New Delhi: Zerodha brokerage charges, Groww brokerage charges, etc may  increase after the stock market exchanges NSE and BSE hiked transaction fees on trade of futures and options contract and also in cash segment from October 01, 2024. These exchanges will collect relatively higher fees from brokers (from the specified date) which may in turn recover those (increased fees) through hike in brokerage fees levied on retail investors. Stock market brokerage firms with higher trading volumes are more likely to hike brokerage fees , according to ICICI Direct. While, those with low volume may not increase at all.

This analysis stems from revision in transaction fees of trade of options and futures contracts from October 01. The revisions are in line with capital market regulator Securities and Exchange Board of India’s (Sebi) July order which required the Market Infrastructure Institutions (MIIs) like the NSE, BSE, etc to levy uniform fees from trading members (brokerage firms) on trading of F&O contracts and also in the cash segment.

According to ICICI Direct, the earlier mechanism  of collection of the fees gave advantage to brokers to pay lower transaction fees on higher trading volumes on their platform.  But now, the new mechanism requires these brokers to pay uniform charges regardless of trade volume.

To maintain their profitability, brokers may be forced to increase their fees to compensate for the lost revenue from SEBI’s new rule. Consequently, Zerodha brokerage charges, Groww brokerage charges, etc may  increase as trading volume is higher on their platforms.

NSEs Transaction Charges in F&O And Cash Segment (Revised):

Cash Market: Rs 2.97 per lakh of traded value for both buyer and seller of securities

Equity Futures: Rs 1.73 per lakh of traded value for both the parties

Equity Options: Rs 35.03 each side per lakh of premium value

Currency Futures: Rs 0.35 per lakh of traded value for both sides

BSE’s Transaction Charges in F&O And Cash Segment (Revised):

Sensex and Bankex options contracts: Rs 3,250 per crore of premium turnover for both the parties

Sensex 50 options and stock options: Rs 500 per crore of premium turnover for both buyer and seller

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