CDSL recently revised its charges according to Business Today. The changes are as below:
Charges on debit transactions reduced by 50 paise
Addition 25 paise reduction for the female holder (first/sole)
AMC for Non-corporates is NIL
Dematerialisation charges are NIL
Let’s see if Zerodha and other brokers reduce their charges or not. I believe Zerodha will. Here is the reference to the article.
@themanishshaw it would not make a much difference on clients if you sell 100 scrips in a month the charges would be reduce by just 10*.5 = 5
Yes, you’re right. I was amazed that CDSL did this and AMC & dematerialisation charges will make sensible difference where Zerodha charges 250 for dematerialisation. Won’t they?
It should not be since CDSL waived it off. I urge you to go through the article once.
you all should focus on reducing your losses, dont ask brokers to reduce charges.
First thing, I’m not asking brokers to reduce charges I’m sharing an update. Moreover, reducing losses is a different topic altogether which is not the agenda of this post. Hope you understand this. Thank you.
Yes, effective June 01, 2024, the DP charges will be reduced from Rs.13.5 to Rs.13
Nice and what about AMC and Dematerialisation charges?
Same goes for STT, Exchange turnover fees, Stamp duty, and SEBI turnover charge 
This is Zerodha AMC, not CDSL. Zerodha provides free equity orders, direct mutual funds, sensibull, etc with this 300.
Our demat accounts are opened and maintained by CDSL. AMC is charged by CDSL and collected by Zerodha. It’s charged on slab basis and brokers calculate this on individual basis and levy it on the customers.
Zerodha makes money on the brokerage we pay for trades and offers free delivery, mutual fund etc in exchange. This is how a business works. You give X to get/serve customers and make money from Y. Amazon prime a great example.
Can you point to what is the AMC charged by CDSL to DP (Zerodha) for individual demat account?
Here is the tariff sheet - https://www.cdslindia.com/downloads/DP/HowToBecomeaDP/CDSL-DP-Tariff-structure.pdf
That is just one factor, not the only one. The 300 we pay covers for equity transactions and all the mutual fund transactions (which costs zerodha since it is in demat mode).
I don’t know what else does this cost cover. Zerodha charges it in the name of account maintenance charges which in my understanding is simply to hold an account which hold my securities (server cost maybe).
For transaction we pay DP charges of 13.5 + GST (5.5 by CDSL+ 8 by Zerodha)which is now reduced to 13 (as Venu Madhav said above). Refer to this article:
In the sheet the 2nd entry shows the charges for corporate clients (this seems to be the lastest list in which charges for individual clients are waived off). And what amount CDSL charged to DP and on what basis or slab can be better told by anyone from Zerodha team.
I would pay for 300 rupee for the customer services too. But if we are making profit on investments, 300 rupee charge will be covered in profit right? If the ZERODHA service is good and reliable, it’s worth it.
The sheet talks about charges charged by the Depository (CDSL) to its Depository Participants (DPs like Zerodha).
As DPs, we open different types of accounts in our own name with the depository (pool account, margin pledge account, own proprietary account etc). The AMC charges listed in that sheet is for the AMC for corporate accounts opened by the DP, not the end client.
The AMC charged by DPs to end clients is for the service provided by DPs to investors.
That’s just the name, doesn’t mean it’s purely for that.
I read in another forum that there is no AMC by CDSL for individual clients. Not able to find a reliable source for it.
Zerodha provides many features for 300, it is not related to CDSL to waive it off when CDSL changes charges.
Just think of AMC as a subscription fee like Netflix. AMC is common term in industry so they are using the name. Doesn’t mean it’s for maintenance of account. Achieves the same goal so no problem in naming it AMC
That’s totally your choice.
I’m not saying that Zerodha is charging much or to waive it off. I’m just sharing an update from CDSL. Moreover, what Zerodha charges in AMC is one of the lowest in the industry.
No doubt it is. Never give monetization ideas to a business, it will cost us 
Ok. Does this work this way - Zerodha pays X amount to CDSL for having its customer demat account with them then Zerodha charges a fixed to its customers to cover this and related costs?
Also, tell me what is the reasoning behind some DPs charging ZERO AMC while others like banks charge one of the highest AMC in the industry?