Are you looking for the best Demat account in India? If you want to start your investing journey and looking for the best demat account then you might come across Zerodha and Upstox. It might be confusing for you to pick but don’t worry we are here to help you out. In this post, we are gonna share a detailed comparison between Zerodha vs Upstox so that you can easily pick the ideal broker for your needs.
Investing is something that is a very good habit and can change our lives if we invest systematically. In this article, I am going to talk about Zerodha vs Upstox comparison and differences in detail. Earlier it used to be very difficult to invest money but nowadays everything can be done sitting at any place through smartphones using discount brokers like Zerodha or Upstox.
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Zerodha Vs Upstox Comparision
Zerodha and Upstox both are discount brokers which means you can invest or trade at a really low commission or fixed commission in contrast to a Full Service Broker. However, this also means that these two brokers won’t provide free trading calls and free research reports like full-service brokers.
| Basic Difference | Zerodha | Upstox |
|---|---|---|
| Type of Broker | Discount | Discount |
| Year of Incorporation | 2010 | 2012 |
| Founders | Nithin Kamath, Nikhil Kamath | Ravi Kumar, Kavitha Subramanian, Shrini Viswanath. |
| Supported Exchanges | NSE, BSE, MCX, NCDEX | NSE, BSE, MCX, NCDEX. |
| Depository | CDSL | CDSL |
Account Features
| Account Features | Zerodha | Upstox |
|---|---|---|
| 3 in1 Account | Available | Available |
| Free Trading Calls | N/A | N/A |
| Free Research Report | N/A | N/A |
| Margin Funding | N/A | N/A |
| Margin Against Share | Available | Available |
| Algo Trading | N/A | Available |
| SMS Alerts | Available | Available |
| Online Demo | Available | Available |
| Online Portfolio | Available | Available |
| Dekstop Trading App | Kite | Upstox Pro |
| Intraday Square off Time | 3:20 PM | 3:15 PM |
Investment Options
Zerodha and Upstox are registered with NSE, BSE, MCX, and NCDEX. Therefore you can invest or trade in Equity, F&O, Currency and Commodities. In addition to this, you can also invest in government bonds using these two platforms. However, you can’t invest in US stocks as well as forex trading with these two applications. Also, both of these platforms offer Zero commission on Mutual funds and IPOs.
| Investment Options | Zerodha | Upstox |
|---|---|---|
| Equity | Available | Available |
| Futures | Available | Available |
| Options | Available | Available |
| Currency | Available | Available |
| Commodity | Available | Available |
| Mutual Funds | Available (Using Coin App) | Available |
| IPO | Available | Available |
| SGBs | Available | Available |
| Bonds & Debt Instruments | Available | Available |
| Excahnge Traded Funds (ETF) | Available | Available |
| US Stocks | N/A | N/A |
| Forex Trading | N/A | N/A |
Account Opening Charges and AMC
Zerodha Charges ₹200 For account opening for trades on Equity, F&O and Currency. Likewise, if you want to open in commodities account then you have have additional ₹100 so the total account opening fee will be ₹300. In addition to this Zerohda also charges ₹300/year + GST as AMC.
You can also apply for BSDA in Zerodha if you have only 1 demat registered with that PAN across brokers. In BSDA, you can enjoy Zero AMC if your account holdings are less than ₹50,000 but holdings more than this will attract AMC.
Upstox used to charge both the Account opening fee and AMC earlier. Later in August 2021, it switched the AMC and Account opening fee to ₹0. This means you can open a Lifetime free demat account with Upstox for free.
| Charges | Zerodha | Upstox |
|---|---|---|
| Account Opening Charges | ₹200 (Equity, F&O and Currency.) ₹300(Equity, F&O, Currency and Commodities.) | Free |
| Account Maintenance Charges (AMC) | ₹300/year + GST | Free |
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Fund Transfer Fee
You add funds using UPI, Net banking, NEFT/RTGS, IMPS and Cheque in both Upstox and Zerodha. UPI is free of cost and the fastest. However, interms of net banking fund transfer Zerodha charges ₹9 and Upstox charges ₹7.
Brokerage Charges
Brokerage is common that your broker charges from you whenever you buy stock as delivery, Intraday or trade segments like F&O. As per the SEBI Rule, no broker can charge more than the brokerage of 2.5% of the total traded value. In contrast to a full-service broker, most of the discount broker has this 2.5% charge capped up to ₹20. This is one of the reasons most people prefer discount brokers.
