In order to avail the most from your trading options you need to have a fair understanding about the subject. The choice of the best brokers can help you go a long way in making the correct trading decision. But with the market flooded with numerous brokers it does become really hard on whom to choose and who to ignore. The rule is simple as that is to classify the various types of brokers and then make a decision on what suits you the best. Before you are planning to sign up with a broker keep these points in mind
Discount Broker
Before we try to figure out which is the best discount broker in India, let us understand more about them in details. The use of this broker is straight forward as there are fewer costs involved. They are basically there to carry out trade orders on your behalf. Once you are having an account with a discount broker there is no scope of any form of personal interaction with the broker. They are just going to provide you with a trading platform where you can execute trades on your behalf. The online brokers are automatically going to execute the orders and perform transactions on your behalf. The best discount brokers in the business make the process automated and as simple as far as possible.
The major benefit that a discount broker has over a full time broker is in terms of commission structure. In fact the commission would be significantly lower than what a full time broker has to offer. Just you need to be aware that such brokers are going to provide you with a basic level of service. In fact such brokers have minimum requirements in terms of trade along with deposits. This is really important for a trader who is working with a small amount of investment capital.
The discount brokers even go on to provide rebates on trades when an investor is undertaking a lot of transactions during a day. So the brokers work out to be a viable choice for traders who execute a lot of trades on a day to day basis.
When you are availing the services of a discount broker you are on your own and there is no benefit of someone offering additional advice to you in terms of trades to be placed. The onus is on you to identify the trading opportunities and figure out whether planned trades are good for an investment point of view and whether it goes on to align with your financial goals or not.
A fact that deserves a special mention is that a lot of discount brokers do go on to provide you with a selection of financial tools that makes your trading process smooth and transparent. But to use these tools you need to be paying additional charges or even the commissions could be on the higher side. But if you are comfortable with making your own decisions then such brokers are the best.
