India Security Brokerage Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 3.94 Billion |
| Market Size (2029) | USD 5.75 Billion |
| CAGR (2024 - 2029) | 7.89 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
India Security Brokerage Market Analysis
The India Security Brokerage Market size is estimated at USD 3.94 billion in 2024, and is expected to reach USD 5.75 billion by 2029, growing at a CAGR of 7.89% during the forecast period (2024-2029).
A robust economy generally leads to increased investor participation in the securities markets. Regulations set by the Securities and Exchange Board of India (SEBI) govern the operations of brokerage firms, including licensing requirements, compliance standards, and investor protection measures. Changes in regulations can affect brokerage business models and profitability. Advancements in technology, such as online trading platforms, algorithmic trading, and mobile trading apps, have transformed the brokerage industry in India. Brokerage firms invest in technology infrastructure to offer innovative services and improve client experience. Competition among brokerage firms drives innovation, pricing strategies, and service offerings. Brokerage firms differentiate themselves based on factors such as brokerage rates, research capabilities, trading platforms, and customer service. Efforts to educate investors about the securities markets and financial products influence investor behaviour and participation levels. Brokerage firms often play a role in investor education through seminars, workshops, and online resources. India's integration with global financial markets and participation in international investment activities influence the operations of brokerage firms. Cross-border investment opportunities, regulatory harmonization, and global market trends impact the strategies of Indian brokerage firms.
Overall, the security brokerage market in India is dynamic and influenced by a combination of economic, regulatory, technological, competitive, demographic, and global factors. Adapting to market dynamics and meeting client needs are key challenges and opportunities for brokerage firms operating in India.
India Security Brokerage Market Trends
Increasing Demat account and brokerage business affecting Indian Security Brokerage Market
National Security Deposit Limited regularly regularizes all the electronic Demat accounts operating in India for buying and selling securities through brokerage websites online. The value of assets held under custody increased for debt, equity, and other securities. Last year they observed 24.96 lacs new Demat account openings, with a growth of 54% as a result of an increase in retail investors' surge for profit. Of the total depository participants, stock brokers occupy the largest segment, with banks coming next, and corporate actions consisting of the distribution of securities arising out of an IPO, Right Issue, observed a growth of 12%.
These trends signify an increase in the purchase of stocks by retail investors and an increase in business for brokers in the issue and sale of securities.
Trend in Stock Indices affecting Indian Security Brokerage Market
Two main stock exchanges operating in India are the National Stock Exchange and the Bombay Stock Exchange, which provide indices over the overall trend of different market segments. This trend helps retail investors form their speculation and decide whether to buy more stocks or sell existing shares. Both indices observed a bullish run, leading retail investors to buy shares with the expectation of increasing the price and gaining a profit.
This leads to increased business activity done by brokers as intermediaries for providing securities and gaining profit. With an increase in the global interest rate for controlling inflation and the contractionary policies of major central banks, stock indices turned down with a large sale of securities in the brokerage market.
India Security Brokerage Industry Overview
A broker is an individual or firm that acts as an intermediary between an investor and a securities exchange. In India, with existing Bombay and National Stock Exchanges, the leading online security brokers are Zerodha, Upstox, Angel Broking, SAS Online, Indian Infoline, Trade Smart Online, Flyers Securities, and Trade Plus Online. Brokers charge different prices for ETF and option trades, and depending on different services, they secure a margin for themselves and help retail investors access company shares.
India Security Brokerage Market Leaders
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Zerodha
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Angel one
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Groww
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5paisa
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upstox
*Disclaimer: Major Players sorted in no particular order
India Security Brokerage Market News
- May 2023: Fintech unicorn Groww acquired a 100 percent stake in the mutual fund business of Indiabulls Housing Finance for INR 175.62 crores (21.23 million USD). The acquisition was made to make mutual funds more accessible, simpler, and transparent, besides lowering the cost by Groww.
- March 2022: Axis Bank consolidated its position amongst the large private lenders by agreeing to acquire Citibank's consumer businesses covering loans, credit cards, wealth management, and retail banking operations in India, in line with its growth ambitions.
