I know Real time data provided to us clients from Zerodha to trade from the exchange. I have heard it costs much more than the brokerage earned by Zerodha. So how can Zerodha be in profit because there are Membership charges, Connectivity(leased line) charges and trading back office charges too. Is the real time data is included in Membership fess and Connectivity charges or Zerodha have to pay separately.If paying then whats the amount.
Like I just answered your other post, real time data feed comes free of cost from Indian exchanges (unlike the global ones which charge quite a bit). This free data feed broker can share only on the trading platforms for the clients registered on the exchange.
Of course there is a cost involved in terms of infra to support all of this. We usually have over 100k to 150k users concurrent consuming the live data feed. So data center cost, leased line cost, bandwidth cost, etc. But this isn’t much.
Thats preety good, thats why you got the award last year inspite of many negativity from traders group.I appreciate the work done by Zerodha and his team.Its fantastic platform for traders and investors.
What is the approx cost you pay for supporting the infrastructure?
Hmm… the Infra supports everything, not just streaming of data and charting database. The overall tech infra cost is the biggest cost component of our business, so is significant. But within 5% of the revenue, so we are okay.
If I want to be a broker how much money and prerequisite eligibility do I need in terms of qualification, infrastructure and capital? Just asked out of curiosity
am intrested in knowing from where you get free data for Indian Market.
Well done Zerodha !
Is it true that Zerodha co-locating & creating position against their retail client to make huge gain!!! https://t.co/1p8JdxXzbh
Just because it is on the internet, it doesn’t make it true. This guy clearly has no idea what he is talking about. What’s worse is there are people willing to take his words at face value. Anyway, we have no dark pools or the concept of selling order flows in India:
The guy in the video might have been hired by zerodha’s competitor inorder to spread baseless allegations…
Go through this link
Now it’s looking horribly true.These people trying to wipe off our hard earned money and trying to hide the fact https://www.livemint.com/Money/Fb3n7pMOr0eKZOoHoaB0kK/NSE-algo-trading-case-62-broking-firms-may-had-preferential.html
What is firstly confusing is, how is it preferential access if 62 brokers got it? It is preferential if 1 or 2 get it. It is like doping all horses in a race. Like I have said earlier, people generally like to promote conspiracy theories.
Btw what a broker/trader can do at colo is to execute trades at much higher speeds. This has no bearing on a retail clients technical/fundamental/gut based strategy. HFT/faster execution helps mostly on mispricing strategies. So for example if a trader is running a cash future arbitrage (difference between stock and future is a certain number take the trade and then reverse when number is lesser), speed is important. But retail traders never really take such trades.
These HFT trades add liquidity to the market. If these weren’t there, the liquidity would be lesser and all of us would suffer more from the impact cost (price by which stock moves when we place a buy/sell order).
@nithin From the conspiracy context, In my forum we met a new kind of trader. 1 to 50L in one year. You need to stand in Hyderabad bus stop with a red shirt
This term HFT has Ganns Astrology level sentiment. Mythical.