There are so many instruments in the present time to help you in investing in the right share. You can perform your stock marketing endeavours with utmost effectivity once you have the proper approach. Since there are tools and instruments such as calculator, you have to make sure that you employ them.
Have you ever heard about brokerage calculator like calculator of zerodha brokerage? it is time that you take a detailed peep into this calculator? You must know how it works, how a prospect can make use of it to compare brokerage & other charges charged by different stock brokers.
What is the meaning of this calculator?
A calculator utility assists in computing not just the brokerage chargeable but even other pricing that are charged apart from the brokerage while performing trading transaction in the stock marketing. The usefulness computes the full cost that one would incur while performing or undertaking the trade transaction.
What are Inputs required by a Calculator?
The inputs needed could be absolutely basic details i.e. buy price of the stock, sell cost, number of shares and state in which the account gets held. Based on such details, the calculator tool might compute the brokerage payable and the other charges allocated that form part of the price base for the trader. Some of such charges or costs are even separately disclosed in the contract note whereas a few of them might be simply added to the other charges. You have to be careful about these.
Varied Charges computed by Calculator
The utility computes the brokerage, SEBI turnover fee, transaction charges, stamp duty (each state owns a different rate of duty and hence it is one of the input fields), securities transaction tax and also GST.
What is the importance of calculator here?
It is of utmost importance and relevant for any trader. It not simply helps you computethe cost involved but even helps you in minimising the price and maximise the net profit. Have a look at a few perspectives on this below:
The utility is going to help a trader/Investor in comparing brokerage rates of all the brokers and analyse which type of broker caters the most favourable rates to fulfil the trader’s strategy. For instance, if the trader is a novice and does not want to trade in high quantities, he or she could choose a broker who caters brokerage based on quantity hence helping in keeping the smallest cost base for the trader.
Similarly, if a trader holds trading/DEMAT account with many brokers, then he can examine that which broker firm would charge him or her smaller for the planned trade transaction. Thus, the calculator utility can help the trader or the investor in examining the finest suitable broker.It is needless to mention that the calculator is a productive tool for the traders and investors. It is because it assists them in having a proper understanding of approximate cost that they could incur for a specific potential transaction.
Conclusion
so, you should try out a good calculator if you want to measure the costs and search out the finest rates for your dealings.