As you can see Zerodha has Zero Brokerage on the equity delivery side. Whereas Upstox charges 2.5% or ₹20 whichever is lower. This is one of the major drawbacks we find about upstox.
| Brokerage Charges | Zerodha | Upstox |
|---|---|---|
| Equity Delivery | Free | 2.5% or ₹20 Whichever is lower |
| Equity Intraday | 0.03% or ₹20 Whichever is lower | 0.05% or ₹20 Whichever is lower |
| Equity Futures | 0.03% or ₹20 Whichever is lower | 0.05% or ₹20 Whichever is lower |
| Equity Options | ₹ 20 | ₹ 20 |
| Currency Futures | 0.03% or ₹20 Whichever is lower | 0.05% or ₹20 Whichever is lower |
| Currency Options | ₹ 20 | ₹ 20 |
| Commodities Futures | 0.03% or ₹20 Whichever is lower | 0.05% or ₹20 Whichever is lower |
| Commodities Options | ₹ 20 | ₹ 20 |
| Call Trade | 0.03% or ₹20 Whichever is lower | ₹50 + GST |
| Auto Square of Charges | ₹ 50+ GST | ₹50 + GST |
Exchange Transaction Costs
Irrespective of brokerage charges, you have to pay the fees charged by the Stock Exchanges like NSE, or BSE. These charges can vary from below the Exchange Transaction Costs of these platforms.
| Exchange Transaction Costs | Zerodha | Upstox |
|---|---|---|
| Equity Delivery | NSE: 0.00325% BSE: 0.00375% | NSE: 0.00345% BSE: 0.00325% |
| Equity Intraday | NSE: 0.00325% BSE: 0.00375% | NSE: 0.00345% BSE: 0.00325% |
| Equity Futures | NSE: 0.0019% | NSE: 0.002% |
| Equity Options | NSE: 0.05% (on premium) BSE: 0.005% (on premium) | NSE Exchange turnover charge: 0.053% (on premium) |
| Currency Futures | NSE: Exchange txn charge: 0.0009% BSE: Exchange txn charge: 0.00025% | NSE: Exchange txn charge: 0.0009% BSE: Exchange txn charge: 0.00022% |
| Currency Options | NSE: Exchange txn charge: 0.035% BSE: Exchange txn charge: 0.001% | NSE: Exchange txn charge: 0.035% BSE: Exchange txn charge: 0.001% |
| Commodities Futures | Group A Exchange txn charge:0.0026% Group B: Exchange txn charge: CASTORSEED – 0.0005% KAPAS – 0.0026% PEPPER – 0.00005% RBDPMOLEIN – 0.001% | Non-Agri: Exchange turnover charge: 0.0026% |
| Commodities Options | Exchange txn charge: 0.05% | Exchange turnover charge: 0.05% |
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SEBI Charges and GST
Each of the two platforms, Upstox and Zerodha, charges SEBI a fee of Rs 10 per crore traded value and a stamp fee. On top of all those charges, you also have to pay 18% GST on brokerage fees, SEBI fees, and transaction fees.
DP Charges
A depository charges the depository participant, such as NSDL and CDSL. DP Charges are flat transaction fees regardless of how many units are sold. DP charges are levied on the sale of Delivery equities. The DP charges are applied when you sell units after holding them for more than a day. Here Zerodha again takes the lead over upstox.
| DP Charges | Zerodha | Upstox |
|---|---|---|
| DP Charges | Rs. 13.50 + GST per scrip per day | Rs. 18.50 + GST per scrip per day |
Margin Trading Facility
Talking about Margin trading is almost the same as taking a bank loan. Mainly traders heavily rely on Margin Trading. This feature allows them to trade with an additional amount along with their own money. Since it is a loan, you have to pay interest.
| Margin | Zerodha | Upstox |
|---|---|---|
| Equity Delivery | N/A | N/A |
| Equity Intraday | 3X | 5X |
| Equity Futures | 2.5X | 2X |
| Equity Options | 2.5X | 2X |
| Currency Futures | 2.5X | 2X |
| Currency Options | 2.5X | 2X |
| Commodities Futures | 2.5X | 2X |
| Commodities Options | 2.5X | 2X |
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Margin shortfall penalty
Zerodha and Upstox have the same Margin shortfall penalty.
| Shortfall collection for each client | Penalty percentage of the shortfall |
|---|---|
| (< ₹1 lakh) And (< 10% of applicable margin) | 0.5% |
| (>= ₹1 lakh) Or (>= 10% of applicable margin) | 1.0% |
- If the margin shortfall continues for more than 3 consecutive days.
