Zerodha May Discontinue Zero Brokerage Structure

SUMMARY

Zerodha cofounder and CEO Nithin Kamath said that with SEBI’s new circular, the platform will have to let go of the zero brokerage structure and /or increase brokerage for F&O trades

Kamath said that the rebate – the difference between the amount charged by brokers to the customer and that charged by the exchange to the broker – accounts for 10% of Zerodha’s revenue

In its circular, SEBI asked market infrastructure institutions that their charge structure should be uniform and equal for all its members instead of slab-wise

Following the Securities and Exchange Board of India’s (SEBI) circular on Monday barring market infrastructure institutions (MIIs) from offering discounts based on trading volumes or members’ activities, Zerodha cofounder and CEO Nithin Kamath has said that the brokerage might have to let go of its zero brokerage structure.

In a post on X, Kamath said, “With the new circular, we will, in all likelihood, have to let go of the zero brokerage…

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