happing trading!