HDFC Securities Review

HDFC Securities Review 2020 | Things You Should Know Before Investing

In 2018, I started working in one of the biggest IT Company, they opened my salary account in HDFC. From that day I become a part of the family who has the most profitable business in India.

Yes, it is the HDFC Bank. We all know all bank earn money mainly by giving a loan to its customer. But nowadays banks are also working as a Broker. We have the biggest broker in India that is ICICI direct which is a subsidiary company of ICICI Bank.

HDFC Bank also has one subsidiary company with the name of HDFC Securities who fully operate from Mumbai as a base branch. It was started in 2000.

We already covered many reviews of the biggest broker in India. In today’s post, we are going to cover the HDFC Securities Review.

So, without wasting any time let’s start out review.

  • Brokerage
  • Account Opening and Maintenance Changes
  • User Friendly
  • Margin
  • Research and Analysis
  • Charts and Other Tools
  • Customer Support
  • Mutual Fund
4.0

Summary

HDFC Securities offers you 3 in 1 Demate Account feature. By Using HDFC Securities you can invest in Stocks, Funds, government bonds, Mutual funds, Gold schemes, IPO, ETF, Fixed deposit, Currency derivatives and many others things. The Best part is you will get free market research analysis data and option to invest in Mutual Funds

HDFC Securities Review

A thing which I like about HDFC Securities is they provide a many type of services like direct investing in Stocks, Funds, government bonds, Mutual funds, Gold schemes, IPO, ETF, Fixed deposit, Currency derivatives and many others things.

The 3-in-1 banking features make all transaction easier. With the help of this feature, you can directly add and withdraw money from your bank account directly. You don’t need to add money in the wallet before buying any stock which we have to do in other brokers like Zerodha.

Also, HDFC Securities provides you extra margin with E-margin Feature which we will discuss in brief ahead in this post.

You can buy and sell any share using a mobile application, a desktop-based application that is a web-based version, via call and offline directly through branches.   

HDFC Bank is the parent company of HDFC Securities which make it more trustworthy. Other than serving as a broker they have research team who provide a high quality of information to their clients.

Using HDFC securities you can invest in US Stocks. this feature is not present in many other brokers like Zerodha and UPstox. You can directly invest in startups ideas.

In 2018, HDFC Securities won 5 big awards:

  1. Most attractive Brands in retail brooking.
  2. Most ethical company in finical service award by world CSR Congress.
  3. Winner of Economic time BFSI Innovation Tribe award
  4. Retail Broker of the year
  5. Winner of Digital Excellence in insurance/financial service

If you visit HDFC Securities official website you will find virtual assistance ARYA which help you to solve your any queries.

HDFC Securities Brokerage

EQUITY:

Minimum Brokerage per order 
(subject to ceiling of 2.5% of total traded value)
ResidentNRI
Applicable for both Buy & Sell orders Rs.25/-Rs.25/-

Delivery Based Trades:

BrokerageResident Indians - 0.50% or min Rs.25/- or ceiling of 2.5% on transaction value (Both Buy & Sell)
For NRI's - Brokerage 0.75% or min Rs. 25 or ceiling of 2.5% on transaction value (Both Buy & Sell)
Brokerage  scrips less than Rs.10 per share Minimum brokerage of Rs. 0.05/- per unit will be charged. Brokerage will be charged within the limits prescribed by SEBI / Exchanges. (Both Buy & Sell)
GST18.00% on Brokerage (Effective 1st July 2017)
(Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017)
Securities Transaction Tax (STT)0.1% of transaction value (Both Buy & Sell) (Effective from 1st July 2012)
STT on sale of an unit of an Equity Oriented Fund is 0.001% (Effective from 1st June 2013)
Stamp Duty0.01% on turnover
SEBI Turnover Tax0.00015% (exclusive of service tax) on turnover (Effective from 1st June 2014) Plus GST 18%
(Old rate of 0.0001% on turnover effected upto 31st May 2014)

Square-Off Trades Cash & Carry Scrips:Square-Off Trades Margin Scrips:

Brokerage0.10% or min Rs.25/- or ceiling of 2.5% on transaction value (Both Buy & Sell)
Brokerage scrips less than Rs.10 per shareMinimum brokerage of Rs. 0.05/- per unit will be charged. Brokerage will be charged within the limits prescribed by SEBI / Exchanges. (Both Buy & Sell)
GST18.00% on Brokerage (Effective 1st July 2017)
(Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017)
Securities Transaction Tax (STT)0.025% of transaction value (On Sell transaction)
Stamp Duty0.002% on turnover
SEBI Turnover Tax0.00015% (exclusive of service tax) on turnover (Effective from 1st June 2014) Plus GST 18%
(Old rate of 0.0001% on turnover effected upto 31st May 2014)

