5Paisa Account – 15 Advantages Of Online Share Trading
Share trading basically refers to the buying and selling of shares. Trading usually occurs through two main stock exchanges; NSE- the National Stock Exchange and BSE- the Bombay Stock Exchange.
There are numerous other companies offering online share trading facilities such as 5paisa, Sharekhan, Religare Online, ICICI Direct, Kotak Securities, Angel Broking, HSBC InvestDirect, etc.
This takes place at stock exchanges in India, namely – the BSE- the Bombay Stock Exchange and the NSE- the National Stock Exchange. In today’s fast-paced epochs, the internet has changed the way we interact, feel, think, and also changed the way we work.
5Paisa Trading Brokerage Charges
| Segment | Brokerage Fee |
|---|---|
| Equity Intra-day | ₹20 per trade |
| Equity Delivery | ₹20 per trade |
| Equity Futures | ₹20 per trade |
| Equity Options | ₹20 per trade |
| Commodity Futures | ₹20 per trade |
| Commodity Options | ₹20 per trade |
| Currency Futures | ₹20 per trade |
| Currency Options | ₹20 per trade |
Investing in shares usually takes place in two different formats:
1) In the first format, shares are bought as well as sold on a daily basis on the given day; thereby squaring up the deals at the end of the day. No transaction is carried forward and is often viewed as a riskier transaction method.
2) In the second format, investors are permitted to hold on to their transactions to the next day, week, month or even years! Usually, holding of shares of good companies yield good returns.
Online share trading, also known as online stock trading has increased in its popularity with almost every investor turning to this method of trading rather than the former one where one had to visit the stock exchange.
With merely a few clicks of the mouse, you can buy, sell, or hold shares online and yet make profits! It has become the rage of the day with almost every investment company offering online trading platforms. It has given investors across the world the flexibility and comfort of sitting at home while trading.
However when it comes to trading online, it not merely about hard work; you need to know EXACTLY what to do, what NOT to do; and implementing knowledge about the stock market while trading.
Investing in the stock market through the internet is always an exciting and thrilling way for any investor to invest in the financial market.
5paisa Account Opening Charges & AMC
| Service | Charges |
|---|---|
| Trading Account Opening Charges (One Time) | ₹300 |
| Trading Annual maintenance charges (AMC) | ₹0 |
| Demat Account Opening Charges (One Time) | ₹0 |
| Demat Account Maintenance Charges (AMC) | ₹540 yearly (charged as ₹45 per traded month) |
Some of the advantages while trading online on 5Paisa include:
1) Saves time & Money
Online share trading has helped to save time and money as you can trade at the convenience of your home. You could even trade at the flexibility of your own office or from an internet café.
2) Minimal Broker charge
The middle-man-the broker is nearly eliminated and you can get aid and from many online brokers that are available online such as ICICI direct, Indiabulls, 5paisa, Sharekhan, Kotaksecurities, Motilaloswal, Geojit, HDFC Bank, JVfinancial, and Appuonline.
3) Autonomy
Online stock investors have the freedom to decide the way they would like to trade. Online trading wrests control of the market from the brokers to the investor.
4) Chart profitable Stocks
The Company allows the investor to chart the profitable stocks as well as update the investor with any updates or news about the stock market.
5) Additional online facility & aid
Online investing enables online brokerage firms to contact other trained brokers or investment counselors for any assistance while trading.
6) Immediate access
An investor gets immediate access to his online trading account and information about the stock market with a few clicks of the mouse. Hasty decision making can be avoided and an investor can simultaneously get updated about the latest stock information, any recent news about the company in which they have invested in, or any potential company they would like to invest in.
7) Thorough Check
Portfolios can be thoroughly checked as investors can use accounts opened through brokerage firms in online trading.
8) Paperless transactions
You can trade online eliminated all the paperwork involved. Share certificates get deposited in electronic form DMAT to your web trading account.
9) Flexibility in order placement
You can even place your orders offline during the non-market hours.
10) NRI advantage
Online share trading is the easiest and best option for NRIs.
11) Abundance of information available online
The internet has an ample amount of information to read up on and brush your knowledge about the share market, mutual funds, stocks, etc.
12) Record of transactions maintained
You can maintain a record of all your transactions related to the sale or purchase of securities through online trading.
13) Efficiency
Online trading is done through a computer and calculations are far easier and quicker and extremely efficient with the help of a high processing machine.
14) Make as many or few trades as you desire
Through 5paisa online trading, you can make any number of trade transactions as you desire. Usually, brokers require a minimum trade allotment, and investors are forced to adhere to their guidelines. Investors, thus cannot the volume of investments that they would actually want to.
15) No time bar
There are absolutely no time constraints or restrictions while trading online. You can trade stocks any time of the day or night; at your convenience and flexibility.
5paisa is a leading stockbroker in India. 5paisa Capital Ltd is a publicly-traded and professionally managed company promoted by IIFL founders.
Friends, 5paisa.com started operations in March 2016 and became 2nd largest discount stock broker in India by Dec 2018. It is listed on BSE and NSE.
5paisa online trading is available in equity, commodity, and currency at BSE, NSE, and MCX. It is a flat rate discount stockbroker. It charges flat 20 Rs brokerage irrespective of the size of the trade, segment or exchange.
