New plan by 5 paisa - (MARGIN PLUS) 50:50 not required

now a days 5 paisa improved almost everything , they change all UI/UX , i opened a ccount there

reason is , its very diffcult in zerodha to maintain 50:50 cash requirment - in 5 paisa 10 lakhs networth need in any form like stock, mf, bonds etc , then no need to maintain cash here , no Delayed payment charge ((DPC) WILL BE IMPOSED , even 5 paisa explain , the rule is from sebi is to broker only not to the clients , its our intrest we can pass to client , so 5 paisa kept limit o 10 lakhs networth to take a benefit , i really appreciate that
IN zerodha the delayed payment charge weekely its 5 to 6 k for me its large for me , i cannot mange these day robbery here

No need to maintain 50:50 requirment by broker is
ICICI direct
kotak
Motilal oswal
5 paisa
fyers
samco
wisdom
paytm ( nextmonth) no need to maintain , they are working in progress (ETC)

the biggest benefit is no need to worry for a DELAYED PAYMENT CHARGE (DPC)

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Delayed payment charges are imposed to discourage clients from defaulting.

Broker will try not to face a loss because of clients. Without that charge what is the gurantee that the client will add funds ? As there is no accumulation of penalty he might not do it on time.

I do agree that it’s difficult to maintain 50:50 margin requirement though.

@TradeXMaster yes , i am paying to zerodha DPC on weekely basic is 5k to 8 k some time , i will not invested all money in equity , today 60 % of my portfolio in floter fund , zerodha is not treating floater as cash component its will give 7 to 8% yoy , money market is giving only 3.9 to 4% currnrtly , , 5 paisa will give more benefit for me , they have desktop is there , its veryuseful and speed . and short cut key make my life easier

DPC charge are not triggering from NSE , its all with broker

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And also in Zerodha, all clients are treated equally.

Like, there is no specific benefit for a person with big capital. Everyone is equal.
Infact we don’t need to subscribe to any ‘plan’. It’s the same for all. :slight_smile:
These additional plans might also create operational issues (for broker). Thought im not sure.

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Yes that is true because broker might suffer a loss because of his client. Brokers would have already settled it.

Every broker is unique and will have their own advantages/disadvantages.

I do agree in considering other instruments as cash equivalents.
But again, I think the clearing corporation must accept it.

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its upto broker , we also sometime face loss , i never recommended 100% colleterial from equity , for me 50:50 colleterial is ok , 50% equity 50 % all debt fund , those clearing corporation are also doesin have a brain ,

you see axis growth oppourtunities fund regular plan is allowed to pledge , direct plan is not allowed to pledge , for what reason i dont know , lot of regular plan is allowed t o pledge , the same fund direct plan is not alowwed , the same vice versa

DEBT fund are safe acording to sebi , there is less volatile from nature , then why its will not treat as cash component , these broker is playing in the gap to milk some money , clearing corporation is given some suggestion only ,not law , its depended upon broker you can pass to client also , even zerodha whats a problem to treat all debt fund as cash component @nithin , zerodha provide gilt fund as cash component , this is very volatile in nature , what kind of people planning these thing

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How is being treated equally relevant? This plan from 5paisa is provided free. It gives you the opportunity to improve efficiency of your capital.

Re: operational issues… How does that matter to the client? And if it is an operational issue then one needs to figure out a fix rather than leave it be. I guess that would be a better approach. Wouldn’t you agree?

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@TradeB2B, all seems good, but why is their haircut more than what’s prescribed?

https://www.5paisa.com/trading-approved-script-list

For example, Axis liquid fund (ISIN: inf846k01cx4) is showing 20% haircut here, whereas the exchange has set it at 10% only…

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@SachinSingh yes most of the security is 20% , 90% of stock also 20%
In zerodha most of my stock is cap @ 25 to 35% but in 5 paisa 20% flat haircut , calculating here and there I am getting teysame amount to trade , and one more thing is No DPC charges I will not get , in zerodha every week 6k is triggering by zerodha sometime it’s went to 10k it’s really hurting my profit and my hard work in the market , every month 30k is going on DPC charges , because I cannot control this rule in zerodha , and my brokerage in 5 paisa I save 50% in ultra pack plan also

I save DPC charge and I save 50% of brokerage and save 50% of govt tax also

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You can save some in brokerage may be, but how Is it possible to save govt tax ? It’s the same in all brokers regardless of any plan etc.
Do you mean taxes like STT etc or income tax ?

