Kotak NEO is a web and app platform that provides customers with a seamless investing and trading experience. Kotak NEO claims that it fulfils the needs, whether they are starting their trading journey or a seasoned long-term trader or investor.
One of the attractive features it offers is Rs. 0 brokerage fees for anyone below 30 years of age on all trades; and Rs. 0 brokerage on all intraday trades for everyone above 30 years.
In this article we will take a closer look at its features, pricing, Pros and Cons; which will help you decide on choosing the right platform for your trading needs.
Features
Portfolio tracker: The portfolio tracker helps you track your portfolio, users can analyse profits and losses, It helps users manage different assets in one place.
Margin Trade Facility (MTF): MTF allows individuals to buy stocks by paying only the initial margin, and the remaining amount is funded by Kotak Securities Ltd. Users can take the delivery of the stock or can keep the position open.
StockCase: This is a simple and smart way to invest, these baskets are expertly curated to meet the risk tolerance. Users with less time, knowledge, and discipline can choose various StockCases to suit their appetite.
Non-Convertible Debenture (NCD): NCDs are used by companies to raise long-term funds. Buyers can’t transfer NCD into equity but companies offer a fixed interest rate for a fixed period. Users can buy NCD through the Kotak NEO platform.
Stock Lending and Borrowing Mechanism (SLBM): With Kotak NEO, users can do SLBM, SLBM is a system where traders can borrow a share they don’t own and can lend a share they own.
Buy Now Sell Tomorrow (BNST): With BNST, users can sell the stock before the settlement cycle of T+2. This helps the trader minimise losses.
Kotak Trinity Account: It offers a 3-in-1 trinity account that combines a Saving account, Demat, and Trading account with Kotak.
NRI Trading Account: NRIs can also open trading accounts with Kotak and can invest in equity and other investment options on the Kotak NEO platform.
Steps To Open A Demat Account on Kotak NEO
Here users will learn how to open a Kotak demat account on Kotak NEO but before starting keep your PAN card, Aadhar card, and Bank details in your hands.
Step 1: Download the Kotak NEO app on the Play Store or App Store and enter your registered mobile number and verify it.
Step 2: Now submit your investment experience details, submit your KYC details like PAN and date of birth, and click on continue.
Step 3: Enter your Aadhar number and OPT received on the registered mobile number to verify.
Step 4: Add your personal details like your parent’s details and nominee details and verify your email by entering OPT received on your registered email account, and fill in your marital status, occupation, and annual income.
Step 5: Share your bank account details to add or withdraw funds, if you are a Kotak Mahindra bank user, you can enter your CRN number which you can find on your debit card.
Step 6: Upload a selfie and your sign.
Step 7: Review your product plan, based on your age criteria.
Step 8: Now digitally sign your account opening form using Aadhar.
Investment Offerings on the Platform
| Equity | Sovereign Gold Bond |
| IPOs | Commodity |
| Bonds | Exchange Traded Funds |
| Futures and Options | Currency Trades |
| Mutual Funds | Global Investing(invest in US stock market) |
Fees And Charges
| Charges | Trade Free Youth Plan(For age less than 30) | Trade Free Plan(For age more than 30) | Trade Free Pro Plan |
| Account Opening | Free | Free | Free |
| Equity delivery | Free | 0.25% or max Rs. 20 | 0.1% |
| Brokerage | Intraday- FreeF&O- FreeIPO- Free | Intraday- FreeF&O- Rs. 20(on all carry forward)IPO- Rs. 20 | Intraday- FreeF&O- Rs. 20( on all carry forward)IPO |
| Interest In Margin Trading | 0.049% per day | 0.049% per day | 9.75% annually |
| AMC(Account maintenance charges) | Zero for BSDA users; value less than or equal to Rs. 50,000 | Zero for BSDA users; value less than or equal to Rs. 50,000 | Zero for BSDA users; value less than or equal to Rs. 50,000 |
| Plan Fee | Rs. 499 annual &Rs. 99 one time | Free | Rs. 249 plus GST monthly |
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Kotak NEO Pros and Cons
One must read the pros and cons of a trading platform before choosing the right platform for themselves.
Pros:
- Kotak offers 25 years of trust with its trading platform.
- Low-cost discount brokerage is available.
- Exposure to US stocks.
- Lots of features like margin trading, BNST, portfolio tracker, and many more.
- Lots of investment options like mutual funds, sovereign gold bonds, Non-convertible debenture, and many more.
Cons:
- Only users less than 30 years of age get zero brokerage that too is valid for only 2 years.
- Charges Rs. 499 annually from trade-free youth users.
- Equity delivery is not free and charged 0.25% or Rs.20 for trade-free plan users.
Conclusion
With the Kotak NEO platform, Kotak is all set to offer zero brokerage to enter discount brokerage service. Kotak has 25 years of experience in banking services, it offers good customer support where users have the option of raising queries on the customer care telephone helpline, email, or also on live chat or WhatsApp chat.
Overall the app provides brilliant features, including the portfolio tracker, Margin Trade Facility (MTF), StockCase, Non-Convertible Debenture (NCD) access, and Stock Lending and Borrowing Mechanism (SLBM) which makes it a feasible choice among other stock trading platforms.