Derviatives Brokerage

FUTURES MARKET:

Non-Square Off (Carry Forward) Trades:

BrokerageResident Indians - 0.05% or min Rs.25/- or ceiling of 2.5% of transaction value (Both Buy & Sell)

For NRI's - 0.05% or min Rs.25/- or ceiling of 2.5% of transaction value (Both Buy & Sell)
GST18.00% on Brokerage (Effective 1st July 2017 )

(Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017)
Securities Transaction Tax (STT)0.01% of transaction value (On Sell transaction) (Effective from 1st June 2013)
Stamp Duty0.002% on turnover
SEBI Turnover Tax0.00015% (exclusive of service tax) on turnover (Effective from 1st June 2014) Plus GST 18%

(Old rate of 0.0001% on turnover effected upto 31st May 2014)

Square-Off Trades:

BrokerageResident Indians - 0.025% or min Rs.25/- or ceiling of 2.5% of transaction value (Both Buy & Sell)

For NRI's - 0.025% or min Rs.25/- or ceiling of 2.5% of transaction value (Both Buy & Sell)
GST18.00% on Brokerage (Effective 1st July 2017 )

(Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017)
Securities Transaction Tax (STT)0.01% of transaction value (On Sell transaction) (Effective from 1st June 2013)
Stamp Duty0.002% on turnover
SEBI Turnover Tax0.00015% (exclusive of service tax) on turnover (Effective from 1st June 2014) Plus GST 18%

(Old rate of 0.0001% on turnover effected upto 31st May 2014)

OPTION MARKET:

BrokerageResident Indians - Higher of 1% of the premium amount or Rs.100 per lot (Both Buy & Sell)

For NRI's - Higher of 1% of the premium amount or Rs.100 per lot (Both Buy & Sell)
GST18.00% on Brokerage (Effective 1st July 2017 )

(Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017)
Securities Transaction Tax (STT)Sell : 0.05% on Premium,

On Exercise : 0.125% on Intrinsic Value- difference between closing price & settlement price
Stamp Duty0.002% on turnover
SEBI Turnover Tax0.00015% (exclusive of service tax) on turnover (Effective from 1st June 2014) Plus GST 18%

(Old rate of 0.0001% on turnover effected upto 31st May 2014)

CURRENCY DERIVATIVES:

Currency FuturesBrokerage of Rs. 23/- per Contract on carry forward trades & Rs. 12/- each side on square up of trades (statutory & other charges to be levied separately).
Currency OptionsBrokerage of Rs. 20/- per Contract on carry forward trades & Rs. 10/- each side on square up of trades (statutory & other charges to be levied separately).
GST18.00% on Brokerage (Effective 1st July 2017 )
(Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017)
Stamp Duty0.002% on turnover
SEBI Turnover Tax0.00015% (exclusive of service tax) on turnover (Effective from 1st June 2014) Plus GST 18%
(Old rate of 0.0001% on turnover effected upto 31st May 2014)

Commodity Derivatives Brokerage

FUTURES MARKET:
Non-Square Off (Carry Forward) Trades:

Brokerage0.025% or min Rs.20/- per order.
GST18.00% on Brokerage (Effective 1st July 2017)(Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017
Commodities Transaction Tax (CTT)0.01% of transaction value (On Sell transaction) (Effective from 1st July 2013)
Stamp Duty0.002 % (Rs. 2.00 per lac of futures turnover) payable by buyer
SEBI Turnover Tax0.00010% on turnover (Rs.10 per crore)for dealing in Commodity derivatives

0.00001% on turnover (Rs.1 per crore)for dealing in Agricultural Commodity derivatives (Effective from 1st April 2019) Plus GST 18%

Square-Off Trades:

Brokerage0.020% or min Rs.20/- per order.
GST18.00% on Brokerage (Effective 1st July 2017)(Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017
Commodities Transaction Tax (CTT)0.01% of transaction value (On Sell transaction) (Effective from 1st July 2013)
Stamp Duty0.002 % (Rs. 2.00 per lac of futures turnover) payable by buyer
SEBI Turnover Tax0.00010% on turnover (Rs.10 per crore)for dealing in Commodity derivatives

0.00001% on turnover (Rs.1 per crore) for dealing in Agricultural Commodity derivatives (Effective from 1st April 2019) Plus GST 18%

OPTION MARKET:

BrokerageRs.100/- per lot.
GST18.00% on Brokerage (Effective 1st July 2017) (Old rates 15.00% Service Tax on Brokerage effective 1st June 2016 - 30th June 2017
Commodities Transaction Tax (CTT)Seller: 0.05% on Option Premium.

Purchaser: 0.0001% on Settlement Price on exercise.

(Effective from 1st April 2018)
Stamp Duty0.003 % (Rs. 3.00 per lac of premium turnover) payable by buyer
SEBI Turnover Tax0.00010% on turnover (Rs.10 per crore) for dealing in Commodity derivatives 0.00001% on turnover (Rs.1 per crore) for dealing in Agricultural Commodity derivatives (Effective from 1st April 2019) Plus GST 18%

HDFC Securities Account Opening Fee

In the market, because of lots of competition, many brokers open your Demat account free or in less amount. But HDFC Securities charge high amount as compare to others as they provide great features as compare to others.

We have listed all type of charges which you have to pay for account maintains and opening:

  • HDFC Trading account opening charges 999 Rs.
  • HDFC Trading account maintains charges: Free
  • Demat account opening charges: Free
  • The Demat account maintains charges: 750 Rs. (not applicable for the first year).

How to open an account in HDFC Securities?

1.Click on the Link and Visit official website of HDFC Securities.

2. Enter Name, personal Email id and Phone No details. Verify your details Via OTP and Enter your city Name. click on “Open My Account” Button. 

HDFC Security Create Account 1

3.  After Completing Step 2, HDFC Representative will call you and help you to open your demat account. you dont need to do anything just follow and give documents which he will ask.

HDFC Security Create Account 2

HDFC Securities Margin Review

HDFC securities have not shared direct margin percentage. It means you cannot calculate Margin before investing in the share market, which is one of the biggest disadvantages of HDFC Securities. I hope they will add this feature very soon on their website. 

But they have one unique segment in Margin which is known as E-Margin.

Here you can buy shares with extra margin and hold for T+275 Days with less money. You can exist with your order any time between T (Day at which you bought you share) to T+275 Days.

This feature enhances your buying power as you need less money or a small portion of the amount of the stock value.

You can find a basic difference between Cash, Intraday and E-margin in below table:

CashIntradayE-margin
1. Require to hold funds equal to the full order value.1. Margin required 30% - 60% (depending on the scrip) of the order value.1. Margin required 30% - 60%* depending on the scrip.
2. The delivery-based transaction settled on T+2 day.2. Same day Square off/converts to a delivery transaction.2. The transaction can be squared off /converted to delivery till T+275.
3. Short Sell is allowed.3. Short Sell is not allowed.

The thing which you have to notice in E-Margin is if you fail to settle your order or square off your order before T+275 Day than HDFC Securities will do it for you automatically.

We can understand E-Margin with the following example:

If you buy 100 Shares of ABC Company on T Day with 75,000 using E-Margin feature whereas the actual amount which you need to buy 100 shares of ABC company is 2,00,000 Rs. So, you got 1,25,000 Rs of leverage for T+275 Days.

You can convert your position by adding 1,25,000 in your account. But if you are failed to do so than Automatic settlement of Shares will be done on T+275 Day where market loss or profit will apply to your final amount including charges and interest.

You cannot short sell any share using E-Margin feature. But you can partially convert your position in E-Margin.

The 18%+GST will be charged from the day you have taken position.

HDFC Securities Trading Account Review

HDFC securities provides you multiple software and trading platform which we are going to discuss in this segment one by one. Mostly we will see the HDFC online web-based trading software because all other software is identical to this version.

HDFC Securities Dashboard Review

When your first-time login into Web-based terminal of HDFC securities, you will land to dashboard page by default. The dashboard of the HDFC securities terminal has many options.

 Here you can find the following options and feature by default:

  1. Market watch list: by default, you will get market watch list of predefine indexes like Nifty 50, Bank nifty etc. you can add other stock also in your watch list. Predefine watch list feature is very useful when it comes to intraday. In other brokers like Zerodha, you will miss this feature.

watchlist dashboard

2. Default portfolio: the next section is the portfolio section where you can find the value of the investment which you have done in the market. It will show all the details by dividing into different section via the chart.

dashboard default portfolio

3. Market Movers: again, this the best feature which you will miss in many brokers like ICICI direct, Zerodha, Upstox account. Here you can watch most active banks for a day. You can also watch which share is highest gainer and which one is highest loser in share market in current market day.

Dashboard market movers

4. Pick of the week: as I already said HDFC Securities provide research data and recommendation of buy and selling of stock. Here you can find a recommendation by HDFC Securities for Investment. You will get Target for that company, what will be the best entry range of that company. Again, the Best feature which you will not find in many brokers.

Dashboard market research

5. Research call: this feature Is the same as the last feature. Only the difference is, here you will find fundamental and technical analysis of the company with the target price.

dashboard research

6. Pending orders: if you have placed any orders than you can watch them here.

dashboard orders

7. Trading calls: Here you can find the research about the company which you can use for the short term. This research is provided to you buy watching market mood or swing. No technical and fundamental analysis is done during the stock picking.

Trading Calls

HDFC Securities Mutual fund Review

I think if you are looking for Mutual fund investment than HDFC Is best in the market because they provide best research and analysis which normal customers like you and me can understand.

mutual fund

You can find good categorization of stocks based on the returns by years. You can invest some amount by lump sum or you can choose SIP which I think everyone should do.

Invest in IPO

HDFC Securities gives you opportunities to invest in a company before they listed on the share market. You can buy shares of the company using HDFC Securities terminal in their pre-launch that is during IPO time. you will not find this feature in Upstox but mainly all brokers provide this feature which is the best way of making money in a short time.

Other than this, HDFC Securities have many other features which I cannot cover in this post one by one but I will list them below:

  1. Invest in Life Insurances
  2. Invest in Ideas
  3. Option to Invest in Fixed Income
  4. Reports of all orders and activity by segment-wise
  5. Know your limits
  6. Invest in real state
  7. Invest in Jewelry

And much more.

HDFC Securities Pro Terminal Review

HDFC Securities provide you pro terminal feature which you can find in the web version of the terminal. You have to subscribe to the terminal to avail the feature of Pro terminal. It will take one business day to activate your account for the pro terminal.

pro terminal

It is an advance version of the web version of the terminal. With the help of pro terminal of HDFC Securities you can understand your next investment strategy very easily by using features like:

  1. Derivatives strategy builder
  2. News with sentiment and trend analysis
  3. Predicative data analysis
  4. Advance charting tool.

How to Buy and sell stock using HSFC Securities?

Like other brokers Buying and selling in HDFC Securities is easy. You have to follow this step to buy or sell stocks:

1. Log in to the official website of HDFC Securities using credentials provided during signup. You can use the mobile application also for the same but we are going to use the web version of the application for demo.

2. By default, you will land to the dashboard. Now search the stock which you want to buy or sell in your watchlist.

3. Now click on green + sign for buy or – sign for sell.

HDFC buy sell

4. Enter the limit, price at which you want to buy or sell. In order value box, it will show the final amount which you need to buy stock. Click on place order.

buy First step

5. Next step you have to verify your order. Here you will find a preview of order. Once you click on confirm the order, your order will be placed. Otherwise, you can modify your order also.

order preview

Congratulation you bought first share in your HDFC Securities account.

HDFC Securities Comparison with other Brokers:

SegmentHDFC SecuritiesZerodhaUpstoxICICI DirectShare khan
Service TypeFull-service brokerDiscount brokerDiscount brokerRetails BrokerFull-service broker
MarginVery LowLowVery HighHighModerate
Brokerage0.05 to 0.5%20 Rs.20 Rs.25 Rs.0.1 to 0.5%
Account Type3-in-12-in-13-in-13-in-12-in-1
Customer SupportModerateLowVery HighModerateModerate
Charting featureLowHighHighHighHigh
Mutual FundYesYesYesYesYes
Research and analysisYesNoNoYesYes
Brokerage PlansNoNoYesYesYes

Advantage of using HDFC Securities

  1. Strong portfolio analysis
  2. High market research analysis data
  3. Invest in a mutual fund directly
  4. Invest in other segments like real states, jewelry, ideas and insurance.
  5. Predefine MarketWatch list
  6. Support by market leader i.e. HDFC

Disadvantage of using HDFC Securities

  1. High charges for account opening as compared to others
  2. No margin calculator available on the website
  3. Complex dashboard for newcomers
  4. No advance chartering tool available

Conclusion

So, this is the honest review of mine on HDFC Securities. I have covered everything starting from account opening till buy and selling.

As I already said it is difficult to understand the all features which they provide. As they are giving lots of feature in a single terminal. But after some time when you start exploring each and everything thing and use them properly when will get lost of benefits. one thing which I want HDFC should add is advance chart tool and margin calculator on their website.

Other than this HDFC is the biggest market leader in the banking sector so I will recommend you to go with HDFC Securities. You can also use Mutual fund service if you have fear of losing money in Share market, as share market is risky if you invest without proper research.

If you are looking for an alternative for high margin or low brokerage charges than read our 5Paisa and Upstox post. Make sure you comment if you have to any question regarding HDFC securities.

Share this post with family and friends and let them know about HDFC Securities review.

Cheers!!

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