With a turnover of more than 20000 crores every day, 5paisa currently takes the first place in the list of top demat accounts in India list. 5paisa not only lets its users trade in different segments but also offers many investment services including mutual funds and insurance. The Mumbai-based online broker also deals with other financial services like personal loans.
What Types of Financial Services Does it Offer?
Being a part of IIFL (India Infoline), 5paisa has the advantage of providing a number of reliable financial services to its users.
1) Online Trading
Currently, their brokerage services are the one that has attracted more than a million customers who actively uses the platform for trading. With 5paisa, you can trade in equity delivery, equity intraday, equity F&O, currency and commodity at NSE, BSE and MCX.
They have regularly updated blogs that provide trading tips. Moreover, with their advanced technology, it is very easy to navigate around the website and trade with ease.
2) Mutual Funds
Through 5paisa you can invest in SIPs, NFO, tax-saving funds and even plan them according to your future goals. They also give you the option of short-term investments with safe funds for people who like to play it safe.
Their amazing Robo advisory service helps you understand your goals and give you a scheme that will best suit your current financial status while still providing a good investment for the future.
5paisa not only provides a convenient and paperless way of getting insurance at the comforts of your house, but it also provides it at a discounted rate where you get to save 30% to 60% on your premium.
Currently, they provide health insurance and term insurance services. You can compare various policies online and even get help from insurance advisory services they provide. Moreover, they also provide claim support.
4) Personal Loans
To avail personal loans with 5paisa, you will have to have a demat account with the online broker. It is easy to apply for your loan online but the approval takes a little time as they will examine your papers and there are a few procedures involved.
Through this time, you can take constant updates and know the status of your application through your account and even direct call to their customer service. Also, their agent will stay in contact.
5 Paisa Review 2019: Why Opt for 5paisa?
If you’re looking for reasons to start trading, here a few to do it with 5paisa.
1) Invest in Small Case
5paisa allows its users to invest in small investments and choose their trading or saving plans as per their wish. They understand that not every trader, especially new ones, are interested in high-risk investments. That is why their small case investments are perfect for everyone.
2) Number of Trading Platforms
One great thing about 5paisa is that they make sure that no trader is left behind. They understand that every trader has their own personal goal and everyone has a different meaning for trading.
The different trading platforms have different features and advanced trading tools to make trading easy and efficient. To avail different features, the user can get a hold of these platforms and use them however they deem easy.
3) Various Financial Services
Being a part of IIFL, this Mumbai-based online broker doesn’t only provide broking services, but also mainstream financial services including mutual funds, insurance and personal loans.
All their services have better investment opportunities and the users can even compare various insurance plans. Their Robbo advisory services help the user understand the best course of action they can take to invest in mutual funds and gain maximum interest.
The personal loans can be applied online and the process is fairy easier when compared to other financial services providers. Though the whole process may take some time to get approval.
4) Discount Brokerage
Even though the internet is full of online discount brokers, 5paisa has raised the bar by providing Rs10 per trade. Other than this, the traders can open a free demat account with a simple, paperless method by applying online through their website.
5paisa usually doesn’t charge any hidden fee but it may charge a few extra bucks on certain services you opt.
5) Advanced Technology
5paisa is a highly efficient website that is extremely easy to use. The user can operate the website with basic knowledge and there are no complex mechanisms to go through. Not only their account opening process is hassle-free but also they provide advanced tools to make trading easier for new traders.
Their different platforms give the advantage of different trading tools which the trader can avail according to their needs and achieve their trading goals.
6) All-in-One Demat Account
If you have a demat account with 5paisa, then you can use the same account to deal with stocks, buy mutual funds and insurance. Moreover, they provide a 2-in-1 account which means, a combined demat and trading account.
This is also the reason why trading is so easy with 5paisa. The collective account summarizes everything for you and you don’t have to juggle between accounts to keep a record of everything.
5paisa Brokerage Plan 2019
The current brokerage plan for 5paisa goes like this-
- Trading Account Opening Charge – Rs650
- Demat Account Opening Charge – Rs0
- Trading Account Annual Maintenance Charge – Rs 0
- Demat Account Annual Maintenance Charge – Rs 400
|Equity Delivery||Rs 10 per executed trade|
|Equity Intraday||Rs 10 per executed trade (buy and sell are treated independently)|
|Equity Future||Rs 10 per executed trade|
|Equity Options||Rs 10 per executed trade|
|Currency Futures||Rs 10 per executed trade|
|Currency Options||Rs 10 per executed trade|
|Trading Segment||Exposure Margin|
|Equity Future||X3 (Intraday), x1 (delivery)|
Types Of Accounts Offered by 5paisa
Currently, 5paisa offers two types of accounts as per the users’ needs.
As the name suggests, the share trading account is a combined demat and trading account that can be used to buy and sell shares. The share trading account is for the users who are interested in stock trading and want to learn more about the stock market.
