On top of that, they only charged a flat fee of ₹20 on every trade, irrespective of its size, with zero brokerage fees and an annual maintenance fee of ₹300. They launched a user-friendly and easy-to-use trading platform using the latest technology. And this made them India’s first discount brokerage firm. Zerodha’s operations began on August 15, 2010. And most of the savings went into purchasing exchange refundable deposits and setting up an office space.Įverything was set, and now it was show time. So, he decided to use his savings to get things moving. Rather, they were not interested in investing money in any startup. Nithin was looking for VC funding, but VCs were reluctant to fund an online brokerage startup after the market crash. Just before Zerodha was founded, financial markets went through a crisis in 2008-09. So, how did they remove the obstacles and went on to become the largest brokerage company in India? When the two words are combined, it means “no hurdles” or “zero hurdles”. Now, do I need to tell you what Zero means? □ ‘Rodha’ is a Sanskrit word for hurdle or barrier. They simply wanted to eliminate all the hurdles faced by the traders and make their trading experience a walk in the park.Īnd that’s how they came up with the name Zerodha. The reason behind starting Zerodha was to empower traders by providing a simple-to-use and affordable trading platform. But the journey ahead was going to be tough. Then both the brothers quit their jobs and started building Zerodha. And not just an ordinary broker he also decided to revolutionise the broking industry. So, after trading for almost a decade, Nithin decided to become a broker. The reason was simple – high brokerage charges and a complex trading process.Īs Nithin had worked with many brokerage firms, he recognized the challenges faced by traders. He also figured out why many young people are not interested in stock trading. There was a huge gap between the commissions charged by the brokers and the actual amount clients got after the transaction. This allowed him to buy and sell stocks from a single platform.īut in all this, he realised one thing. To tackle this situation, in 2006 he joined Reliance Money as a sub-broker. There was no single platform where Nithin could switch between different accounts seamlessly. Later, he left his call center job as he started handling more accounts. So, he gave Nithin a ₹25 lakh cheque to manage his Demat account. In 2005, a foreign HNI was impressed with Nithin’s trading portfolio. So, how did these two brothers stumble upon the idea of establishing Zerodha? Later, he joined Way2Wealth as a sub-broker. He also started stock trading after following his brother and friends.Īs Nikhil got more experienced in trading, he started managing the assets of his friends and colleagues. (Quite a bold decision!)īut at the age of 17, he started working full-time at a call center. Nikhil dropped out of school after the 10th standard to play chess. Nikhil Kamath, co-founder and CTO of Zerodha, followed in his brother’s footsteps. Later, he joined Reliance Money as a sub-broker, and he made a lot of money by handling big client accounts. This prompted Nithin to work in a call center at night, while he traded during the day. But in the 2001-02 market crash, he lost it all. Having been introduced to the stock market by his friends, he started trading in penny stocks and made a good amount of money. Nithin Kamath, the founder and CEO of Zerodha, started stock trading at the age of 17. Wow! A bootstrapped startup without spending a penny on advertising has over 1 crore customers with 62 lakh+ active customers. They offer investing and trading services in the stock market, currency and commodities markets, mutual funds, and bonds.Īnd you won’t believe this, Zerodha is India’s largest brokerage firm in terms of active customers. Zerodha is a financial services company offering discount brokerage services to retail Indian investors and traders. I am pretty sure you must have heard this name a lot over the last 2-3 years.Īnd I can’t believe I was just 10 when two brothers, Nithin Kamath and Nikhil Kamath, founded Zerodha in 2010.
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