HDFC SECURITIES REVIEW 2020 & BROKERAGE CHARGES

HDFC Securities Review 2020

HDFC Securities review

HDFC bank warrants no introduction not only in India but in other parts of the world too. Its stock broking subsidiary, HDFC Securities enjoys the same level of popularity in today’s stock broking scenario. Launched nearly 2 decades back, the stock broker has come a long way and regarded as one of the top full-service brokers in India.

HDFC Securities offers both online trading as well as phone-based stocking trading. The HDFC Securities trading account has a distinctive 3-in-1 account feature that combines your HDFC Securities trading account with your existing HDFC bank savings account and existing Demat account. Funds / shares can be feasibly moved from the linked Demat/Bank account to execute the transactions.

The biggest benefit of this feature is faster trading which allows investors and traders to grab great opportunities that are often left discarded in case of on-banking financial companies (NBFCs) such as Ventura Securities, India Infoline, Religare Securities where it takes time to transfer funds from your bank account to trading account.

HDFC Securities also provides features such as Day trading on both NSE and BSE, Cash-n-Carry on both NSE and BSE, Trade on Futures or Options on NSE and the online IPO Investments.

The leading stock broker in the country is known to have over 260 branches across the nation and it gives overall satisfactory broking services to its clients. HDFC Securities claims to have nearly 6,64,256 active clients by 2019 for this financial year 2019-20 placing it as the 3rd largest stockbroker in India.

HDFC Securities offers its customers to trade across following segments:

  • Equity
  • Currency Trading
  • Mutual Funds
  • IPO
  • HDFC PMS
  • ETFs
  • Bonds
  • Fixed Deposits
  • Insurance

HDFC Securities offer the best-in-class security by adopting 128-bit encryption technology. You can expect to get faster trade processing as all its orders are placed electronically.

Membership Information

Its membership details are given below.

 

Entity Membership ID
BSE INB011109437
NSE INB231109431
NSDL 11094
CDSL 393
Registered Address Think Techno Campus, Building, B, Alpha, Office Floor 8, Near Kanjurmarg Station, Kanjurmarg (East), Mumbai -400 042

 

Process to Open an account at HDFC Securities

HDFC Securities offers a unique 3 in 1 account which allows its customers to open demat, trading as well as a bank account right with HDFC Bank Limited. One can open those account separately or at the same time under one umbrella by submitting a single application form.

With 3 in 1 account, there is no need to transfer the money manually to your trading account from the bank account. The needed funds get credited automatically.  Therefore, it is quite easier to manage.  Once your account is open, you can start trading in Equity, IPO, Mutual Fund, ETF, Tax free bonds, Currency Derivatives, Gold ETF etc.

When it comes to open an account in HDFC Securities, an investor or trader have two options available.

  1. Fill online Contact Us form on HDFC Securities web site. Enter your name, phone number, email address, city and submit the form. After you submit the form, one of HDFC Securities representative will get in touch with you.
  2. Visit one of your nearest HDFC Bank Branch and fill up the application to open a Demat account with HDFC Securities.

Once form is submitted, application will process at their central processing unit (CPU) and is forwarded to HDFC Bank for linking/ opening of the Bank and Depository accounts. Once all these things are done, the mentioned details and your Telephone Identification Nos. (TIN), Passwords etc. will be forwarded to the customer. In case your application is not processed due to any missing information, one of the broker’s representatives will contact you.

 Account Opening Charges

  • HDFC Securities Account Opening Charges (Trading Acct): ₹999
  • HDFC Securities AMC Charges (Trading Acct): ₹0
  • HDFC Securities Account Opening Charges (Demat Acct): ₹0
  • HDFC Securities AMC Charges (Demat Acct): ₹750

HDFC Securities Account Opening Status

Once form is filled and submitted, customer will receive a Unique Docket Number (UDN) upon receipt of application. Using this UDN, the customer can keep track and check the status of account opening form at given point of time.

HDFC Securities Account Opening Form

HDFC Securities Account Opening Form is easily available on their HDFC Securities website. A customer needs to download and fill it up.

