Broker

A broker, in the context of Indian capital markets, is a SEBI-registered intermediary that facilitates the buying and selling of securities — including equities, derivatives, bonds, mutual fund units, and commodities — on behalf of investors by providing access to exchange trading platforms, order execution services, Demat account linkage, and settlement infrastructure. In India, brokers are classified as trading members of NSE, BSE, or other recognised exchanges — registered under SEBI's Stock Broker Regulations and subject to capital adequacy, KYC, client fund segregation, and compliance requirements. Brokers are broadly categorised as full-service brokers (providing research, advisory, relationship management, and offline support alongside trading — such as HDFC Securities, ICICI Direct, and Ventura) and discount brokers (offering execution-only services at flat fees — such as Zerodha, Upstox, and Groww). A broker earns income through brokerage commissions on executed transactions, interest on margin funding, and ancillary service fees. For investors, selecting the right broker involves evaluating brokerage rates, platform technology, research quality, customer service, and the range of products offered. SEBI's investor protection framework — including mandatory segregation of client funds, annual account statements, and dispute resolution through the SCORES platform — governs all SEBI-registered brokers to ensure fair and transparent treatment of investor assets and orders.