Detailed Upstox Review: With over 40 lakh registered clients on its platform, Upstox, aka RKSV Securities, is India’s second-largest stockbroker. It offers stockbroking services, including the ability to invest in and trade stocks, futures, options, commodities, and currencies. They also provide additional services such as FREE IPO, Digital Gold, and Mutual Fund investment. In this article, we’ll look at Upstox in detail, including the company’s background, account opening fees, brokerage fees, trading platforms, Upstox’s pros and cons, and more. Continue reading.
Upstox Review: A Stockbroker’s Perspective
Upstox is a technology-driven discount broking firm that offers its customers a 100 percent online trading and investing platform. It was one of the first brokers to start a discount broking firm in India. Ratan Tata & Tiger Global Management, GVK Davix, and Kalaari Capital are among the major investors in Upstox, which was previously known as RKSV Securities.
The company minimized costs by using an online-only business model and having one office in Mumbai, allowing it to provide free delivery-based trading and low-cost brokerage for other transactions. They have, however, opened offices in tier-2 and tier-3 cities with little resources.
This company’s unique pillars are bargain brokerage and investor security. For the company, the safety of its investors’ money is the most important factor. From stocks to options, futures, currency, commodities, and related services, the tech-first firm assists retail investors, millennials, and institutional organizations with their investment and trading decisions.
The Origins of Upstox-Who are the Founders and How Did It Begin?
RKSV Securities was founded in 2009 by Mr. Ravi Kumar, Mr. Raghu Kumar, and Mr. Shrinivas Vishwanath, right in the midst of the global financial crisis. RKSV is an acronym for Ravi Kumar (RK), Raghu Kumar (RK), and Shrinivas Vishwanath, the three founders’ names (SV).
Raghu and Ravi had previously founded a proprietary firm in the United States, where they gained a lot of money in just two years, but they lost it all after the 2008 market meltdown. As a result, they returned to India and co-founded RKSV Securities with Shrinivas, the third co-founder.
They used to trade through a private firm, but they eventually discovered that the brokerage rates were too high for anyone during those years, and the technology was outdated. With these considerations in mind, they created RKSV Securities, which offers a zero-brokerage plan and an online-only trading platform.
Raghu has a Bachelor of Science in Actuarial Service and Finance, while Ravi has a Bachelor of Science in Actuarial Service and Finance with a specialty in Information and Computer Science. Raghu would write Algorithms and Ravi would code them to create trading models for their firm in the United States.
A typical proprietary firm earns profits by trading on its own with its own money. Shrinivas has a bachelor’s degree in science and has worked for Cerner Corporation, Morgan Stanley, and Citi before partnering with the Kumar brothers to form RKSV.
In 2019, Upstox partnered with Tavaga Advisory Services to bring and promote cost-effective Exchange Traded Funds. Upstox, a subsidiary of Tavaga, seeks to help investors save more money and meet user-defined goals through this partnership.
In September 2019, they added another investor, Tiger Global Management, a New York-based venture capital firm, worth Rs. 177 crores. Upstox hoped to use the money to strengthen its product offerings by using cutting-edge technology. They’ve also created their trading platform to provide their consumers with a seamless trading and investment experience, as well as other technologically advanced services.
Through its in-house trading platforms Upstox Pro Web and Upstox Pro Mobile, they offer a comprehensive range of products and services at incomparable brokerage rates. With the platform backbone of Omnisys NEST OMS (Order Management System) and Omnisys NEST RMS, the Upstox trading platform not only allows trading but also charting and analysis (Risk Management System).
They also provide their investors with tools like the Brokerage Calculator, Upstox Margin Calculator, Options Strategy Builder, and Order Generator, which allow them to calculate fees and design strategies according to their own needs. It is user-friendly because all you have to do is fill in the details and the result will appear on your screen in no time.
Upstox’s Account Opening Fees
Upstox charges Rs 199 for account opening. Upstox is currently giving $0 brokerage charges on intraday equity, F&O, commodity, and currency trades up to Rs 1000 for the first seven days after your Upstox account is created. After 7 days, a brokerage fee of Rs 20* per order would be charged.
