RKSV Security Discount Broker Review
What is stockbroking?
Stockbroking is a regulated profession that is often performed by brokers who work for firms or broker dealers. Their main function is to buy and sell shares for their clients. In return, they usually charge commissions based on the profile of stocks. These clients that brokers work for could be retailers or institutional clients.
Stockbrokers have plenty of professional designations which depends upon the type of clients, the services they provide, the securities they sell and buy, the license they hold, etc. For example, there exist full time brokers and discount brokers. The job they do is the same but the services they offer vary.
Full time or full service stockbrokers charge high fee for their services. These brokers generally work for large and prolific clients or institutions. Discount brokers are online functioning firms that perform trading for their clients who could be average investors or traders. The fee they charge is minimal compared to what full service brokers charge.
These discount brokers function on automated and computerized systems making it easier and faster to perform trading operations. Plenty of discounted options are available for the clients to choose from due to a heavier competition among brokerage firms. As mentioned already, the functioning of full service and discounted brokers is the same and is regulated by one general body for a particular country.
One such discount brokers firm is RKSV which is situated in Mumbai. It was founded and started by three ambitious entrepreneurs in 2009 who had just returned from the USA, namely, Raghu Kumar, Ravi Kumar and Vishwanath Srinivas. With past experiences before founding the brokers firm, they had become one of the very first discount brokers to start business in India, currently having about 25000 clients trading with them their main headquarters are situated in Mumbai and New Delhi.
RKSV provides three forms of brokerage plans to their clients;
- Dream Plan: This is termed to be the most simple and widely used brokerage plan which is offered by RKSV. In this plan, irrespective of the size of the trade, the client will be charged only Rs.20. This actually means that a client would have to pay Rs.20 only, if he/she were to buy shares worth one lakh or ten lakhs. What makes the plan irresistible to traders and investors is that 5 free trades are offered every month under this plan. This means that a client would get Rs.100 per month brokerage for free of cost.
- PRO Plan: This plan is also known as an unlimited zero brokerage plan provided by RKSV. Monthly charges of Rs.1999 for trading in currency and F&O, Rs.2999 for trading in commodities and Rs.3999 for trading in equities and F&O are to be paid. Once these charges are paid, there are no additional charges that are to be paid. What is to be remembered is that you would still have to pay the STT, SEBI and stamp duty charges per trade. This is advantageous for traders who make multiple trades per month which allows them to save plenty on the brokerage charges.
- The Ultimate Plan: This plan offered by RKSV is an unlimited plan for which a client has to pay
per month and he/she could trade in any exchange without having to pay additional brokerage charges.
plan comes along with very high margins which are as follows;
- 25x on BSE and NSE cash
- 5x on NSE futures
- 5x on BSE and NSE currency futures
- 3x on MCX futures
There is also a RKSV brokerage calculator which allows a client to calculate the brokerage amounts precisely, thus erasing any confusion whatsoever.
The RKSV trading platform:
As mentioned above, RKSV is fully computerized and automatic functioning. Thus, during the verification process, you are to install NEST trader on to your PC which is to be used while trading.
NEST trader is a downloadable file which is to be installed on to the PC you are going to trade on. This is standardized and user friendly software created by Omensys. It is very easy to use and if you have experience with such platforms, you will get the hang of it in no time. Also, Fund transfer can be done from this NEST platform directly.
You could also use the NEST trader on the web platform too. The only requirement to do is to download JAVA onto your PC. All the market watches created on the downloaded NEST trader software would be available on the web platform too.
Owing to technology, there is also an RKSV mobile platform which provides access to NEST trader on a cellphone as well. The functionality and layout of this application on the cellphone is very similar to that on the PC or the web. You could do almost everything from buying, selling and booking, watch market, etc. on this application. This application is downloadable on almost all smartphones. This is makes it apt for clients to trade on their cellphones.
Creating an RKSV account:
Like every other discount broker firm, RKSV also functions online completely. There is no such office where a client could walk in and apply for an account. It is all to be done online. Firstly, the client has to print the application form from the website, fill it up and send to the RKSV office in Mumbai along with other necessary documents. The other dcuments required are as follows;
- Self-attested copy of PAN card
- Self-attested copy of address book
- ITR or 6months bank statement
- Filled and signed application form
Once the company receives the form, you would have to go through an IPV on the webcam. IPV stands for in person verification process. During the IPV, the applicant would have to produce his documents such as PAN card, address proof, bank statements, etc. on the webcam. On completion of the IPV, the company takes about 2-3 working business days to activate the applicant’s account. All the necessary information required to operate using the new account would be emailed to you email ID. Also, there is a charge of Rs.200 to create the account which is to be paid online.
Why go for RKSV Demat account?
RKSV is in the process of becoming a depository participant. A depository participant is an agent that makes your interaction with the Central depository very possible. This is because, as an individual consumer, a trader cannot become a client of the depositories available in the Indian markets. Since it is very soon going to become a depository participant, a Demat account with RKSV would help expedite the online account process very promptly.
Many people are concerned about the safety of their investments and shares with their discount brokers. RKSV is a properly registered firm with great reputation with SEBI. Also, statistics show that many clients are happy with functioning of RKSV and the complaints have always been very few since the establishment of the firm. If a client were to apply for a Demat account, there should be no worry regarding the safety of their investments. This is because with a demat account, the shares you own aren’t lying around in the broker’s hands. Instead, they are in the hands of the National and Central depositories which come under government owned entity.
As mentioned above, RKSV also provides a very useful brokerage calculator. Using this, a client could have all the necessary details of the expenses he/she is going to come across whenever he/she goes about a trade. This trade calculator accurately lets the user know if the trade would face a profit or a loss. It also provides a span margin calculator. This makes the client aware of the margin requirements before the trade is even initiated. By constructing a portfolio first, a client could understand the margin requirements very well.
What is to be remembered is that discount brokers don’t provide advisory services regarding buying and selling of stocks. Thus, if you are new to the share trading world, it is advised to not choose discount brokers in order to stay away from losses. If you are a trader with past experiences and you are comfortable using a computer, RKSV could help you save thousands of thousands of rupees in brokerage charges for you. If you are looking to do very limited trading per month like an investor or a swing trader, you should go with the Dream plan as it offers 5 free trades each month and this scheme would fit in your head really well. Using the Pro plans, you can save plentiful if you are a high frequency trader performing many trades per day. If you are someone who wishes to trade in all the segments available and who would like to avail an extra margin, go with the Ultimate plan as it is beneficiary. Nonetheless, RKSV is a great startup discount broker firm with plenty of advantages for all levels of traders, making it one of the best choices in the world of trading.
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