The share trading account by 5paisa can be opened without a hectic process of looking for an agent. The whole process is online and doesn’t require too much time or complex procedures. All you need is your identification details and current financial details.
The share trading account is integrated with mutual funds, ETFs and other financial services, so you won’t have to make different accounts for different services.
2) Mutual Funds Investment Account
Self-explanatory with the name, a mutual funds investment account is for people who only want to have a demat account for investment purpose and are not interested in trading. This account doesn’t require any official documents and all you need to do is provide your phone number and create an account.
Also, make sure you have researched about the various mutual funds in advanced and you know the exact funds you want to invest in. If your search around the web was a futile attempt then you can also opt for their help services. They will understand your goals and give you a good SIP or a lump sum investment plan.
Types of Trading Platforms
5paisa provides three kinds of trading interfaces – web-based platform, mobile platform and desktop-based software.
1) Mobile-Based Trading
5paisa’s mobile application is a compact and highly-efficient trading platform that allows you to trade on the go. It has some amazing features that help the traders analyse the market trends and make intelligent trading choices.
The mobile application can be downloaded through Google Play Store and Apple App Store and it runs smoothly even on low internet. The application has all the major functions as per the website, just on a smaller screen.
The 5paisa mobile application is best for people who want to keep an eye at the market and still go through with their daily tasks.
2) Web-Based Trading Application
Their website’s user-friendly interface that can be accessed through any browser or computer. It is completely safe and has amazing indicators and advanced tools that provide everything under one roof and the trader can buy, sell and keep a track of all his or her stocks at one place.
The website shows real market updates and the payment gateway makes it easy to transfer funds to and fro. When you trade through the website it is easier for you to keep a look at your trading status and the analyse the market trends.
If you’re a big investor than it would be better if you trust the website or the desktop software rather than the mobile application.
3) Desktop-Based Software
This downloadable software is available to the traders from the 5paisa website. The software is specially developed for professional and experienced traders who trade not as an investment or a try-your-luck scenario but have a genuine draw to the activity.
The software is integrated with much more advanced tools and helpful charts on intraday segments that can help in decision making and gives a way to increase your returns. For professional traders or new traders who are hoping to trade in the long run, the desktop software can be a really helpful addition to your assets.
How to Get Started with 5paisa?
Opening an account with 5paisa is a fairly simple task. You don’t need many documents and the whole process is paperless unless you decide to fill up an offline form.
During the online process, all you need is your Aadhaar number, PAN card and your bank account number (make sure they are linked). With this, you will have to fill up a basic demat and trading account opening form and provide your details.
Even though the whole process is done, their official usually calls within 24 hrs and not only confirm your identity but also brief you about the whole process. You can explain any of your queries and they are happy to help.
Another way is by downloading and printing the form and mailing it to their headquarters in Mumbai. This process takes a little time but not complex, in fact, as easy as the online process.
How Easy it is to Use?
When you jump into trading, it is important that you understand the trading platform and know your way around the application.
5paisa is a relatively easy-to-use platform when we compare to other online brokers. It doesn’t have many formalities and their officials are always on call to guide the trader through the initial stages.
So, if you’re a new trader, then 5paisa can be beneficial for you.
Summarizing it for you
So, with this, we have come to an end of the review. Here is a brief to help you decide whether 5paisa is for you or not.
- Brokerage rate at flat Rs10 per trade.
- They have a good trader assistance portal and responds within 24 hrs (and not to mention, extremely patient).
- All their trading platforms are free to use, including the downloadable software.
- Backed by IIFL and completely reliable.
- They have an easily accessible website.
- Extra cost on call and trade option at Rs100 per trade which is relatively high.
- Don’t offer 3-in-1 account.
- Exchange rates are a little higher when compared to other brokers.
5paisa has definitely stired things up in the online booking by providing cheaper brokerage but there are still some aspects that are missing or the way they compensate for the reduced brokerage by greater exchange rates and highly expensive call and trade options.
But if these two aspects don’t bother you much, then 5paisa is a really reliable online broker and their trader assistance is probably the best among several others. For a new trader this can prove to be very advantageous.
1) Is 5paisa really the cheapest broker?
If we just consider the brokerage then probably yes. But 5paisa has many hidden charges that compensate for the low brokerage charges.
2) What is the account opening charges for 5paisa?
The demat account is free of cost whereas you are charged Rs650 for a trading account.
3) Can we use the same account for trading and investing in mutual funds?
Yes, you don’t have to have separate accounts for investing in mutual funds and trading.
4) Can we apply for IPO through 5paisa?
No, you cannot apply for IPO through 5paisa.
5) What is the minimum premium on 5paisa health insurance?
There are different plans and different service providers. To know the premium you can contact 5paisa through the customer helpline number.
6) Is it possible to buy trade bonds and NCD with 5paisa?
Yes, you can buy trade bonds and NCD with 5paisa through a single account.