Reviews of Stock Brokers
Paytm Money
When it comes to investing in the stock market, choosing the right stockbroker is of utmost importance. It can significantly impact your trading experience, investment returns, and overall satisfaction. In this article, we will provide an in-depth review of Paytm Money, one of India's prominent Discount Broker. We will evaluate various aspects, including brokerage charges, trading platforms, customer support, and more, to help you make an informed decision.
Overview
Paytm Money founded in 2019 by Vijay Shekhar Sharma is a Private company headquartered in New Delhi, Delhi India. As a Discount Broker, Paytm Money aims to provide cost-effective buy/sell orders, enabling investors to save money compared to full-service brokers. However, it is crucial to note that Paytm Money operates as a full-service brokers. It offers extensive investment advice and detailed stock analysis for its clients.
| Overview | Paytm Money |
|---|---|
| Broker Type | Discount Broker |
| Type of company | Private |
| Headquarter | New Delhi, Delhi |
| Founders | Vijay Shekhar Sharma |
| Foundation Year | 2019 |
| Supported Exchanges | NSE and BSE |
| Total branches | 1 |
Paytm Money Account opening charges
To begin trading with Paytm Money, you need to open a trading account and a Demat account. Paytm Money charges Rs.300 for opening a trading account. Additionally, there is an annual maintenance charge (AMC) of Rs.250 per Annum for the Demat account. However, it's worth mentioning that trading AMC is free.
| Account Opening and Demat Charges | Paytm Money |
|---|---|
| Trading Account Opening Charges | Rs.300 |
| Demat AMC (Annual Maintenance Charges) | Rs.250 per Annum |
| Trading AMC (Annual Maintenance Charges) | Free |
| Margin Money | Zero Margin |
| Offline to Online Charges | Yes |
| Depository | CDSL & NSDL |
Paytm Money Brokerage Charges
One of the main factors to consider when choosing a stockbroker is the brokerage charges. Paytm Money brokerage charges for various segments are as follows:
- Equity delivery: Paytm Money offers free brokerage for equity delivery trades. This means you can buy and hold stocks without incurring any brokerage charges.
- Equity intraday: For equity intraday trades, Paytm Money charges a flat rate of Rs.10 Per Order per order.
- Equity futures: The brokerage charge for equity futures is also Rs.20 Per Order per order.
- Equity options: Paytm Money charges Rs.20 Per Order per order for equity options trading.
- Currency: For currency futures and options trading, Paytm Money charges Rs.20 Per Order per order.
- Commodity: The brokerage charge for commodity trading is Rs.20 Per Order per order.
Equity Brokerage Charges
| Equity Brokerage Charges | Paytm Money |
|---|---|
| Equity Delivery Brokerage | Free |
| Equity Intraday Brokerage | Rs.10 Per Order |
| Equity Futures Brokerage | Rs.20 Per Order |
| Equity Options Brokerage | Rs.20 Per Order |
Currency Brokerage Charges
| Currency Brokerage Charges | Paytm Money |
|---|---|
| Currency Futures Brokerage | Rs.20 Per Order |
| Currency Options Brokerage | Rs.20 Per Order |
Commodity Brokerage Charges
| Commodity Brokerage Charges | Paytm Money |
|---|---|
| Commodity Options Brokerage | Rs.20 Per Order |
Paytm Money Other Charges
In addition to brokerage charges, there are other charges to consider:
- Minimum brokerage charges: Paytm Money imposes a minimum brokerage charge of Rs.20 per order.
- Transaction brokerage charges: A customer incurs transaction brokerage charges, which amount to 0.00310% of the total turnover.
- SEBI turnover charges: Securities and Exchange Board of India (SEBI) levies turnover charges, which are 0.0002% of Total Turnover.
- Stamp duty charges: Stamp duty charges differ based on the state and the specific category of asset.
- GST charges: A GST of 18% of (Brokerage + Transaction Charges) is applied to brokerage and transaction charges.
- STT (Securities transaction tax): Paytm Money charges 0.0121% of Total Turnover of the total turnover as STT.
- Call and trade charges: If you place orders through call and trade, Paytm Money charges Rs 300.
| Other Brokerage Charges | Paytm Money |
|---|---|
| Minimum Brokerage Charges | Rs.20 per order | Transaction Brokerage Charges | 0.00310% | SEBI Turnover Charges | 0.0002% of Total Turnover | Stamp Duty Charges | As per the state | GST Charges | 18% of (Brokerage + Transaction Charges) | STT Charges | 0.0121% of Total Turnover | Call and Trade Charges | Rs 300 |
Paytm Money Equity Leverage
Leverage enables traders to amplify their market exposure using a relatively smaller capital amount. Here's the leverage provided by Paytm Money:
| Equity Leverage | Paytm Money |
|---|---|
| Equity Delivery | Upto 4x | Equity Intraday | Upto 20x | Equity Futures | Upto 3x | Equity Options | Upto 5x |
Paytm Money Currency Leverage
| Currency Leverage | Paytm Money |
|---|---|
| Currency Futures | Upto 2x | Currency Options | Upto 3x |
Paytm Money Commodity Leverage
| Equity Leverage | Paytm Money |
|---|---|
| Commodity | Upto 3x |
Paytm Money Offers
Numerous stockbrokers are enticing customers with attractive offers in order to expand their client base. Some of these enticing offers include:
| Offers | Paytm Money |
|---|---|
| Free Stock Trading Account | Yes | Free Demat Account | No | Flexible Plans | Yes | Brokerage Discounts | Yes | Happy Hours | No | 1 Month Free Plan | No | Holiday Offers | No | Referral Program | Yes | Zero Brokerage on Loss Trades | No |
Paytm Money Features
- Full Service Brokers:
Paytm Money is a leading online stock broker in India that offers discount brokerage services to retail investors. It charges a flat rate of Rs.20 per order per order executed, regardless of the trade size, segment, or exchange.
- Range of Investment Products:
Paytm Money is a one-stop shop for various financial investment products. It allows investors to trade in equity, commodity, and currency at BSE, NSE, and MCX. Additionally, it offers investment options in mutual funds, gold, peer-to-peer lending, insurance, and US investments.
- Subscription Plans:
Paytm Money provides three subscription plans: Basic pack, power investor pack, and ultra trader pack. These plans offer different benefits, including reduced brokerage fees, free trades, research advisory, and dedicated customer support.
- Research and Advisory Services:
Paytm Money stands out by offering exhaustive research and advisory services. It provides short-term and long-term investment ideas, derivative strategies, and portfolio-based investment ideas. The platform also offers a portfolio analyzer tool to analyze the performance of your investments.
- Margin Funding:
Paytm Money provides margin funding services. These enable you to make partial payments for your purchases in the cash segment. The balance is funded by Paytm Money at a nominal rate.
- Mobile Trading App and Trading Platforms:
Paytm Money provides a user-friendly mobile trading app, a web-based trading website, and an installable trading terminal. These platforms are built on the latest technology and offer seamless trading experiences. The mobile app allows trading, robo-advisory, and access to various investment options.
- Demat Account Services:
Paytm Money offers demat account services through its membership with CDSL. It has been recognized as a premier depository participant by CDSL.
- Low Charges:
Paytm Money is known for its lowest charges in the industry. It charges a flat fee of Rs.10 Per Order per order executed, and the platform also offers value-add packs for additional benefits. Additionally, 5Paisa provides free account opening and brokerage-free mutual funds.
- Algo Trading and Robo Advisory:
Paytm Money provides algo trading services and robo-advisory to its customers. These services help automate trading strategies and offer personalized investment advice based on risk profiles and return expectations.
- Customer Support:
Paytm Money offers dedicated customer support for its subscribers. The power investor pack and ultra trader pack include free customer support services.
| Features | Paytm Money |
|---|---|
| Equity Delivery Trading | Yes | Equity Intraday Trading | Yes | Equity Futures Trading | Yes | Equity Options Trading | Yes | Currency Trading | Yes |
| Commodity Trading | Yes | IPO (Initial public offering) | Yes | Stocks Suggestions | No | Robo Advisory | No | PMS (Portfolio Management Services) | No |
| Trading Institution | No | Trading Exposure | Upto 20x | Mutual Funds | Yes | SIP (Systematic Investment Plan) | Yes | Forex Trading | No | Banking | Yes | Insurance | No |
Paytm Money Advisory Services
The key distinction between a discount broker and a full-service broker lies in the range of services offered and the rates at which they are provided.
| Services | Paytm Money |
|---|---|
| Fundamental Reports | No |
| Research Reports | Yes |
| Company Reports | No |
| Annual Reports | No |
| Company Stock Review | No |
| Free Stock Tips | Yes |
| IPO Reports | No |
| Top Picks | No |
| Daily Market Review | No |
| Monthly Reports | No |
| Weekly reports | No |
| Offline Advisory | Yes |
| Relationship Manager | Yes |
Paytm Money Trading Platforms
The Paytm Money trading software comprises various trading platforms suitable for the diverse needs of the customers. It is built on IIFL's trading platform. It has been trusted by customers for the past two decades. The trading platform is available in three different forms. Namely: a mobile app, a web browser-based platform, and an installable desktop trading application.
Paytm Money Trading Platforms
| Desktop Trading Platforms | Paytm Money |
|---|---|
| Windows | Yes |
| Mac | Yes |
| Desktop Browser | Yes |
Paytm Money Mobile App
The Paytm Money mobile app allows users to trade on the go and provides access to trading at BSE/NSE and robo advisory services. Customers can download the app for free from either the google app store or the apple app Store. The app is designed to be simple and intuitive, enabling users to buy stocks, trade in stock and currency futures & options, and invest in mutual funds, ETFs, bonds, and more.
| Mobile App | Paytm Money |
|---|---|
| Mobile Browser | Yes |
| Android App | Yes |
| iOS App | Yes |
| Windows App | No |
| Other mobile os | No |
Paytm Money Web Trading
For web-based trading, Paytm Money offers a powerful trading website known as Paytm Money trader station. This website can be accessed through any web browser on computers, laptops, mobile devices, or tablets. It provides a wide range of trading and investment options within a single domain. The web platform is seamlessly integrated with payment gateways and banks, enabling instant fund transfers.
Paytm Money Trade Terminal
Paytm Money offers a trade terminal, which is a downloadable trading terminal specifically developed for active traders seeking advanced trading features. This desktop application offers real-time data and advanced charts for monitoring intraday and historic stock prices. It also offers a variety of keyboard shortcuts to facilitate real-time market monitoring and faster order placement.
Paytm Money Customer Support
- Relationship manager: Paytm Money does not offer a dedicated relationship manager for customers. However, they provide other channels for support.
- Offline trading support: Yes, Paytm Money does offer offline trading support. All trading activities are conducted online.
- Online trading support: Paytm Money provides online trading support to customers. Their trading platform is accessible via mobile app, web browser, and desktop application, allowing customers to trade conveniently.
- 24*7 support: Paytm Money provides extensive customer support to assist customers during regular business hours. You can easily connect with their dedicated support team for any assistance you may need.
- Email support: Customers can contact Paytm Money’s customer support team via email for assistance. They provide an email address where customers can send their queries and concerns.
- Chat support: Yes, Paytm Money does offer chat support as a customer service channel. Customers can easily reach out for assistance through chat.
- Toll-free number: Paytm Money does not provide a toll-free number for customer support. However, they may have a regular helpline number that customers can use to seek assistance.
- Support branches: Yes, Paytm Money has physical support branches where customers can visit for assistance. In addition, customer support is also provided through remote channels.
| Customer Support | Paytm Money |
|---|---|
| Relationship Manager | No |
| Offline Trading | Yes |
| Online Trading | Yes |
| 24 * 7 Support | No |
| Email Support | Yes |
| Chat Support | Yes |
| Toll free number | No |
| Support Branches | No Branch |
Paytm Money Complaints
Understanding the number of customer complaints received by a brokerage firm can provide insights into the quality and reliability of their services. The following table shows the information regarding the complaints received by Paytm Money.
| BSE Complaints | Paytm Money |
|---|---|
| BSE Complaints | 0 |
| BSE Resolved Complaints | 0 |
| Percentage of resolved BSE complaints | NaN % |
| NSE Complaints | 0 |
| NSE Resolved Complaints | 0 |
| Percentage of resolved NSE complaints | NaN % |
| BSE/NSE Complaint vs. Resolved Percentage | NaN % |
Conclusion
In conclusion, Paytm Money offers a range of trading and investment options through its user-friendly platforms. With competitive pricing and several investment choices, it is one of the best options for investors. However, the lack of comprehensive customer support and the number of customer complaints are areas of concern. Considering all the features and user experience, Paytm Money can be considered a decent stock broker, but you must examine the pros and cons carefully before making a decision.