How Does IIFL Calculate Brokerage for the Delivery Trade?

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Any trader would love the idea of delivery trading with the brand that IIFL is. But, before you jump the gun, you must understand how does IIFL calculate brokerage for the delivery trade?

IIFL, previously known as India Infoline is one of the most prominent full-service brokers in the country. The broker is affiliated to major stock exchanges of the country – NSE, BSE, MCX, and NCDEX

By opening an IIFL Demat account traders get the opportunity to participate in various investment products such as-

In delivery trading, the traders can hold the securities and save them to their Demat account. Traders are not bound by any time limit to purchase or sell the securities. 

In addition to this, they don’t have to worry about keeping a check on the market prices all day to earn profits or save themselves from losses. 

So, traders who want to try the financial segment would like to know how does IIFL calculate brokerage for the delivery trade.

IIFL Delivery Charges

Recent trends suggest that a lot of traders are shifting towards delivery trading. Since the broker offers multiple brokerage plans, this can lead to a lot of confusion over IIFL delivery brokerage charges.

However, when you open a trading account with the broker, you are automatically subscribed to the IIFL Z20 Plan by default. Under this plan, a trader will not be charged for delivery trades in any financial instrument.

This means that a trader can place orders in equities, Futures, and Options, currency, or any financial instrument offered by the broker, but traders won’t have to pay any IIFL delivery brokerage charges.

This can be understood better through the means of the below-mentioned example. 

For Example – Harveer has a Demat account with IIFL. Despite the fact that he has been actively day trading for more than a year, he hasn’t enjoyed much luck on the stock market.

While considering other avenues, he decides to try long term investment opportunities and subsequently looks to go for delivery trading.

While on the lookout for stocks for investment, he comes across the stock of ZZ LTD. which has been going at a stable rate for a good couple of years and looks likely to stay that way for years to come. 

But, then he gets worried about how does IIFL calculate brokerage for the delivery trade. Although he had been trading on the stock market for quite some time,  however, his experience in the market was limited only to day trading.

Harveer then calls his friend Deep who was a more experienced trader. Deep informs him that since he has an IIFL Demat account, he can place his order without having to pay any brokerage charges. 

An assured Harveer then places a Buy Order to purchase shares worth ₹ 10,000 in the company.

While he was convinced with the order for his long term endeavors but he wanted to have investment options that could bring him good returns for the shorter run as well. 

So, Harveer then proceeds to purchase 100 TATA shares priced at ₹ 980 on 1 February 2021 and sells them on 3rd February 2021 when the same share was being traded at ₹ 1000 in the stock market. 

Thus, Harveer made a profit of ₹ 20 ✕ 100 = ₹ 2000. Now, Harveer had to place 2 trade transactions, first to purchase the shares and then sell those shares. 

Since IIFL doesn’t charge any brokerage fees, he didn’t have to pay any brokerage fees for carrying out delivery trading.


Conclusion 

IIFL is a leading name in the stockbroking industry of the country and continues to attract traders in huge numbers. Not every trader is made for the risky waters of intraday trading, such traders should look at delivery trading.

Traders who open a Demat account get the opportunity to invest in a vast range of investment instruments. Although a majority of traders are into intraday trading, there are traders who are keen to give delivery trading a try.

Such traders are faced with many queries, one of them is – how does IIFL calculate brokerage for the delivery trade?

However, they shouldn’t worry as traders who would like to participate in delivery trading will get a pleasant surprise in the form of zero brokerage for delivery trade transactions.

When traders open a trading account with the full-service broker, they get to subscribe to their Z20 plan where delivery trading costs zero brokerage fees. So, delivery traders will not have to shell out a penny out of their pockets when trading with IIFL.

Offers don’t come any more attractive than this one, so if you are looking to give delivery trading a try. IIFL Securities definitely deserves a chance.


Willing to get into the trade? Open a Demat account for free. Just fill in the details below and a callback will be arranged in no time.

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