  • Documents Required

Here is a list of documents that are needed to open an account with HDFC Securities:

  • Proof of Identity (POI) (Driving license)
  • Proof of Address (POA) (Passport)
  • Proof of Income (For trading in derivatives such as F&O) (Copy of ITR Acknowledgement)
  • Proof of Bank Account (Cancelled cheque)
  • PAN Card
  • 1 to 3 passport size photographs

HDFC Securities Trading Platforms

Being a leading full-service broker in India, HDFC Securities offers easy to use trading platforms for desktop, browser and mobile. The biggest plus point with these trading platforms is that they are developed and maintained in-house which means you will get full-fledged support in case of any problem or query.

HDFC Securities Trade

HDFC Securities allows its clients to perform web trading through its browser-based trading application “Trade.HDFCSec”. This browser-based application can be run from any location through your desktop, laptop or mobile with an internet connection. And as it is a responsive application, the user experience across devices stays smoother and optimal.

HDFC Securities Trade

Some of the main features the trading application has are:

  • A very customizable trading system with an option to personalize the trading experience as per preferences
  • Advanced and interactive charts for detailed technical analysis
  • Research reports, news and market tips within the application
  • Personalized watch lists feature

HDFC Securities Blink

Is HDFC Securities good for trading?

Blink by HDFC Securities is basically a terminal based trading application and boasts of high-speed trading as compared to the other leading trading platforms available in the country. Some of its other leading features of the trading software are:

  • Witness real-time price movement and take your decision
  • Transaction monitoring using the order book, trade book, and net position
  • A single user interface for placing an order in Equity and Futures & Options
  • Shortcuts for activities such as Buy, Sell, Order book etc.

HDFC Securities Mobile App

Which is better Zerodha vs HDFC Securities?The HDFC securities Mobile Trading App by HDFC offers a wide range of great trading features like real-time markets update, advanced charts, and investment ideas. HDFC Securities Mobile App offers a range of useful features to traders to trade on the move and keep a track on their investments.

The mobile trading app is available in English and 11 Indian regional languages. It can be  across Android, iPhone, iPad and Blackberry platforms. The features of the mobile trading software include-

  • One stop app to buy/sell across segments and exchanges
  • Stay ahead of the Markets with real-time updates
  • Get comprehensive details of the stocks
  • Real-time intraday charting features
  • Create multiple watchlists and track desired scrips
  • Comprehensive portfolio view to track all your investments
  • Apply for IPO
  • Access to research calls
  • Notifications and alerts
  • Locate nearest branch office
  • Access to news and views from stock markets

HDFC Securities Customer Ratings & Review

The bank-based conventional stockbroker in India offers customer services to its clients through following communication channels:

  • Email
  • Offline Branches
  • Phone
  • Online assistance through web form/chat

One of the unique aspects of HDFC Securities customer care is its chat-bot tool known as ‘Ask Arya’. This chatting tool is completely automatic can assist you in areas such as:

  • Investing with HDFC Securities
  • Monitoring Portfolio
  • Stock Market Quotes
  • Research calls and tips
  • Mutual fund reclamation

Though the quality of query resolution is quite improved than typical HDFC, which is widely known for slower responses to its clients, be it any channel of communication. Therefore, if you are looking to open a trading account with the bank, then you must consider this aspect while making your eventual decision.

HDFC Securities Pricing

HDFC is one of the best stockbrokers of India and levies a bit high account opening, maintenance and brokerage charges. So, you have to comprehend that although you might “think” that opening a trading account with a bank is completely safe for you but the fact of the matter is, it is certainly one of the most costly ones.