- If there are more than 5 instances of a shortfall in a calendar month.
- For MCX, if the margin shortfall is reported 3 times or more during a month.
Zerodha Vs Upstox: App Features
User Interface
Zerodha has a clean and modern user interface which can be difficult for beginners though you can easily get used to it within a few days. Upstox has two different modes in their app: Normal Upstox and Upstox Pro. Normal Upstox offers a beginner-friendly and easy-to-use interface but it lacks many essential features. In Upstox Pro you can get many advanced features. By the way, there aren’t any charges for Upstox Pro.
App Performance
Interms of performance Zerodha again wins the race but in the panic market, we have noticed the app crashing a lot. Upstox app is also well optimized but we noticed a few bugs often.
Advance Orders
Zerodha offers numerous advance order features such as GTT, Iceberg, Basket order and AMO. Upstox on the other side features GTT, AMO and Basket orders but it lacks Iceberg order. Also when you create a basket of Equity stocks Zerodha shows you some key ratios about your basket.
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Stock Events
If you invest or wishlist a stock on Upstox it will send you news and upcoming events about that stock whereas in Zerodha it doesn’t offer such a feature. However, you can see stock news and events on that fundamental page of the stock on both these apps.
Stock Warnings
Both of these platforms boast a tool that warns you about securities whether the stock is in the ASM or GSM list and also if there any kind of price manipulation is happening with the stock.
Daily Mails
Upstox sends you daily updates about the markets as well as stock key events. Zerodha doesn’t send frequent emails though it sends mail about IPOs and major events happening in the market using Finshots.
Finding Stock
Finding a stock in Zerodha is a bit challenging task. Although it isn’t much concerning thing to worry about. Still, you can easily find a stock in Upstox using the company name or even using company brands. On the other hand, Zerodha shows you the equity upon searching by its NSE or BSE Code.
Fundamental Data of Stock
Analysing the fundamentals of a stock is one the most important tasks if you are considering long-term inventing. In Upstox Pro mode you can see numerous data on stock such as Key Ratios, holdings and also the balance sheet of that stock.
Speaking of Zerodha you will be redirected to the Tickertapes site upon selecting Fundamentals of a Stock. On this site, you can also see stock holdings and balance sheets. However, since It’s a normal version of Tickertape, many key ratios are locked for you.
Analyze Portfolio
In Zerodha you can even analyze your stock and see some insights data about your portfolio such as expected return, red flags, PE ratio and Portfolio volatility. Also, you can see your sector and market cap-wise investment value. In Upstox you can’t find these data but you can get a portfolio growth chart which is missing in Zerodha.
Customer Support
In Upstox you can contact the support team via chat, call and email. Even though, there isn’t a separate call-me-back option still if you connect with their customer executive instantly via chat support and then you can also ask them to call you back. So clearly Upstox customer support is the most useful.
Speaking of Zerodha you will find to option Call and Support portal. Connecting to Zerodha customer support via call isn’t so much easier process.
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FAQs: Zerodha Vs Upstox
In comparison to Zerodha, Upstox is better for beginners.
No Upstox doesn’t charge any account opening fee and AMC.
Upstox is best for Mutual Fund Investment.
No there aren’t any additional charges for Upstox Pro.
Yes, you can open a BSDA or Basic Service Demat Account with Zerodha.
For trading Zerodha is no doubt the best platform but if you are a beginner then you can consider Upstox.
Yes, Zerodha offers Sensibull Pro For Free.
Conclusion
So this was all about Zerodha Vs Upstox. After seeing the price and features of both Zerodha Vs Upstox, We can say that if you are a student or a small investor you should consider Upstox. For beginner traders and Mutual funds, investors can also consider Upstox.
However, if you are a serious investor and want to invest some money regularly then you should go for Zerodha as it gives better savings in the long run. I hope this post about Zerodha Vs Upstox was helpful for you.
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