Upstox Stock Investing Brokerage Charges: Rs 0 (Investing in Stocks (Equity Delivery Orders) is brokerage-free)
Rs 20 for intraday and F&O transactions (0.05 percent or up to Rs 20 for all Intraday & F&O, Currencies & Commodity Orders). Mutual Funds & Digital Gold: Rs 0 (Digital Gold and Direct Mutual Fund investments are brokerage free). On Equity Delivery deals, Upstox charges no commission. This means that when making long-term investments on Upstox, you won’t have to pay any brokerage fees. Upstox costs Rs 20 per trade for intraday, futures, and options trading, as well as all other trades.
Upstox’s detailed brokerage fees are as follows:
1. Zero-brokerage equity delivery
2. Intraday equity: Rs 20 per executed order (0.05%) (whichever is lower)
3. Equity Options: A flat fee of Rs 20 is charged for each executed order.
4. Equity Futures: Rs 20 per executed order (0.05%) (whichever is lower)
5. Currency Futures: Rs. 20 per executed order (0.05%) (whichever is lower).
6. Currency Options: Rs 20 per order executed.
7. Commodity Futures: Rs. 20 per executed order (0.05%) (whichever is lower)
8. Commodity Options: A flat fee of Rs 20 is charged for each executed order.
Quick Note: In addition to brokerage fees, Upstox charges a monthly maintenance fee of Rs 25 + 18% GST to keep your Demat account with them. This cost is comparable to the Annual Maintenance Charge charged by other discount companies (AMC).
Upstox Trading Platforms
Upstox provides its consumers with cutting-edge mobile and web-based trading solutions. Here are a handful of Upstox’s most popular trading and investing platforms:
1. Upstox Pro Trading Tool: This desktop-based trading platform enables investors to purchase and sell any scrip quickly and conveniently. It offers the most advanced charting tools for detecting market patterns and making well-informed decisions. Customers may use 100+ indicators to customize their charts and become true pro traders. This trading platform, which just requires a basic internet connection, allows investors and traders to thoroughly research and explore the market.
2. Upstox Pro App: This application was developed in-house by Upstox professionals to provide traders with a simple and flexible trading experience. Users can quickly increase their profits by configuring their trading preferences and placing orders such as Cover and Bracket Orders on their mobile devices. Customer feedback for Upstox’s Pro mobile trading app is excellent.
3. Option Strategy Builder: You can use the option strategy builder to create various choices and future products.
4. Upstox Mutual Funds: This product was created for Upstox users who want to invest in mutual funds for free. Users can buy mutual funds directly at a cheap cost, allowing them to align their portfolios with their financial objectives.
5. Upstox IPO: Customers can use this platform by Upstox to immediately invest in the latest IPOs and apply for equities that are about to be launched using mobile UPI. There are two steps to it: Create your initial public offering (IPO) application Select an IPO with an open application, allowing customers to submit up to three bids within the price range and confirm their application. They must next accept the UPI requirement and block funds in their UPI app on their mobile device.
6. Upstox Digital Gold: Upstox Gold’s Digital Gold service is a quick, safe, and secure way to buy pure real gold online from the comfort of your own home. Please keep in mind that Upstox Gold is merely a distributor for Digital Gold. Augmont, their partner, is in charge of gold buying and selling. Customers can invest in pure gold online at a live market price starting at Rs1 using this platform.
Upstox Review: Benefits and Drawbacks
Let us now look at some of the advantages and disadvantages of Upstox Demat and trading accounts that you should be aware of:
Advantages of Upstox
1. Upstox is the second-largest Discount Broker, offering flat brokerage fees and free delivery trades.
2. They are continuously working on product improvements, which is why they provide their trading platforms, smart tools for planning and creating tailored strategies for a return-rich portfolio, and a variety of partner products.
3. Mobile trading apps for Android and iOS phones, as well as a web-based platform. Users are not charged for utilizing the software.
