Zero Brokerage (Delivery Trading)

A pricing model, popularized by discount brokers, where equity delivery trades carry no brokerage charge at all, though other fees like STT and taxes still apply.

What It Means

Zero brokerage is a pricing model, popularized by discount brokers like Zerodha, where equity delivery trades carry no brokerage charge at all — you can buy and hold shares without paying the broker a fee for that specific transaction.

How It Works

"Zero brokerage" applies specifically to delivery trades, not every trade type — intraday, F&O, and other segments still typically carry brokerage or a flat fee per order. Even on a zero-brokerage delivery trade, several other charges still apply regardless of what the broker charges: STT, exchange transaction charges, SEBI turnover fees, stamp duty, and GST on the applicable charges. Brokers can offer zero brokerage on delivery because it's a small slice of their overall revenue — the bulk typically comes from intraday and F&O brokerage, along with other services.

Warning

"Zero brokerage" doesn't mean a trade is entirely free — STT, exchange charges, and other statutory fees still apply on every delivery trade, even with a broker that waives its own commission.