Account Opening Charges

 

 

Transaction  Fee
Trading Account Opening Charges (One Time)  ₹999
Trading Annual Maintenance Charges AMC (Yearly Fee)   ₹0
Demat Account Opening Charges (One Time) ₹0
Demat Account Annual Maintenance Charges AMC (Yearly Fee) ₹750

 

Brokerage Charges

 

Segment  Brokerage Fee
Equity Delivery 0.50%
Equity Intraday 0.05%
Equity Futures 0.05%
Equity Options ₹100 per lot or 1% of the premium (whichever is higher)
Currency Futures  ₹23 per contract
Currency Options ₹20 per contract
Commodity Futures 0.02% for Intraday / 0.025% for positional
Commodity Options 0.02% for Intraday / 0.025% for positional

                                                                               

Demat Account Charges

Sr. No. Fee Head Type Fees Min / Max
1 Account Opening NIL
2 Dematerialization Certificate + Dematerialisation Request Rs.5/- per certificate + Rs. 35/- per request Rs.40/- (min)
3 Rematerialisation Rematerialisation Request Rs.30/- per request + actuals, Currently a) Rs. 10/- for every hundred securities or part thereof; or b) a flat fee of Rs. 10/- per certificate whichever is higher Rs.40/- (min)
Rs.5,00,000/-(max)
4 Annual Maintenance Charges Level 1 (upto 10 txns.) Rs.750/- per annum
Level 2 (between 11 and 25 txns.) Rs.500/- per annum
Level 3 (greater than 25 txns.) Rs.300/- per annum
5 Pledge Services If Pledge is marked in favour of HDFC Bank 0.02% of the value of the Txn. Rs 25/- (min)
If Pledge is marked to other than HDFC Bank 0.04% of the value of the Txn. Rs 25/- (min)
6 Debt Transaction Credit Nil
Debit 0.04 % of the value of the txn Min. Rs.25/- Max. Rs.5,000/- (per txn.)
7 Equity Transaction
Credit Nil
Debit SPEED -e / Easiest 0.04% of the value of the txn. Rs.20/- (min)
HDFC Securities 0.04% of the value of the txn. Rs.25/- (min)
Manual 0.04% of the value of the txn. Rs.40/- (min)
8 Mailing Charges for Non Periodic statements Inland Address Rs.35/- per request
Foreign Address Rs.500/- per request

 

Transaction Charges

 

Segment  Transaction Fee
Equity Delivery 0.00325%
Equity Intraday 0.00325%
Equity Futures .00190%
Equity Options 0.050% (on premium)
Currency Futures 0.00110%
Currency Options 0.040% (on premium)
Commodity NA

HDFC Securities Margins

The exposure or margin details of HDFC Securities is given below.

Trading Segment   Margin HDFC Securities
Equity Delivery 2x with Interest
Equity Intraday Up to 20x
Equity Futures Nil
Equity Options Nil
Currency Futures Nil
Currency Options Nil
Commodity Futures Nil
Commodity Options Nil

                            

IPO

HDFC Securities offers online IPO applications for IPO’s at BSE and NSE exchanges.

There are three ways to apply in IPO with HDFC Securities

  1. Online IPO Application
  2. Call customer service and apply
  3. Visit HDFC Securities branch and apply

HDFC Online IPO Application Process / How to apply IPO through HDFC bank

Online Investing in IPO’s with HDFC Bank is considered the simplest, safest, fastest and easiest way to apply for IPO shares in India.

You can apply in IPOs on a single click or a call based on your convenience. Here are few easy steps to apply IPO with HDFC Securities:

  1. Login to HDFC Securities trading website.
  2. Click on IPO button on top navigation bar to see the list of Current IPOs/FDs.
  3. Click APPLY (in the last column) of the IPO you would like to apply for.
  4. On Place Order page select investor status (i.e. ASBA Retail), enter order information and click Proceed
  5. A confirm box click on Confirm
  6. On disclaimer page, click on I Agree button at the bottom.
  7. If enough funds are not available, as Online Fund Hold & Order Placement page appear.
  8. Select the bank account information from where you would like to transfer funds and Submit.
  9. IPO – Order Book page is loaded with information about your application.
  10. Choose IPO and click on Modify button if you would like to make any changes to IPO application while IPO is open.
  11. Click Cancel button on Order Book page to cancel the order.

Once you submit the online IPO form, HDFC Sec will complete remaining formalities in regard to submission of your IPO form using the Power of Attorney issued by you at the time of account opening.

