*Advantages and Disadvantages of Discount Brokers (Pros and Cons)*
*Advantages:*
1) Offer low brokerage charges compared to full-service brokers.
2) Brokerage plan is fixed for all trader types- low volume or high volume.
3) Low transaction costs.
*Disadvantages:*
1) You Can't expect the best research advisory and other investment services.
2) No branch services.
3) No RM support.
4) Hidden cost applied.
5) Ask plan for advance (Prepaid)brokerage.
6) Only Self service.
7) Technology not Fast and Reliable like Full service broker.
7) Extra and high pay for AMC charges. Like call n Trade min. 20/- per call, Contract note and Ledger charges every time.
8) Limited facilities due to low brokerage.
9) Limited Research due to low brokerage profitability also low, can't afford to appoint best Research Team.
10) Discount Broker don't want to provide investment service, focusing on trading.
11) Discount broker not taking more responsibly like Full Service Broker for client profit earning.
12) We as (Middle Person) no rights to involve in Service, like Full Service Broker.
13) For Intra day Full Service Broker charge like (example: 03 paise) brokerage and Discount broker will charge 20/- rs. Per trade not nigotiable)
14) Full Service Brokers always give offers and Supports. Discount broker can not! Apply fix charges.
15) Discount brokers case you are Self Trader like here no one is your care taker. Market strategy to acquire more no of clients to generate profit by showing (Greed) discounts! No future to Clients and this Concept. Clients get happy in starting phase, after they search Full Service Brokers! It's our experience!
*Conclusion: Full Service Broker is the best always!* 👌
Traders should need to think on, What is our goal to save charges or earn money?
I work for both (Full Service Broker & other Discount Broker companies) services! 🙏
Which you want? It's your choice!
Mr. Amol Bhosale
(Stock broker & Consultant)
📲Miss call us! we will contact you!
