Comprehensive study and detailed Sharekhan review about its products, service, key features, brokerage charges, and other benefits.
With over 2 million customer base, Sharekhan has been one of the top three stock brokers in India. The journey of Sharekhan from being part of the SSKI Group to a BNP Paribas subsidiary had been enticing for not only the investors but also the traders.
It is the first stockbroker in India to introduce an online trading website sharekhan.com. The finest investment platform provides a wide range of products and services namely stock quotes, news alerts on the share market, fundamental and analytical research reports on equity, mutual fund investments, IPOs, and so on.
The customer-centric account types enable investors and traders to select the best plan for their needs. The stock-broking industry in our country has gone through many ups and downs and the compliance and reporting requirements also have been made quite stricter and transparent by implementing stringent procedures by the SEBI.
The benefit of these regulations has been thoughtful because now investors have more trust in these firms and their money is ensured to be in safe hands.
In this Sharekhan review article, we will highlight exclusively to our readers that will serve as their complete manual and will allow you to study the products and services offered by Sharekhan – by BNP Paribas from its origin to the current status and upcoming launch including the brokerage and other charges they charge for trading and investment with them.
We will also include what are the advantages and disadvantages of investing and trading with this largest stock-broking firm, what range of other products and services they offer apart from the stockbroking service and other key information.
The Journey of Sharekhan from an SSKI Group Member to the BNP Paribas Subsidiary
Sharekhan was incorporated in the year 2000 by Shripal Morakhia as a part of SSKI stockbroking-investment banking firm. Shripal had been involved in starting many different ventures from stockbroking-investment banking firm, a toy library, world’s largest dinosaur park to a huge multimedia Ramleela.
However, his fortune and the ever-changing ideas make him restless to stay invested in one venture for more than six years and which is why in 2007 he sold an 85% stake worth Rs. 825 crore in Sharekhan to Citi Venture Capital International (CVCI) and the SSKI to IDFC Bank.
Later on, IDFC and Samara Capital also acquired a stake in Sharekhan. In 2008, Barings Asia bought a 12% stake in Sharekhan. In the year 2015, Sharekhan became the second largest retail rich brokerage firm after ICICI Direct.
In the same year, Citi Venture (CVCI) started looking for a new buyer to sell Sharekhan valued at Rs. 3000 crores and any large investor’s eye was on Sharekhan being the leading brokerage firm in the stockbroking industry.
At last, in 2016 Sharekhan was acquired by BNP Paribas S.A. and became a subsidiary firm to join the BNP Paribas’ business focusing on digital banking and investment services serving almost 3 million individual clients across the four different places, India, Germany, Spain and Austria. With this, Mr Jaideep Arora, Director who had been working with Sharekhan since its foundation was appointed as the new CEO as the former CEO Mr Tarun Shah announces his retirement.
The journey of Sharekhan since its inception had been quite interesting so as to consider a lot of acquisitions and selling of the stakes. In a way, this has also benefitted Sharekhan to stay connected to the huge network of large investors and this is also one of the reasons why Sharekhan has a vast presence in not only India but across the other geographies too.
BNP Paribas had been the first foreign bank to form its presence in India in 1860. It has more than eight branches in the major cities of India.
The financial services providing firm, offers corporate banking, institutional banking, wealth management, and transaction banking. Through its strategic joint agreements, BNP has its presence in home finance, asset management, fleet management, and securities services.
Talking about Sharekhan, it has offices across 1850 cities including its branches and franchises in more than 550 cities in India. The customer base Sharekhan has, varies in the range from retail, corporate to institutional investors and traders and to the NRIs. Its website sharekhan.com provides a wide range of services and products such as trading and investing into stocks and derivatives through NSE and BSE and commodities trading facilities through MCX and NCDEX.
Apart from these, they also offer IPO, mutual funds, depository services with Demat account, stock alerts, suggestions and tips, information about equity through analytical studies, and many more.
