Methodology

How we calculate broker costs

Our formulas, data sources, and assumptions — fully open.

Data sources

All broker charge data is sourced from:

  • Broker websites (fee pages and tariff sheets)
  • Circular disclosures filed with exchanges (NSE/BSE)
  • SEBI-mandated key information documents (KIDs)
  • CDSL/NSDL DP charge circulars

Regulatory charges (STT, exchange charges, SEBI fees, stamp duty) are sourced from official government notifications and SEBI circulars.

Cost calculation formula

For a round-trip trade (buy + sell), the total cost is:

Total Cost = Broker Cost + Regulatory Cost Broker Cost = (Brokerage per order × 2) + GST on brokerage + DP charge (delivery only) Regulatory Cost = STT + Exchange charge + SEBI fee + Stamp duty + GST on exchange charge

Regulatory charge formulas

These are fixed by law and identical at every broker. Based on trade value (V = value for one side of the trade):

Charge Delivery Intraday Futures Options
STT 0.1% × 2V (both sides) 0.025% × V (sell only) 0.02% × V (sell) 0.1% × premium (sell)
Exchange charge 0.00297% × 2V 0.00297% × 2V 0.0002% × 2V 0.053% × 2V
SEBI fee ₹10 per crore turnover ₹10 per crore turnover ₹10 per crore turnover ₹10 per crore turnover
Stamp duty 0.015% × V (buy only) 0.003% × V (buy only) 0.002% × V (buy only) 0.003% × V (buy only)
GST 18% on (brokerage + exchange charge). Not on STT/stamp/SEBI.

DP charge treatment

DP charge (Depository Participant charge) is included in delivery trade calculations only — it does not apply to intraday or F&O trades since no shares move out of the demat account. It is charged once per ISIN (company) per day on the sell side, regardless of quantity. We use the broker's quoted DP charge including GST.

AMC treatment

AMC (Annual Maintenance Charge) is shown in broker profiles but is not included in per-trade cost calculations. This is because AMC is a fixed annual cost that doesn't scale with the number of trades, and including it would make the per-trade comparison misleading depending on trading frequency.

We show AMC prominently in broker profiles so you can factor it into your total annual cost estimate.

Limitations

  • Broker charges change. We aim to update within 30 days of announced changes.
  • Some full-service brokers (ICICI Direct, Kotak) have tiered plans — we use the base/standard plan.
  • Options calculations use the premium value as the trade value, not notional. Actual STT on options is on the sell side premium only.
  • We do not account for tax benefits (e.g., STT paid is deductible under certain circumstances).