ICICI Securities Review

22 Aug 2020  Read 690 Views

ICICI Securities provide a platform for investment in the stock market and other financial instruments. ICICI Securities also offers timely pay-in and payout, settlements, and above all other personalized services. Just like a wheel needs a lubricated chain to operate along. It provides equity capital market products, including IPO, further public, rights, and convertible offerings. It also offers qualified institutional placements, non-convertible debentures, buyback, delisting, open and international offerings for unlisted and listed companies. They extend their services to corporates, financial institutions, HNIs, and retail investors. It also serves by ICICIdirect.com, an online stockbroking platform for trade enthusiasts to invest in Equity, Derivatives, Currency Futures, MF, and other financial products. Apart from offering trading services, it adds cherry to the cake by providing accessibility to research information, stock picks, and mutual fund recommendations. 

Introduction 

Operating for the past 65 years and creating its presence across the country, ICICI Securities is part of ICICI Group and India's top financial service provider offering banking and other financial services. It trades with its retail investment scope with ICICI Direct. It presents e-trading and investment services to customers through ICICI Direct. They serve investment products such as Online Equity & Derivatives Trading, Mutual Fund, Initial Public Offers & Fixed Deposits, Bonds, NCD, wealth management related products, Loans for home, Loan against Securities, etc., all in one portal. They offer two types of accounts: one is Demat & Trading A/c, the other one is a 3-in-1 account, which includes ICICI Saving Bank Account, ICICI Trading Account, and ICICI Demat Account. Since its commencement, the company has earned a total of more than 4.5 million customer base through this platform electronic brokerage platform markets over 4,600 sub-brokers, authorized persons, independent financial associates, and independent associates. 

ICICI Service Space

Trading Platform

ICICI direct Mobile Trading Application -

ICICI direct Mobile is a trading app that allows clients to trade. The mobile trading software is available for Android and iOS smartphones.

The app offers distinct features, such as:

  • Investing in IPOs and Mutual Funds.
  • Monitoring your portfolio.
  • Get real-time basis stock data.
  • Get trading calls.
  • Track Market Movements.
  • Create multiple watchlists.

                                                                 

Trade Racer Web-based Platform

Trader Racer Web is a trading website from ICICI Direct. Customers can access this website from any computer browser.

The website offers the following features, such as:

  • Trading at equity (NSE and BSE), F&O and currency, etc.
  • Investing in IPO, Mutual Fund, Insurance, Corporate FD, NCD's, etc.
  • Creating multiple watchlists.
  • Advanced charting features.
  • Ease of access to trading calls and research reports.
  • Quick fund transfer and payout facility.
  • Alerts and notifications.

Apart from offering a variety of distinct features, it has a bunch of plans that justifies its brand name.

ICICI Charges and Plans 

Brokerage Plan 

  • Brokerage on stocks quoting up to ₹ 10 would be levied at ₹ 0.05 per share. The total Brokerage on such trade would be higher of ₹0.05 per share or ₹ 35, subject to a maximum of ₹ 0.25 per share. All Statutory charges would be levied over and above the Brokerage.
  • All Systematic Equity Plan transactions would attract Brokerage equivalent to the Cash segment. The minimum Brokerage for transactions up to ₹ 2727 is ₹ 15 or 2.5%, whichever is lower. All statutory charges would be levied over and above minimum Brokerage. Brokerage rate mentioned above would be levied for trade value exceeding ₹ 2727
  • Goods and Services Tax (GST), Securities Transaction Tax (STT), SEBI turnover charges.
  • Transaction Charges (inclusive of GST) and Stamp duty will be charged in addition to the Brokerage as follows:
  • GST will be charged at 18% on the total value of Brokerage.
  • Securities Transaction Tax (STT) at 0.1% on turnover.
  • SEBI turnover charges at 0.0001% on turnover.
  • Transaction Charges will be charged @ 0.0021% for NSE and Rs 0.75 per trade basis for all scrip's for BSE (Except for BSE listed securities "X","XC","XD","XT","Z","ZP","P" where transaction charges will be 0.1% and SS and ST-segment 1% on turnover, "M","MT", "R" will be 0.0028%). Applicable GST would be charged over & above Transaction charges.
  • For scrips falling under the "SS" and "ST" category of BSE, Transaction Charges will be charged @ 1.0% on turnover. The rate charged on the contract note shall be similar to the "X" segment, and the differential rate shall be recovered separately. The debit note shall be issued for such recovery, which can be viewed under "Customer Service > Statements > Debit / Credit Note."
  • Applicable State wise Stamp Duty charges as per delivery and non-delivery would be levied on turnover.
  • Cash Brokerage shall be levied for Orders placed in OFS and Buyback apart from all other statutory charges.
  • The minimum Brokerage for transactions up-to ₹ 6364 on stocks quoting more than ₹ 10 is ₹ 35/- per trade or 2.5% of the trade value whichever is lower. Brokerage rates as mentioned above will be charged for trade value exceeding ₹ 6364

Lifetime Prepaid Brokerage Plan

Prepaid Brokerage Plan you get discounted brokerage rates, and you save on your transaction cost. Prepaid brokerage plan comes with a validity of 15 years. You can utilize the brokerage amount until it is exhausted within the span of 15 years.

