Nithin Kamath Says Zerodha Will Continue To Remain Free For Equity Delivery

The decision comes on the back of the circular from the Securities and Exchange Board of India (SEBI). The latest true-to-label circular from the markets regulator came into effect from October 1

Zerodha CEO Nithin Kamath on Tuesday said that the brokerage platform will continue to remain free of cost for equity delivery. The executive informed that there will be no changes in brokerage charges for the platform.

Sharing the announcement via a post on social media platform X, formerly known as Twitter, Kamath noted, “For options: STT increases to 0.1% from 0.0625%, and transaction charge decreases to 0.035% from 0.0495%. This results in the cost of trades seeing a net increase of 0.02303% or Rs 2303 per crore of premium on the selling side on NSE and of 0.0205% or Rs 2050 per crore on BSE.”

The decision comes on the back of the circular from the Securities and Exchange Board of India (SEBI). The latest true-to-label circular from the markets regulator came into effect from October 1, 2024.

Notably, earlier in July, Kamath stated that Zerodha earns 10 per cent of its revenue from rebates. These would be impacted by the regulator’s circular, reported Moneycontrol.

“We earn about 10 per cent of our revenue from these rebates. This could range between 10 per cent and 50 per cent of the revenue for other brokers. For us, this has increased from 3 per cent to 10 per cent in the last four years because of the increase in options turnover. Today, 90% of our revenue from these rebates comes from options trading alone. With the new circular brokers will no longer earn these rebates,” the Zerodha owner noted.