Locating the Best Discount Broker

If you have experience in trading then you might be looking for the best discount broker in India to handle your transactions. This relates to buying or selling of securities. The broker needs to ensure a reliable platform so that the transactions can be executed. Additionally they need to provide protection insurance even if the brokerage does not exist in business.

The objective of a discount broker is not to give you advice, but execute your transactions in a fast and efficient manner. You cannot compare them to the full brokerage firms which offers advice and constant phone support via the medium of investment strategies. It has to be said that discount broker are more of a help to an experienced tradesmen.

The charges associated with a discount broker include maintenance fees, transaction fees, inactivity fees or stop loss charges and it could relate to special requests. Compare the different discount brokers in terms of fees to choose one that aligns with your needs. As this works out to be a very competitive field, most of the firms just advertise the transaction fees and do not mention hidden fees.

For most discount brokers minimum account balance requirements are there. Though they are going to differ ideally you would want to check out on a broker who provides a minimum account balance. Do select a discount broker that offers insurance to the trading funds even if the brokerage winds up their business.

The discount brokers will provide you with a trading platform but not investment guidance. This would be really important if something goes wrong with the trading platform there is immediate assistance available on the phone to provide your assistance.

If you analyse there are a couple of brokers. The first is the full service brokers and then the discount brokers. The full service brokers had their existence in the period of 70s even before the discount brokers came into existence. The discount brokers have recently started their services via an online platform.

The full service broker helps clients decide on their investments, provides advice and charges a lot of money. Some brokers would charge $ 100 for a trade and in comparison for the same trade a discount broker charges around $ 10. The full service brokers provide services that you might not even need. If you do not want to pay attention to your investment and want a professional to undertake dealings then they are a good choice. But if you want to save a lot of money particularly in terms of money and fees, then a discount broker happens to be an obvious choice.

With discount broker they charge for the trade executed. You are not going to avail any advice beyond the online tutorials. Most of the investors will not need this. If you lack knowledge in terms of investments opt for mutual funds. They do not need any extra fees and you can invest there without undertaking a lot of  research.