@TradeXMaster

GST 18% is based on you brokerage , let assume you made a brokerage 50,000 per month , then calculate the GST @18%

some broker provinding monthly plan like 1000 rupess , then they need to pay GST 18% @180 rupees only ,
most of the traders or investor aware about these charges , we have a way to avoid and reduced

all broker will think his own pocket , no one is not to try traders

GST 18% is fall on brokerage and transtation charges

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Yeah, I guess it works out if you’re pledging non-cash securities like shares etc.

Couple of questions:

a) How smooth is their system (app/web)? Does it hang up during times of volatility?
b) Also, how responsive is their customer care?

@TradeB2B

@SachinSingh they already update all the web and exe , i love exe platformits very fast and furiouus

if you want to trade in full service broker yes kotak is there also , they will accept now a days direct mutual fund smooth web platform intraday free - f&o 20 rupees only , 3 in 1 account possible , emergency withdraw is available and lots on - free advisory for investment also

Margin funding also available @ 11% also for you can hold shares 365 days

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Thanks.

Might be wrong but I think Kotak charges interest for overnight positions if you’re using pledged securities, but for intraday, it’s good…

no who told , its all old scheme , they are not charging anything on overnight position now a days kotak is gearing up

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Hmm ok…

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i am raising issue about charging unnesscery from my account as 50:50 margin requirment from my account to SEBI and NSE , this is not practical , if zerodha debiting continusely we need to give all money to zerodha account , only zerodha and upstock stick in the rule - rest all have no problem - for me ok 50% in equity rest 50% in debt fund - how we ca put all money in liquid fund to get colleterial , brainless people are sitting in chair -i also need to diversify in debt fund also

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If you get any response from SEBI on this, do share here as well.

Zerodha, btw, is charging too much interest rate, 18.25% per annum is way tooooo high. And I guess they have not reduced this rate since zerodha opened 10 years back. Even personal rates are now a days 10% but Zerodha continues milking their loyal customers with 18.25%

Even in Zerodha Loan Against Shares facility, they are charging only 10-11% I think, but here they are charging 18.25% pa.

All interest rates have reduced in the last 10 years from FD rate, savings account rate, loan rates, but only one rate remains constant since last 10 years, that’s Zerodha rate of 18.25%. Great work.

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Maybe not relevant for everyone but - My experience with 5p was terrible.

I trade intraday with apis. Their client code is very amateurish lacking testing effort. I put lot of time fixing it for my use but it was wasted effort as even their server and rms is buggy. For ex, a critical one for me - These guys square off short positions if price approaches lower circuit ( my profit is increasing !) and cancel stop order for long positions when price approaches upper circuit - no idea why.
I wasted a lot of time in back and forth with customer support - but these guys work in absolutely brain dead way following the script without applying any mind. You cannot talk with ‘back end’ team and their reply to cs is final. And cs would just repeat what they said. Finally gave up and closed account ( account closure process is nice - simple online form).
Near the end, even api stability was becoming terrible - sometimes not logging in, other times intermittent errors.

There are lots of complaints related to 5p charging extra. I had no issue in terms of money and their brokerage plans worked as advertised. No money issues at all. But no point if we cannot execute. I stopped trading with them last FY after maybe 6m of trying. Only tried because i wanted a large broker. No idea if they have improved.
Z in contrast is very good, probably the best for my use case.

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18.25% pa is really high…@nithin @siva of this is true then something needs to be done