Choose from 6 different plans as per your requirement

                                                                         

  • Both buy and sell position of Intra-day Futures & Options will be charged as per your applicable brokerage rates.
  • Rs. 20/- Plus + GST would be charged towards Demat charges for each debit instruction from your Demat account for your sale obligations.
  • For transactions done in Penny Stocks, NCDs, and Bonds, cash brokerage applicable to your Prepaid card will be charged.

ICICI Direct Prime

Benefits under ICICI direct Prime are:

Access to exclusive 'Research content' and 'Website' for all Prime cards.

  • Complimentary' Bullet Plan' i.e., Zero Brokerage on intraday Stop Loss products for trades squared off within 5 minutes.
  • Special reduced 'Interest' on delayed payments/MTF carry forward positions in Equity Margin Product.
  • NCD/Bonds transactions along with penny stocks charged at a lower brokerage as that of cash.

Pros 

  1. A Tri-account integrates your banking, broking, and Demat accounts. No human interference is required. Works well in an e-trading environment.
  2. At ICICI Direct, one can manage their own Demat and bank accounts through ICICIdirect.com. Money from selling stock is available in the ICICI Securities bank account as soon as the ICICIDirect receives it.
  3. Online Investment in IPOs, Mutual Funds, GOI Bonds, and Postal Savings Schemes all from one website. Also, General Insurance is accessible from ICICI Lombard.
  4. E-trading is accessible for listed companies on BSE and NSE.
  5. Low bandwidth websites are available for slow internet connection or Trading from mobile devices.
  6. Low bandwidth sites are free for sluggish internet connection or Trading from electronic devices.
  7. Via Valid Till Cancelled, traders n customers can place buy or sell limit orders for 45 days.

Cons 

  1. ICICIDirect Brokerage is VERY EXPENSIVE. The Brokerage can only be reduced by subscribing to ICICIdirect Prime or prepaid brokerage plans.
  2. ICICIDirect doesn't offer commodity trading.
  3. ICICI securities minimum brokerage charge as per the official I-Secure Plan is ₹35 per trade; it is extremely high for novice traders.
  4. It charges flat ₹0.05 per share brokerage on stock pricing up to ₹10; it makes it quite challenging to trade in penny stocks.
  5. ICICI Direct imposes ₹25 per call for call & trade after the first 20 free calls in a month.

Conclusion 

Creating a strong presence and catering to a diverse and wide clientele, it offers Investment in IPO, Mutual Funds, Bonds, and Postal Savings Schemes all from one website. Insurance is also available from ICICI Lombard, but ICICI Direct brokerage is slightly higher compared to others. The charges can be brought down by subscribing to ICICI direct Prime or prepaid brokerage plans also, ICICI minimum brokerage charge as per the standard I-Secure Plan is very high for traders who make small trades; also it has an Equity ATM- Normally, cash proceeds on selling shares are credited to your trading account in T+2 days.

                                                              open deemat account

With Equity ATM facility, customers receive money up to ₹ 50,000 per day within 30 minutes of the order's execution. This facility is available on the sale of over 600 BSE stocks free. ICICI Securities charges flat ₹0.05 per share brokerage on stock pricing up to ₹10; it makes it quite challenging to trade in penny stocks plus ICICI Direct charges ₹25 per call for call & trade after the first 20 free calls in a month. Though it offers in-depth research-based financial advice on all asset classes, where the team also conducts technical analysis and provides stock tips to its customers, the leverage given by ICICI directly is applicable only for intraday trading Delivery trades don't have a margin facility. So now that we have an insight into costs incurred by us over the brand presence built throughout a half-century and more, we have to look for ourselves and invest intelligently.

About the Author: Noorlen Kaur Bhatia | 13 Post(s)

Noorleen is an introvert bibliophile with a creative side. Apart from creative and content writing, she loves to paint her emotions over a canvas. She is a curious learner and keens on decoding logic behind everything she does

Liked What You Just Read? Share this Post:

Finology Blog / Brokerage Review / ICICI Securities Review

Wanna Share your Views on this? Comment here: