10 Best Demat Accounts in India for Beginners in 2023
Creation of Demat accounts revolutionised the way trades were conducted at the stock exchanges. It eliminated the time-consuming and often mismanaged procedure of purchasing and selling shares through the paper scrips. A Demat account is opened and operated by Sebi-authorised stock brokers. It dematerializes shares and securities, allowing them to be held electronically and exchanged digitally from any location. It also significantly reduces the danger of fraud or theft associated with paper based transactions.
It is now mandatory to open a Demat account if you want to invest in shares and securities and trade them at the stock market. Check out this list of 10 best Demat accounts in India in 2023 with their features, pros, cons and price. Read on!
List of 10 Best Demat Accounts in India [Updated 2023]
| Demat accounts | Charges |
| Axis Direct Demat Account | Account opening charges: Nil Account closing charges: Nil Account maintenance charges: 1. Axis Bank Customer First year: Nil Second year onwards: ₹750 2. Non-Axis Bank Customer First year: ₹350 Second year onwards: ₹750 |
| SAS Online | Brokerage: ₹999 per month or ₹9 per trade Demat account administration fee: ₹200 per annum (+GST) Account opening fee: ₹200 |
| SBICAP Securities Demat Account | Account opening charges: Nil Annual maintenance charges: ₹400 |
| ICICI Direct Demat Account | Account opening charges: Nil to ₹975 Account maintenance charges: Nil for first year; ₹700 from the 2nd year |
| Kotak Securities Demat Account | Account opening charges: Nil Brokerage charges: Nil |
| HDFC Securities Demat Account | Charges vary as per pricing plans Futures and Options: ₹20 per order |
| Zerodha Demat Account | Brokerage: Nil Intraday and F&O trades: ₹20 or 0.03%, whichever is less |
| Upstox Demat Account | Account maintenance fee: Nil Account opening fee: Nil Commissions: Nil Brokerage: ₹20 |
| IIFL Demat Account | Account maintenance fee: Nil for the first year; ₹250 + GST from the next year onwards Account opening charges: Nil Brokerage: Variable as per plans |
| Sharekhan Demat Account | Account opening charges: Nil Account maintenance charges: Nil for the first year |
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List of 10 Best Demat Accounts in India [Updated 2023] – Detailed Overview
1. Axis Direct Demat Account
When it comes to the best demat accounts in India, over 2 million clients trust Axis Direct Demat account. Axis provides you with a variety of investment choices as well as effective market research tools to aid you in your decision-making. It’s great for those who wish to master the fundamentals of trading. Axis Direct’s 3-in-1 account includes free-market analytics insights from specialists as well as learning tools for beginners.
Features
- Banking, trading, and Demat all in one account.
- Get advice from professionals in the field of market research.
- Allows you to trade stocks, mutual funds, bonds, derivatives, ETFs, and other financial instruments.
- Webinars, online courses, and expert articles are all examples of educational resources.
Pros
- For the first year, there is no account maintenance fee
- Experts conducted market research, made available for free
- Beginner’s educational resources
Cons
- Non-Axis Bank customers face higher account management charges
Price
- Account Opening Charge: Nil
- Account Closing Charge: Nil
- Account Maintenance Charge:
- Axis Bank Customer
- First Year: NIL
- Second Year Onwards: ₹750
- Non-Axis Bank Customer
- First Year: ₹350/-
- Second Year Onwards: ₹750
- Axis Bank Customer
2. SAS Online
SAS Online is a trading platform that provides you with a sophisticated programme that allows you to purchase or sell securities instantaneously, allowing you to profit from market swings to the fullest extent possible. This is one of the best options for active traders. For aggressive traders, SAS Online is a viable solution. It provides you with low-cost trading alternatives as well as some unique features.
Features
- Over 300 stocks to choose from
- Allows you to purchase delivery for up to four times the amount of your order
- Provides you with the most recent market news and updates
- Allows you to buy or sell right away
Pros
- Reduces the cost of trading
- Expert advisors and market scanners
- Trading in real-time
Cons
- There is no commodity trading
- Customer service is solely available via email
Price
- ₹999 per month or ₹9 per trade
- Demat account administration fee is ₹200 per annum (+GST) and ₹200 as account opening fee
3. SBICAP Securities Demat Account
SBICAP Securities Demat Account is an online and mobile-based trading platform that provides educational resources and market analysis tools to assist you make informed investment decisions. SBICAP Securities Demat Account is a subsidiary of the renowned SBI group. Their instructional features, market statistics, and trading recommendations justify the app’s designation as one of India’s best Demat accounts.
Features
- Educational resources are available
- Tools for market research
- Exchange equities, currencies, and other assets
- Get stock-trading recommendations
- Dedicated relationship manager
Pros
- Resources for education
- Market research
- Advice on trading
- Relationship manager with a specific focus
Cons
- Slightly steep account opening fees
Price
- The one-time pricing for account opening is ₹850
- Account opening charges: Nil
- Annual maintenance charges: ₹400
4. ICICI Direct Demat Account
The ICICI Direct Demat Account is a digital platform that allows you to invest in both domestic and international markets. You can trade stocks, mutual funds, fractional shares, and a variety of other assets. The ICICI Direct Demat Account provides market knowledge to assist you in investing, as well as the ability to trade fractional shares of the worldwide market.
Features
- Allows you to trade stocks, mutual funds, currencies, initial public offerings (IPOs), commodities, and more
- Get market research and market insights
- Get material for learning
- Invest in global market fractional shares
- Get a three-in-one account that includes banking, trading, and a Demat account
Pros
- Shares that are fractional.
- There is no requirement for a minimum balance.
- Invest in international stocks
Cons
- Small investors face high brokerage fees
Price
- Account opening charges: Nil to ₹975
- Account maintenance charges: Nil for first year; ₹700 from the 2nd year
5. Kotak Securities Demat Account
Over 20 million investors use the Kotak Securities Demat Account. It provides you with a three-in-one account, market analysis tools, and trading advice. This is one of the best options for constructing a low-cost portfolio. Because of the learning resources and the option to invest in small cases, Kotak Securities may be an appropriate solution for people who want to invest with a small amount of money or for beginners.
Features
- Get market research and suggestions
- Savings, Trading and Demat accounts are all integrated into one account.
- Margin trading is a method of trading with a little amount of money
- Build a low-cost portfolio by investing in tiny cases
Pros
- 3-in-1 market study account
- Small investors will benefit from this.
- Investment on a global scale
Price
- Account opening charges: Nil
- Brokerage charges: Nil
- Dematerialisation: ₹50 per request and ₹3 per certificate
- Account maintenance charges: Nil (for holding value of securities of less than ₹10,000)
- For holding value of securities more than ₹10,000: ₹65 p.m. for up to 10 debit transactions
- ₹50 p.m. for 11 to 30 debit transactions
- ₹35 p.m. for more than 30 debit transactions
6. HDFC Securities Demat Account
HDFC Securities Demat Account is a 20-year-old trading services provider that allows you to trade digitally, saving you time and effort in the process. This is one of the best options for offline advice. HDFC Securities Demat Account is a one-stop-shop for all of your trading needs. You can trade Indian and international equities, as well as get customer service 24 hours a day, seven days a week.
Features
- Margin trading is a term that refers to the practice of trading
- Tools for market research
- Exchange currencies, commodities, initial public offerings (IPOs), stocks, mutual funds, and more
- Global investment opportunities are available
- Place orders over the phone
Pros
- Customer service is available 24/7
- Stocks in the United States
- Portfolio management tools
Cons
- In comparison to the alternatives, the Demat account management fee could be high
- There is no option for commodity trading
Price
- Charges vary as per pricing plans
- Futures and Options: ₹20 per order
7. Zerodha Demat Account
With over 5 million customers, Zerodha is one of the best Demat accounts in India. It provides you with a trading and depository account, as well as market data and comprehensive charting to assist you in making informed investment decisions. Zerodha offers all you need in a Demat account. The market research instruments are commendable.
Features
- To aid you in trading, market research data and advanced charts are available
- You may learn about trading with the Zerodha Varsity smartphone app
- You can create your own trading platform using this tool
- You can trade mutual funds directly through the Coin by Zerodha app
Pros
- High quality tools for market research
- Option of creating your own trading platform
- Reasonable fees
- App for learning
Cons
- Only the Indian market is covered
- No investor protection
Price
- Brokerage: Nil
- Intraday and F&O trades: ₹20 or 0.03%, whichever is less
8. Upstox Demat Account
With an Upstox Demat Account, you can trade stocks, mutual funds, digital gold, futures, and more using a digital account. The software also assists you in making smarter judgments by offering market data in the form of charts. This could be one of the best options to avoid excessive brokerage fees. Upstox is one of the most secure Demat accounts available in India. Upstox offers zero-commission trading, which is a significant benefit.
Features
- A demat account that is paperless and digital
- Get real-time updates on the trading market
- You’ll just need one account to handle and track your stocks and mutual funds
- It’s a simple process to open a bank account
- Allows you to buy and sell digital gold
Pros
- Investing with no commissions.
- You can start investing with as little as ₹1
- You can trade from anywhere in the world
Cons
- Some consumers have expressed their dissatisfaction with market crashes caused by large market swings
Price
- Account maintenance fees: Nil
- Account opening fees: Nil
- Commissions: Nil
- Brokerage: ₹20
9. IIFL Demat Account
IIFL Demat Account has a 25-year track record in the market. It allows you to open a Demat account for free and provides market analysis tools, allowing you to invest when you are well informed about market movements. This is one of the best options for trading at a low cost. Price alerts and portfolio analysis software can be extremely useful too.
Features
- In-depth market research
- Trade stocks, currencies, initial public offerings (IPOs), mutual funds, commodities, and more
- Get price notifications, trading ideas, market news, and more on your mobile app
Pros
- No charges for opening a Demat account with IIFL
- Alerts on price changes
- Tools for research and analysis
Price
- Account maintenance fees: Nil for the first year; ₹250 + GST from the next year onwards
- Account opening charge: Nil
- Brokerage: Variable as per plans
Sharekhan Demat Account is an all-in-one trading platform with learning, portfolio management, market research, and other features. Beginners and professional traders both will benefit from this strategy. If you’re looking for the best Demat trading account in India, Sharekhan could be a great choice. It allows you to trade stocks, bonds, mutual funds, and a variety of other assets. You can also hire professionals to manage and rebalance your portfolio.
Features
- Audio and video clips to help you understand market trends
- Expert market forecasts
- Learning aids
- Portfolio management services available
- You can trade stocks, bonds, mutual funds, ETFs, FX, futures, and options with this platform
Pros
- Notifies you when your preferred stocks’ prices change
- Customer service is available round the clock
- There is no requirement for a minimum deposit
- Expert portfolio rebalancing
Cons
- Account opening process could be time consuming
Price
- Account opening charges: Nil
- Account maintenance charges: Nil for the first year
Final Word
Demat accounts have brought a revolution in the markets, tremendously increasing efficiency of the market apart from offering heightened security for the traders. The digitization has allowed for much faster orders as well as execution of the orders with accuracy and safety. In unpredictable market situations, the ability to buy and sell instantly might result in significant profits. When choosing a Demat account, a beginner could assess brokers for the kind of services they offer, additional features such as access to research reports and on-call support, cost of opening demat account, the fees and charges they levy, etc., to make an informed choice.
Stocks could be a valuable option for your investment portfolio. But, they carry significant risks. Mutual funds, being managed by qualified and professional fund managers, could be a better option for novice investors, who do not understand the complexities of stock market investing. Moreover, mutual funds could help you diversify your portfolio, while helping you maximise your profit margins, in line with the returns of the underlying indices, asset classes, or individual securities. Investing in mutual funds can also be simpler because you won’t need a trading or a demat account.
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After logging into your Demat and trading account (that is already linked to your bank account), place a ‘buy’ or ‘sell’ request in your trading account so that the depository participant can forward the request to the stock exchange. For ‘buy’ orders, the stock exchange then looks for a seller(s) who wants to sell the shares at the asked price. If the price matches, the request is then shared with the clearing houses to debit those shares from the seller’s Demat and credit them to the buyer’s Demat account.
You’ll need to submit your PAN Card and Aadhaar or Passport for identity proof, ITR, salary slips, account statement for the last 6 months, audited business annual accounts, passport sized photos among others as per the terms and conditions of the Demat account provider.
There are primarily three types of Demat accounts. Firstly, regular Demat accounts that are meant for Indian residents; secondly, repatriable Demat accounts meant for NRIs and thirdly, non-repatriable Demat accounts also meant for NRIs that must be linked to an NRO account.
BSDA stands for Basic Services Demat Accounts that have been recently introduced by SEBI. This is a type of a regular Demat account but with zero maintenance charges if the holding value is less than ₹50,000, and ₹100 p.a. For holding value between ₹50,000 and ₹2 lakh.
No. A Demat account holds shares and securities in a digital form, while a trading account allows you to buy and sell shares in the stock market.
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This article has been prepared on the basis of internal data, publicly available information and other sources believed to be reliable. The information contained in this article is for general purposes only and not a complete disclosure of every material fact. It should not be construed as investment advice to any party. The article does not warrant the completeness or accuracy of the information and disclaims all liabilities, losses and damages arising out of the use of this information. Readers shall be fully liable/responsible for any decision taken on the basis of this article.
