The task of choosing a stock broker as a beginner is not an easy one. To choose among the
top 10 online brokers in India is all about the choice of a Demat account. The reason being
both the accounts have to be opened together. Before we venture into the world of specific
brokers, let us evaluate the factors that would help you make your decision.
Does the broker have a reasonable reputation in the market?
A subjective task, but the feedback of the market rarely goes the opposite side. You can
discuss with the investors or traders and they are going to give you positive feedback about
the brokers. The choice of websites or news journals might work out to be supportive
pieces. To have a choice about brokers try to find out how they treat a beginner.
One of the important points to ponder is the level of brokerage that is charged by the
clients. Obviously, no broker is going to provide you zero brokerage charge but the rates
have to be competitive. There does appear to be a cost to the service sector that is value for
money. Perhaps the most important point is to check out for hidden costs. Some of them
might go on to levy charges like download charges, statement charges etc. Keep away from
such charges being loaded.
The follow-up services provided by the broker
Just take into consideration that broking is not merely the execution of transactions. It also
means the follow-up services in the form of SMS or updating the clients when they are
stuck. Now if the internet is stuck down does the broker provides a call on the facility. You
need to be aware that the broker has a good risk management module in place. The role of
the brokers is to help clients and help them avoid risks.
Does the broker work out to be a one-stop solution for your needs?
This is really an important point to consider as the broker should not only provide you with
the option of trading in securities. They should be able to help you trade in multiple
products. The main benefit is that all your needs are taken care off at a single platform as it
makes your task easier. Being an investor in the market you are looking for solutions as per
Does the broker have an eye on the future?
It is perhaps an important point as the future of broking business is changing in India. Any
broker who sticks to old methods or ideas is not going to help you in the long run. The need
of the hour is brokers who are ahead of the times. For your personal needs, you need
automated solutions. The brokers have to be technology-driven who are going to deal in a
spectrum of products. A combination of all these features would work out to be a great
broker for your needs.