Broker that gives you more leverage in option selling

Question and Answer – ForumCategory: brokerBroker that gives you more leverage in option selling
Raghu Staff asked 3 years ago
1 Answers
Raghu Staff answered 3 years ago

I have used 5 brokers so far and hence my knowledge on this topic is limited –

1) Axis Direct
Pro – Stable always
Cons – High Brokerage
My Option Selling perspective – Havent tried

2) Zerodha
Pro – Amazing UI, really good apps (coin, sensibull, streak, sentinel, many many!), community is good, receptive to new ideas, earliest in discount broking industry
Cons – The site crashes when it matters the most
My Option Selling perspective – Great portal. But there are limitations in terms of buying far OTM contracts  (hedge) in BN. This is a killer, as any event will wipe away entire capital.

3) Upstox
Pro – Amazing UI, really good tools, community is growing (they have almost all the features of zerodha), company is funded by Ratan Tata
Cons – The site is stable
My Option Selling perspective – I am using this for buying far OTM contracts (hedge)

4) Astha trade
Pro – Low margin (2500 per day for intra day option selling).
Cons – Bad customer support, tools are not that great. Mobile app is really bad.
My Option Selling perspective – High leverage is risky. You can try with a limited capital. Smaller brokers are not reliable at all

5) ICICI direct
Pro – Lowest margin (1000 per day for intra day option selling) but it should be done with a SL, Stable portal and it has good support
Cons – Brokerage is high. For BN, first 10 lots it is 95 per lot and further lots it is 15 rs per lot. Let us say u write 25 lots – brokerage is 10 x 95 for first 10 lots and 15 for next 15 lots. So 950 + 225 = 1125
My Option Selling perspective – High leverage is risky. You can try with a limited capital

I am currenlty using both Zerodha and Upstox for trading. Also, I use Zerodha for investments (MF – Coin, buying shares etc).

SANTHOSH replied 3 years ago

What is the margin for zerodha ? And How much leverage It will give for option selling ??

Raghu Staff replied 3 years ago

Approx. 57k to 65k for positional. Intraday it is half the amount. ie. approx 28k to 30k

MEHTA DHARMESH replied 3 years ago

Sir I’m currently using astha trade and its working fine with me. They have launched new mobile app Bazar and its really quick.

Raghu Staff replied 3 years ago

Sure, thanks for this info. I will check.

SANTHOSH replied 3 years ago

Mr Raghu , what about Leverage ?? How much they will give ??

Raghu Staff replied 3 years ago

Yes, 57k for positional and 28k odd for intraday. That will be close to 5x

SANTHOSH replied 3 years ago

Hello,

Can anyone post Brokerage charges and Leverage provided by Upstox and Astha trade???