Friends, It also offers 5paisa prepaid plans i.e. Optimum Plan, Platinum Plan, and Titanium Plan. The customer pays further lower brokerage in platinum and titanium plans for an additional fixed monthly fee.
5paisa Mutual Funds offering include both Regular as well as direct mutual funds. 5paisa change flat Rs 10 per executed order for online mutual funds investment. An investor can invest in a lump sum or through SIP.
5paisa Demat account is offered through its depository participant membership with CDSL. It is awarded as Premier Depository Participant by CDSL in March 2020.
5paisa trading platform includes Mobile Trading App, Trading Website, and Installable Trading Terminal. These platforms are built on the latest technology and recognized for ‘Best use of Mobile Technology in Financial Services’ in Feb 2019.
Special Offers and Account Types
- 5paisa Trading Account 5paisa is India’s fast-growing discount broker offering investing and trading services in segments including stocks, derivatives (F&O), and currency. Friends 5paisa is a member of BSE and NSE. 5paisa trading account is backed by the experience and technology developed by its parent company IIFL for over 20 years in the retail broking industry. 5paisa.com offer trading services under a simple brokerage plan. Customers can trade across the segments for a flat rate of ₹20/order in Optimum Plan and ₹10/order in Platinum Plan and Free Equity Delivery in Titanium Plan. This brings saving up to 90% in comparison to traditional brokers who charge brokerage fees in % of the total turnover.5paisa trading account is well integrated with other products they offer including mutual funds, ETF, bonds, and insurance.
- Mutual Fund Account: Online Mutual Funds Investment Account is a key offering from 5paisa. You can open just a Mutual Funds Investment Account with 5paisa for free of charges.5paisa also offers Systematic Investment Plans (SIP), an automatic periodic investment option in the stock market through mutual funds. The ‘Auto Investor’ tool is available free of charge to its customer which helps with online MF advisory. This tool help in choosing the right funds based on their risk profile and return expectations.
Conclusion:
5paisa’s 2-in-1 account (Demat + trading account) gives its customer an option to invest and trade in the stock market as well as in mutual funds. If you are looking for only Mutual Funds as investment options, a separate Mutual Fund Account is available.
5paisa offers completely paperless account opening based on Aadhaar. If you have Aadhaar number and your Aadhaar number is mapped to correct mobile number, the account opening process is really fast. After completing the online application, the online trading accounts get activated in few hours.
You could also download the application form, print it, fill it up and send it to the 5paisa Mumbai office to open the account.
With the online stock trades, it has become very easy to get into the stock trades being at home only. One does not need to stand in the crowd at the stock market and see what is happening. One can do it at the desk itself.
For working with the online stocks one needs to have a Demat account. This means you are required to have an online account for trading. One can find numerous agents and stockbrokers who can guide you and help you open a Demat account. Some of the well known and reliable stockbrokers for this purpose are Sharekhan, Indiabulls, Icicidirect, and 5paisa.
Teach Yourself How to Trade Stocks
When one opens a Demat account for online stock trades, always ask for rates of brokerage and the taxes that are required to be paid in lieu of the trading account. Invest some time and search for the stockbroker who can provide you the facility to open the trading account with the lowest brokerage.
Also, see to it that which method you are going to use for the trading as the rates vary with the method. The two commonly known methods are intraday and delivery trading.
The next thing that you must do is that you must ask the agent to give you a demo of the account to check for the software that they use and also for the Speed. It is always best to make it clear as to if there any hidden charges.
Other than the Demat account, for online stock trades, one has to have a computer. The computer is available at very low prices now and one can get the configuration that he/she wants as per the size of the pocket.
If you cannot the computer then you must arrange it at the cafe. If you have your own computer then to check your account regularly for the stock trades try to get a high-speed internet connection. Or else you can get the GPRS facility on your mobile to check your Demat account for online stock trades.
Is 5paisa com safe?
Yes, trading with 5paisa is as safe as with other stock brokers in India. 5paisa is registered with SEBI, CDSL, BSE, NSE, and MCX, etc. It is audited regularly by the exchanges and has excellent compliance records.
What is DP charge in 5paisa?
The Demat debit charge is a fee levied by 5paisa when you sell any of the stocks held in your Demat account and the securities are debited from your Demat account. The debit charges are 0.025% (minimum ₹25 per transaction) of the value of the securities.
What is the use of 5paisa?
The 5Paisa app allows users to trade and to invest in equity, currency trading to go along with mutual funds investments across BSE (Bombay Stock Exchange) and NSE (National Stock Exchange).
How much does 5paisa Cost?
No, 5paisa is not free. It changes flat ₹20 per executed order brokerage for stock trading and ₹10 per executed order brokerage for mutual funds. 5paisa also charges ₹650 for account opening, ₹540 per year as AMC, and Demat transaction charges. Note: 5paisa titanium plan offers zero brokerage in equity delivery.
How do I withdraw money from 5paisa?
To withdraw funds from the 5paisa.com website, login to the website, click on the amount beside mutual funds in the top red navigation ribbon, click on the Payout button, fill in the amount you would like to withdraw, and submit the request.
Who is the owner of 5paisa?
Prakarsh Gagdani The recent fall in the equity market due to the coronavirus pandemic has seen new investors pump in more money, while brokers are focussing on getting robust and self-reliant on their platforms, said Prakarsh Gagdani, CEO of 5paisa.com.