Zerodha is an Indian financial service company (member of NSE, BSE, MCX, MCX-SX), that offers retail and institutional broking, currencies and commodities trading, mutual funds, and bonds. Founded in 2010, the company is headquartered in Bangalore and has physical presence in several major Indian cities.
As of 2019, Zerodha is the largest retail stock broker in India by active client base, and contributes upwards of 2% of daily retail volumes across Indian stock exchanges.
In June 2020, Zerodha entered the unicorn club with a self-assessed valuation of about $1 Billion. This valuation is based on the ESOP buyback exercise the company undertook valuing each share at more than four times of the book value of INR 700 per share.
Type of Site: Private
Founded: 2010 August; 9 years ago
Headquarters: Bangalore, Karnataka, India
- Nithin Kamath
- Nikhil Kamath
- Kailash Nadh
CEO: Nithin Kamath
Industry: Stock Broker
Products: Kite, Coin, Console, Varsity
Services: Equity Trading,
- Currency Trading,
- Commodity Trading,
- Mutual Funds,
Subsidiaries: Zerodha Commodities Pvt. Ltd.
Users: 9 lakh+
Zerodha Business Model
A flat fee of a maximum of Rs 20 is applied to a trade, irrespective of its size, and it offers an array of purpose built trading applications to its retail customers.
Zerodha Corporate Affairs
Zerodha has a client base of 12 lakh customers. The company offers commodities trading via its wholly owned subsidiary, Zerodha Commodities Pvt. Ltd.
It has won the "Economic Times Startup Awards 2016" in the "Bootstrap Champ" category. The company also won the BSE-D&B "Emerging Equity Broking House Award" in 2014 and 2015, and the NSE "Retail Broker of the Year" award in 2018.
Founded in 2014, Rainmatter was founded as a early-stage fund with a corpus of Rs. 50 Crore. By keeping the ticket size lower than $1 Million per investment, the fund has focused on minimizing risk but focus on funding start-ups in the field of new technology and new product development. Some notable investments of Rainmatter are in start-ups like Cred, Finception, Smallcase and Sensibull.
True Beacon and Mutual Fund AMC
In 2019, Zerodha started True Beacon, the Alternative Investment Fund focused on giving returns in volatile markets through their defensive investment strategy. The $2 Million minimum investment fund has been able to generate a return in excess of 13% in its first year. In 2020, Zerodha has applied for a license to establish a Mutual Fund AMC in India.
Technical Glitches And Outages
There have been multiple reports of technical issues including glitches, system outages and connectivity problems on Zerodha's Kite platform, especially on days with high market volatility and F&O expiry days.