List of Charges: Brokerage and Transaction Charges, Account Opening Charges, and Other Related Charges
Default Brokerage Charges
|Equity Cash Intraday Trades||0.10% on the buy-side|
|Equity Delivery Trades||0.50% or 10 paise per share of Rs. 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||2.5% or Rs. 250 per lot on the premium (whichever is higher)|
|Currency Options||2.5% or Rs. 30 per lot on the premium (whichever is higher)|
|Minimum Intraday Brokerage Fee||5 paise per share|
|Minimum Brokerage for Delivery Based Trades||10 paise per share|
|Minimum DP Charges||Rs. 16 per scrip if the total traded value is Rs. 3200 or less (for sell transactions)|
Sharekhan Post Paid Plans
|Margin Scheme||Equity Cash||Future||Options|
|Leg 1||Leg 2||Delivery||Leg 1||Leg 2 (same day)||Leg 2 (next day)||Option (whichever is higher)|
|25,000||0.10%||0.10%||0.50%||0.10%||0.02%||0.10%||2.50% or ₹100 per lot|
|30,000||0.10%||0.00%||0.50%||0.10%||0.00%||0.10%||2.50% or ₹100 per lot|
|40,000||0.09%||0.00%||0.45%||0.09%||0.00%||0.09%||2.25% or ₹95 per lot|
|50,000||0.07%||0.00%||0.40%||0.07%||0.00%||0.07%||1.50% or ₹80 per lot|
|1 Lakh||0.05%||0.00%||0.25%||0.05%||0.00%||0.05%||1.00% or ₹70 per lot|
|3 Lakh||0.04%||0.00%||0.20%||0.04%||0.00%||0.04%||1.00% or ₹50 per lot|
|5 lakhs||0.03%||0.00%||0.18%||0.03%||0.00%||0.03%||0.75% or ₹40 per lot|
|10 Lakhs||0.02%||0.00%||0.15%||0.02%||0.00%||0.02%||0.60% or ₹30 per lot|
|20 Lakhs||0.02%||0.00%||0.10%||0.02%||0.00%||0.02%||0.55% or ₹25 per lot|
Sharekhan Pre-Paid Plans
|Amount (Rs)||Period||Leg 1||Leg 2||Delivery||Leg 1||Leg 2 (same day)||Leg 2 (next day)||Option (whichever is higher)|
|750||6 months||0.10%||0.00%||0.50%||0.10%||0.00%||0.10%||2.50% or ₹250 per lot|
|1000||6 months||0.09%||0.00%||0.45%||0.09%||0.00%||0.09%||2.25% or ₹238 per lot|
|2000||12 months||0.07%||0.00%||0.40%||0.07%||0.00%||0.07%||1.50% or ₹200 per lot|
|6000||12 months||0.05%||0.00%||0.25%||0.05%||0.00%||0.05%||1.00% or ₹175 per lot|
|10000||12 months||0.05%||0.00%||0.22%||0.05%||0.00%||0.05%||1.00% or ₹150 per lot|
|18000||12 months||0.04%||0.00%||0.20%||0.04%||0.00%||0.04%||1.00% or ₹125 per lot|
|30000||12 months||0.03%||0.00%||0.18%||0.03%||0.00%||0.03%||0.50% or ₹100 per lot|
|60000||12 months||0.02%||0.00%||0.15%||0.02%||0.00%||0.02%||0.50% or ₹75 per lot|
|100000||12 months||0.02%||0.00%||0.10%||0.02%||0.00%||0.02%||0.50% or ₹63 per lot|
|200000||12 months||0.01%||0.01%||0.08%||0.01%||0.01%||0.01%||Flat ₹25 per lot|
Sharekhan Review: Account Opening and Annual Maintenance Charges
|Trading Account Opening Charges (One Time)||Free|
|Trading Annual Maintenance Charges (AMC)||Free|
|Demat Account Opening Charges (One Time)||Free|
|Demat Account Annual Maintenance Charges (AMC)||Rs. 400 (Free for 1st year with trading account)|
Main Features of Trading and Investing with Sharekhan by BNP Paribas
- Sharekhan is known for its services to the retail investors and is named amongst the largest full-service retail brokers of India.