4. There is a Margin Against Shares option.
5. Web and mobile versions of After Market Order (AMO), Cover Order, and Trailing-Stop/Stop-Loss (SL) are available.
6. Multiple indicators are available on the Upstox Pro Web Trading Platform to monitor markets on the fly.
7. They provide Bridge For AmiBroker, which allows users to design strategies on AmiBroker AFL and execute trades on the platform. 8. Upstox, using the AmiBroker bridge and AlgoLab from Upstox.
9. Traders can create bespoke F&O strategies using the Upstox Option Chain Tool and Upstox Strategy Builder for Options.
10. Upstox Developer Console allows you to create (code) your trading software using Python and other programming languages.
11. You can invest in IPOs, mutual funds, and gold for free with the same account.
12. They offer extra features like Upstox brokerage and margin calculators.
13. Through its learning blogs and YouTube channel, Upstox has also begun investor education programs.
Disadvantages of Upstox
1. As an online discount broker, they do not provide advising services.
2. On delivery trades, Margin Funding is not accessible.
3. Upstox does not offer monthly trading plans with no limits.
4. An additional Rs 20 call and trade fee is levied for every executed order (Rs 20 Brokerage + Rs 20 Call & Trade Fee).
5. Because Upstox does not provide core research and advisory services, users are not given stock advice or recommendations.
6. Because the company does not provide banking services, they do not offer a 3-in-1 account that combines trading, Demat, and bank accounts.
7. It does not have a physical presence in many regions because it is an internet trade platform.
How do I open a Upstox Demat account?
Before we wrap up this Upstox review, let’s have a look at how Upstox compares to other cheap brokers when it comes to the account opening process for Demat and trading accounts.
Upstox provides Digital Demat account opening, which is a paperless and hassle-free approach. When compared to the account opening processes of other prominent stock brokers in India, Upstox’s onboarding process for opening a Demat account is easier and faster. If you have all of the digital copies of the necessary paperwork, the Demat account opening process for Upstox is really simple and can be finished within 10 minutes.
Your account will be validated and enabled by the Upstox team once the documents have been submitted, which usually takes 24–48 hours.
Required Documents to Open a Upstox Demat Account
Before we get into the steps for opening a Demat and trading account with Upstox, here are the documents you’ll need. We recommend keeping soft copies of all of these papers on hand before applying for accounts because you’ll need to submit them during the application process:
1. PAN CARD
2. Aadhar Card
3. Bank Account Details and Proof
4. Your Signature
5. Income evidence (optional): If you want to trade F&O or commodities, you’ll need to show proof of income.
You’ll also need a webcam on your phone/laptop to complete the IPV (In-person verification) process, which entails taking a photo of yourself (or the customer who wants to register a Demat account) and uploading it to the platform. The first step on this page is to sign up with your mobile number and email address, then validate the OTP. To proceed with the signup, you’ll need to provide your PAN, bank account, Aadhar verification, and personal information.
After your account is activated, you’ll receive your Login credentials (Upstox Username and Password) through email once your documents have been submitted. The login information is usually available within 24-48 hours of submitting documents.
In each step of the account opening page, all instructions are clearly stated. You don’t need to read the rest of this post if you’re good at reading and following directions. Simply go to the account creation page, complete the procedures, and upload the required documents to have your account created.
Concluding Remarks on Upstox
We investigated Upstox Review in this article. Upstox, formerly RKSV Securities, has risen to become India’s second-largest stockbroker, overcoming well-known brands in the business like HDFC Securities, ICICI Direct, Kotak Securities, Motilal Oswal, Angel Broking, and others. Furthermore, it is posing a serious threat to Zerodha, India’s largest stockbroker and a Unicorn Startup.
Its low-cost brokerage approach, user-friendly interface, and cutting-edge trading platform have helped it become a top priority for Indian traders and investors. Upstox is the go-to account to open a Demat and trading account if you’re seeking a fast and dependable trading platform with a solid reputation and low brokerage fees.
Please leave a remark below. In the comments section below, tell us what you think of Upstox. What aspects of this cheap brokerage did you enjoy, and how do you believe Upstox can improve? Have a wonderful day. Good luck with your trading and investing.