Zerodha is a Bangalore-based Indian financial services company that offers brokerage-free equity investments, retail and institutional broking, currencies and commodities trading, and mutual funds investments, among other services. It was founded in 2010 by Nithin Kamath and Nikhil Kamath and has since grown to become one of the largest retail brokerage firms in India, with over 6 million clients as of 2021. Zerodha is known for its technology-driven approach to trading and investing, which has helped it attract a large number of young and tech-savvy investors in India. The company is regulated by the Securities and Exchange Board of India (SEBI) and is a member of major Indian stock exchanges such as NSE, BSE, and MCX.
Nithin Kamath and Nikhil Kamath, the founders of Zerodha, come from a middle-class family background in Karnataka, India. Their father was a small business owner who ran a grocery store, and their mother was a homemaker.
Nithin Kamath dropped out of engineering college and started his career as a trader in 2000. He worked for several brokerage firms before starting Zerodha in 2010. Nikhil Kamath, on the other hand, pursued a career in chess and became an International Master at the age of 15. He later co-founded a company called “Rainmatter,” which provides seed funding and mentorship to startups in India.
Despite not having a background in finance or business, Nithin and Nikhil Kamath were able to build Zerodha into one of the largest retail brokerage firms in India through their innovative approach to technology and focus on customer education and training. They have won several awards for their contributions to the Indian fintech industry and are widely regarded as role models for aspiring entrepreneurs in the country.
Here are some more details about Zerodha:
- Brokerage-free equity investments: Zerodha offers brokerage-free equity investments, which means that customers don’t have to pay any commission or brokerage fees for buying or selling stocks on its platform. Instead, Zerodha charges a flat fee of ₹20 per trade for equity intraday and F&O trades.
- Technology-driven approach: Zerodha is known for its technology-driven approach to trading and investing. The company has developed a number of innovative trading platforms and tools that allow customers to invest and trade in a hassle-free and efficient manner. Some of its popular trading platforms include Kite, Coin, and Console.
- Education and training: Zerodha also provides education and training to its customers on various aspects of investing and trading. The company offers free online courses, webinars, and other resources to help customers learn the basics of investing and trading, as well as advanced strategies and techniques.
- Mutual funds investments: Zerodha has a mutual fund investment platform called Coin, which allows customers to invest in mutual funds online without any commission or transaction fees. Customers can also use Coin to set up and manage their mutual fund portfolios.
- Demat and trading account: To use Zerodha’s trading platform, customers need to open a Demat and trading account with the company. Zerodha offers paperless account opening and a hassle-free account opening process.
- Regulatory compliance: Zerodha is regulated by the Securities and Exchange Board of India (SEBI) and is a member of major Indian stock exchanges such as NSE, BSE, and MCX. The company is also compliant with various regulatory requirements related to customer protection, anti-money laundering, and data privacy.
Overall, Zerodha has become a popular choice for investors and traders in India, thanks to its technology-driven approach, low fees, and focus on customer education and training.