- It was the first firm to introduce online trading in our country through its website Sharekhan.com that changed the investor’s approach towards trading and investments as online trading removed a lot of paper-work and trading was a bit too easy and quick.
- Their brokerage plans are prepared considering different kinds of requirements by different types of users so that they can avail the best plan suitable to their needs at beneficial rates.
- The types of accounts provided by Sharekhan too focus on personalized needs of different users and such accounts include Classic account, First Step account, Trade Tiger account and Platinum Circle account to also provide Portfolio Management Services (PMS).
- Their research and advisory team also provide free online classroom training, webinars and workshops to educate investors and traders about the market trading and investments.
Sharekhan Review: Products and Services Offered
Sharekhan is said to launch a separate discount broking firm in the coming months to leverage their experience and knowledge in the industry to capture the ever-growing discount broking business. Below are the explanations of its products and services and their key features.
Products: The large retail broking firm provides various products that includes trading in equity, derivative, commodity, currency, futures and options, mutual funds and SIP. However, they do not offer Insurance related service and products and Forex trading.
Services: Combining all services that a typical trading firm can provide, Sharekhan is considered number one in terms of its services to its investors and traders. This includes Demat, Intraday, Trading, IPO, PMS, Trading Institution services as well as stock tips and many more.
PatternFinder Tool: This tool by Sharekhan studies a particular scrip and its pattern to provide valuable insights of its future performance.
Research and Advisory: They provide offline and online advisory and research services as well as stock recommendations, news alerts, monthly reports, analytical and fundamental study reports of company stocks which are considered the best amongst all the broking firms. The said services are provided for free to its investors and traders. For customized assistance they also provide robo-based advisory tool and an offline client representative.
TradeTiger: This is a high-speed trading terminal for frequent traders to place and execute orders quickly and it also comes up with real-time updates and information on the same terminal to ease the trading for such traders.
Sharekhan App: Be it either placing an order, keeping track of your orders and saved stock orders or managing the portfolio all is triggered by one app that is user friendly as well as customized in a new form to meet customers demands.
Sharekhan Mini Review: It offers multiple features from tracking the market’s latest trends to trade on various exchanges. This low bandwidth website also allows users to invest in mutual funds and transfer funds.
Sharekhan Dial-n-Trade: The toll free numbers provided by this platform enables investors and traders to place an order directly through phone calls. It has a 3 step security process to go through.
Sharekhan Review: Pros and Cons
This stockbroking firm has more advantages than the disadvantages and it is highly recommended for any regular or frequent investor or a trader.
- They provide various trading platforms and account types considering different types of requirements by different users.
- They provide DP Transfer and Fund Transfer for free.
- Their online classroom training, webinars and workshops help investors and traders educate themselves about market and stock trends. It serves as the best platform for the beginners. They do not charge for such training services.
- They also allow fixed deposits as a collateral for F&O trading.
- The more active traders you are, the more reduced rates of the brokerage are offered by Sharekhan. It is highly recommendable for active investors and traders to benefit from low brokerage charges with the best services.
- Their online and offline advisory services are suitable for all kinds of investors and traders.
- They have a huge presence with multiple locations and that allows investors to resolve their queries in-person due to the availability of their offices in the nearby areas.
- Their brokerage charges are based on a certain percentage on a transaction and hence they are considered quite costly.
- They do not offer Demat, Trading and Banking 3-in-1 accounts.
- They have a minimum cap to charge for the trading activities and hence if you trade for less than the minimum quantity, you tend to lose money due to the application of minimum trading charges.
A detailed Sharekhan review – one of the best discount brokers in India. In this article, we have covered all the important details of Sharekhan – review, brokerage charges, Demat account, margin, benefits, and more. Check reviews of other top brokers on Nifty Brokers.
New traders who are looking to build long term wealth and do not have time for research but have money to pay higher brokerages can also pick Sharekhan.