Which is better 5paisa vs zerodha?

This question is a very open question. We will divide this answer into 5 segments – Brokerage, Margin, Product and Services, Trading Platform and Customer Service.

Brokerage: When you are comparing between 2 leading discount brokers, I assume we should ignore the brokerage. 5paisa is charging Rs 10 per executed order and Zerodha is giving free delivery trade and Maximum Rs 20 per executed order. So if you are an investor, 10 Rs or free trade both are almost negligible. For traders also Rs 10 or 20 per executed orders does not have a major difference.

Margin: 5paisa and Zerodha, both are offering almost similar order types and margin. Both have MIS, NRML, CO and BO orders. So if you are a trader, you will get almost similar margin with both the brokers.

Product and Services: Only difference which I see is, 5paisa don’t have commodity trading facility. Other than that Zerodha offering many 3^rd part tools semi-automated trading, market alert tool and so on. Where 5paisa is not offering such tools. 5paisa is offering Insurance advisory as an ad on service which is missing in Zerodha. But for trader point of view, we assume Zerodha is on the upper side.

Trading Platform: Zerodha Kite is the easiest and smart trading platform. 5paisa ‘s Trade Station is also designed with lots of advanced features. Zerodha doesn’t have GTC/GTD order facility, where 5paisa is offering GTD facility. Other than that we found both the trading platforms are almost similar.

Customer Service: Zerodha know the value of customer service and constantly investing money in its online support process. Initial account opening is always challenging with discount brokers as they don’t have many branch network. You have to complete account opening formalities on your own. Once the account is up and running, we personally see a very limited issue.

Same is with 5paisa, account opening process usually take longer because of lack e of online knowledge by users and higher paperwork requirements by SEBI. Once your account is approved, the process is very smooth.

If you can do online transaction and trading, both the companies have a very stable trading platform.

Zerodha has a strong online library and putting lots of efforts to make online support desk very powerful so they can reduce day to day recurring issues and resolve the same with online support/faq.

In last year(2018-2019), a couple of times it was observed that Zerodha Kite trading platform was down for few hrs, which is one negative point. We assume as Zerodha is growing towards becoming number 1 broker in India, must have taken serious action to resolve such issues.

Final Thought – Its difficult to give an answer about which one is better between 5Paisa vs Zerodha,  we consider both the brokers are competitive, now it’s up to your requirements, if you wish to trade in commodities or want to use algo trading, Zerodha is good option. If you are an investor, Zerodha is giving free delivery trade, so why to pay Rs 10 extra. If you are a trader, 5paisa is giving you a similar trading platform, the similar margin in just Rs 10 per order, so we consider 5paisa will be getting upper hand on this.