India Security Brokerage Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS AND INSIGHTS
4.1 Market Overview
4.2 Market Drivers
4.2.1 High Retail Participation
4.2.2 Favorable systematic liquidity in domestic and international market
4.3 Market Restraints
4.3.1 Saturation and standardization of offerings
4.3.2 Maintaining adequate margin at the exchange
4.4 Market Opportunities
4.4.1 Discount brokers dominating over the retail segments
4.4.2 Adoption of Integrated business model
4.5 Industry Attractiveness - Porter's Five Forces Analysis
4.5.1 Bargaining Power of Buyers
4.5.2 Bargaining Power of Suppliers
4.5.3 Threat of New Entrants
4.5.4 Threat of Substitutes
4.5.5 Intensity of Competitive Rivalry
4.6 Insights of Technology Innovations in the Market
4.7 Insights on various regulatory landscape
4.8 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
5.1 Type of Security
5.1.1 Bonds
5.1.2 Stocks
5.1.3 Treasury Notes
5.1.4 Derivatives
5.1.5 Other Types of Securities
5.2 Brokerage Service
5.2.1 Stocks
5.2.2 Insurance
5.2.3 Mortgage
5.2.4 Real Estate
5.2.5 Forex
5.2.6 Leasing
5.2.7 Other Brokerage Services
5.3 Service
5.3.1 Full-Service
5.3.2 Discount
5.3.3 Online
5.3.4 Robo Advisor
5.3.5 Brokers-Dealers
6. COMPETITIVE LANDSCAPE
6.1 Market Concentration Overview
6.2 Company Profiles
6.2.1 Zerodha
6.2.2 Angel Brokers
6.2.3 Upstox
6.2.4 Groww
6.2.5 5 paisa
6.2.6 SAS Online
6.2.7 India Infoline
6.2.8 Trade Smart Online
6.2.9 Flyers Securities
6.2.10 ICICI direct stock broker*
- *List Not Exhaustive
7. MARKET FUTURE TRENDS
8. DISCLAIMER AND ABOUT US
India Security Brokerage Industry Segmentation
Security brokerage refers to banks offering customers a channel for buying stock, bonds, and other securities at a low transaction cost instead of going through a security broker or dealer. A stockbroker is compensated for his services in executing orders on the exchange through commission charges, which are paid by both the buyer and seller to their respective brokers.
Security brokerage market in India is segmented by type of security, type of brokerage services, and type of services. By type of security, the market is sub-segmented into bonds, stocks, treasury notes, and derivatives. By type of brokerage service, the market is sub-segmented into stock, insurance, mortgage, real estate, forex, and leasing. By type of service, the market is sub-segmented into full-service, discount, online, robo-advisor, and brokers-dealers. The report offers market size and forecasts for the security brokerage market in India in value (USD) for all the above segments.
| Type of Security | |
| Bonds | |
| Stocks | |
| Treasury Notes | |
| Derivatives | |
| Other Types of Securities |
| Brokerage Service | |
| Stocks | |
| Insurance | |
| Mortgage | |
| Real Estate | |
| Forex | |
| Leasing | |
| Other Brokerage Services |
| Service | |
| Full-Service | |
| Discount | |
| Online | |
| Robo Advisor | |
| Brokers-Dealers |
India Security Brokerage Market Research Faqs
How big is the India Security Brokerage Market?
The India Security Brokerage Market size is expected to reach USD 3.94 billion in 2024 and grow at a CAGR of 7.89% to reach USD 5.75 billion by 2029.
What is the current India Security Brokerage Market size?
In 2024, the India Security Brokerage Market size is expected to reach USD 3.94 billion.
Who are the key players in India Security Brokerage Market?
Zerodha, Angel one, Groww, 5paisa and upstox are the major companies operating in the India Security Brokerage Market.
What years does this India Security Brokerage Market cover, and what was the market size in 2023?
In 2023, the India Security Brokerage Market size was estimated at USD 3.63 billion. The report covers the India Security Brokerage Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the India Security Brokerage Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
India Security Brokerage Industry Report
Statistics for the 2024 India Security Brokerage market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. India Security Brokerage analysis includes a market forecast outlook to for 2024 to 2029) and historical overview. Get a sample of this industry analysis as a free report PDF download.
