Through this post, you’ll become familiar with some of the Best Commodity Brokers in India, their account opening services and other relevant details.
Commodity trading as the name suggests is the trading of commodities and items like gold, oil, crops, etc., rather than company share, bonds, and debentures. The general items traded under these trading platforms can be segregated further into categories like:
- Metals: Like gold, silver, platinum, and copper
- Energy sources like crude oil, heating oil, natural gas, and gasoline
- Livestock and Meat
- Agricultural produce
Commodity trading activities are regulated by Securities Exchange Board of India (SEBI). Nowadays, many companies and organizations provide the commodity trading facility using common exchange platforms. Below are the major exchanges which supports commodity trading facility:
- Multi Commodity Exchange (MCX)
- National Commodity and Derivatives Exchange (NCDEX)
In simple words, for doing commodity trading in India, you have to open a Commodity Trading account. If you want to pursue commodity trading on NSE and BSE, you have many brokers offering the same. But, if you want to do commodity trading on MCX and NCDEX then you have to select a broker who is a member of MCX and/or NCDEX.
Now, let’s now jump right to our topic and discuss a few key players in the market which provide the facility of the commodity trading through their portal/platform.
Commodity Trading Brokers in India: What to Look for?
- Ease of use & friendly interface
- Portfolio Tracking
- Offering Analyst Research
- Quick access to a reliable trading portal
- Reasonable charges
- Real time data
- Advanced Fundamental and Technical Reports
Best Commodity Brokers in India
Here are some of the popular and growing stock brokers offering commodity trading services in India:
- A Bangalore based company and India’s largest discount broker available for individual trading is “Zerodha”.
- Zerodha offers the most efficient, a very user friendly, innovative and modernized commodity trading platform, Zerodha Kite.
- You can buy and sell commodities and manage your portfolio effectively.
- It offers commodity trading on MCX only.
- Brokerage charges for commodity futures and options are Rs.20/executed order or 0.03% whichever is lower.
- In the commodities segment, it provides leverage of upto 3 times a day for intraday trading.
- Zerodha provides cover orders, MIS and Carry forward position in Commodity Derivatives.
- Kite provides powerful technical analysis tools in the form of data widgets, advanced charts, etc.
- Education tools like “VARSITY” further help to gain insights on trading.
2. Angel Broking
- Angel Broking Commodities Pvt.Ltd. is a Mumbai based stock broking firm is a member of MCX and NCDEX that allows trading in all commodities.
- Brokerage Commission charges for commodity F&O are Rs.20 per executed order.
- Get Margin funding with high exposure.
- Get resources and recommendations for commodity investing.
- Access to fundamental and technical research reports.
- A Mumbai based broker and one of India’s fastest growing discount broker offering commodity trading services.
- Brokerage for commodity transactions is Rs.20/executed order.
- The company provide 3 times margin for buying/selling for MCX futures.
- Get advanced charting and live market data access and encourages smart analysis.
- A full-service broker that provides all its services through an online trading website “Sharekhan.com”.
- It has a presence of over 550 cities with 1800+ offices which includes branches & franchises.
- There used to be a specific portal for commodity trading called “ComTrade” wherein they provide open trading of commodities. But now it is combined under the same website.
- It provides leverage of upto 2 times for intraday.
- It’s a Chennai based company recently incorporated which provides a discount broker facility.
- The company provides the a low brokerage cost at Rs.9/executed order and Rs.99 monthly plan.
- It offers commodity trading on MCX only.
- Company provides no analysis or recommendation tips for their users.
- It provides margin funding @ 2% interest pm.
6. Alice Blue
- Alice Blue is a Banglore based company and one of the fast growing commodity trading services provides in the South.
- It provides both discount brokerage i.e. Rs.20 and a percentage based plan also.
- Commission charges for such transactions are Rs.20 only.
- They offer up to 20X margin.
- It provides an advanced version of the trading platform like “ANT Bridge” where you can build your own strategy.
- You get various analysis and insightful report through “ANT” technology that enables to take the correct decisions.
Best Brokers for Commodity Trading In India: The Bottom Line
Apart from being different in their interface, these all commodity trading platforms work to help us grow our investment and work hard to provide the better services.
Commodity Trading Account Opening is an easy online process. You can complete the formalities and open your account instantly with any of the best commodity brokers in India.
Disclaimer: There is a high degree of risk involved in trading. The details given on this website are for informational purpose only and cannot be constituted as professional advice in any regard. Please follow due diligence while investing your money.
To conclude, if you are newbie, be very careful while doing commodity trading. It’s a volatile market and full of commodity trading risks. So, plan your strategies well before putting in your hard-earned money. And, don’t forget to share your valuable feedback on any of the top commodity brokers in India.