However, the discount broking industry in India is relatively nascent, with not many trusted names in the space. Bajaj Finance Limited (BFL), one of the trusted players in the consumer finance segment, is set to disrupt the Indian discount broking space with a unique service proposition through its wholly-owned CRISIL AAA/Stable rated subsidiary, Bajaj Financial Securities Limited (BFSL).
BFSL carries the legacy of BFL’s trust, and offers low-cost brokerage benefit to investors with its free and paid annual subscription packs. Investors can save up to 99%* on brokerage for delivery trades and up to 75%** brokerage on equity F&O trades with the Professional Trading Pack.
In addition to the low-cost brokerage, BFSL is also offering a host of other benefits, aimed at helping investors to capitalise on the market opportunities and providing the required infrastructure and support, needed in times of financial exigencies. Complete details on these services are provided below:
- Fast and secure trading platform
BFSL’s online trading platform offers fast and secure trading from the web and mobile apps, helping investors trade on-the-go. Investors can also use algos to make timely, automated trading decisions.
- Leveraged position in the market (up to 20 times of net worth) at Rs. 0.05 per day
Margin Trade Financing can help investors take a leveraged position in the market by paying only a fraction of the total transaction value, i.e. ‘margin’. With BFSL’s low-cost Margin Trading Financing (MTF) facility, investors can avail one of the lowest interest rates in the industry, i.e. Rs. 0.05 per day for meeting their margin shortfall. Since the average interest rates in the industry fall in the range of around Rs. 0.24 per day, the cost difference can translate into higher profits from equity trading for investors.
Investors can enhance their investment potential by up to 20 times of their net worth by availing MTF facility from BFSL. They also have the flexibility to use the margin funding for buying from a wide range of securities.
- Loan Against Securities (LAS)
LAS facility allows investors to ringfence their investments, while ensuring they have access to liquidity as and when required.
BFSL’s parent company, BFL is one of the largest retail asset financing NBFCs in the country with a track record of servicing customers for over a decade with a diversified product suite for Loan against Securities (LAS) business. Thus, BFSL customers can benefit from getting easier access to a well-designed LAS service provided by BFL.
Investors can digitally pledge their securities (shares, mutual funds, bonds, etc) and apply for loan through a quick and hassle-free online application process. Instant loan can be availed against a wide range of securities with same day disbursal, typically within four hours of applying. Investors can access their portfolio online on a real-time basis and keep a track of their loan outstanding.
High Net worth Individual (HNI) customers can avail a high loan value up to Rs. 100 crores, and the services of a dedicated relationship manager to assist them through the process.
CRISIL has assigned its 'CRISIL AAA/Stable/CRISIL A1+' ratings to the long-term bank facilities and commercial paper of BFSL. The company has also received a Corporate Credit Rating of 'CCR AAA/Stable'. These indicate the company’s strong liquidity position and its ability to withstand difficult economic conditions. Thus, investors can rest assured with the safety and stability of their investments with BFSL.
*99% savings on delivery brokerage calculated as brokerage of Rs. 10 (approx) charged in BFSL vs brokerage of Rs. 1000 calculated at 0.10% on 5 buy & sell orders each of a volume of 2 lakh.
**75% savings on equity F&O trades calculated as brokerage of Rs. 5/order charged in BFSL vs brokerage of Rs. 20/order.