Applying in SME IPO’s through HDFC Securities

HDFC Securities online IPO enables customers to easily apply for public issues both book building and fixed price online by eradicating the need for typical page forms.

But (as of Sept 2016) HDFC Securities doesn’t receive online applications for SME IPO’s (IPO’s at BSE SME and NSE Emerge exchange).

HDFC customer needs to apply in SME IPO’s by filling the paper IPO application forms.

HDFC Securities IPO Charges / Fees

IPO Application though HDFC Sec doesn’t carry any charge for all its customers how have 3-in-1 account. Customer are not required to deposit any fee, charges or taxes to apply for IPO shares.

Note: Customer has to pay brokerage and taxes only when they choose to sell the shares given to them though IPO. The changes are same as you sell any shares bought straight from the stock market.

HDFC Security is considered among the costliest stock brokers in India. There brokerage charges are claimed to be the highest in the country. A majority of customers of HDFC Securities also hold account with ProStocks and transfer the IPO shares offline to ProStocks to sell them for lesser brokerage.

HDFC Securities Research

HDFC Securities is a full-service stockbroker and very much involved into providing useful tips and recommendations to its clients through research calls and reports on a timely basis. These communications are typically done through:

  • Email
  • SMS
  • Trading Platforms

In regard to the quality of the research, the trading calls and tips at the intraday level is quite improved than the Industry standard in nature while the basic research is attractive though. Thus, depending on your trading conduct, you may choose to follow the research given by the broker.

Moreover, the most preferred way is to ensure that you do some analysis in one form or other on your own as well. Using this, you will be able to support the research offered by the broker and put your money in much more ease.

NRI Account

HDFC doesn’t the option of 3-in-1 NRI Account or online trading to NRIs from USA and Canada. The foreign nationals who are residents of the United States and Canada cannot choose to trader in India Stock Market through HDFC Bank.

The HDFC Securities brokerage charges for NRI is 0.75% for equity delivery trades.

HDFC Product Offerings for NRI:

  • Equity
  • Equity F&O
  • Mutual Funds
  • IPO
  • ETFs
  • Bonds and NCDs

HDFC NRI 3 in 1 Account

HDFC Securities offers a wider variety of trading and investment services to NRIs. To make investment through HDFC, an NRI needs to open an NRI 3-in-1 account. The 3 in 1 account is a group account which includes 3 accounts in it:

  1. NRI Bank Accounts

HDFC NRI Bank Account comes in two versions; NRE and NRO account. This account is used to hold money.

  1. NRI Demat Account

HDFC NRI Demat Account is an online account to hold securities in electronic format. In India, a demat account is obligatory for investors to invest in the stock market. Along with stocks and equity derivatives, the demat account is also quite helpful in investing in mutual funds, IPOs, and bonds.

  1. NRI Trading Account

HDFC NRI Trading Account gives access to BSE & NSE to trade across stocks, equity derivatives, and ETFs.

Benefits of NRI Demat Account

  1. Zero Demat Account Opening Charges
  2. No risk of loss to traded securities
  3. 1st year AMC charges exempted. Special charges from 2nd year onwards.
  4. Facility for dematerialization & Rematerialization of Securities, Conversion, and Redemption of Mutual Funds
  5. Digital Loan facility against shares/ mutual funds
  6. Online investment feature in stocks, IPOs, bonds, and NCDs.
  7. Watch Your Holding and Transaction details right on web
  8. Rapid Transfer of securities
  9. Auto credit of dividends, stock split, etc. in your associated bank account.
  10. A 3-in-1 account for the best-in-class trading comfort

The Conclusion

If you are doing positional trades or long-term trades, and not intraday, then HDFC securities is good for you. HDFC securities research is really good. This will help you in your positional trades and since trades will be limited, brokerage charges will come down.

For beginners, HDFC Securities might not be a feasible solution for beginners who may feel under pressure due to high brokerage. On the other hand, customer service response is quite satisfactory, however, there is always a scope of improvement.

Best Stock Broker

HDFC SECURITIES REVIEW 2020 and BROKERAGE CHARGES

Editor's Rating:
5