Zerodha's Nithin Kamath reassured users that there will be no changes, and equity delivery trades will continue to remain free.

SEBI's new "true-to-label" rules, effective from October 1, have prompted adjustments in how stock exchanges charge brokers. Despite these changes, Zerodha has confirmed that equity delivery will remain free, with no alterations to brokerage fees. However, fee adjustments for options and futures trading are now in place in line with SEBI's guidelines. Zerodha co-founder Nithin Kamath reassured users via social media, stating, "Equity delivery will continue to be free at Zerodha, and we are not making any changes to our brokerage as of now.

The clarification follows Nithin Kamath's earlier warning that brokers might need to adjust their business models due to SEBI's new regulations.

Under SEBI's "true-to-label" rules, effective October 1, the fee structure charged by stock exchanges to brokers has shifted. Previously, transaction fees were based on a broker's monthly turnover, with higher turnover brokers benefiting from lower fees. The new system now enforces a uniform transaction fee across all brokers, regardless of their turnover, creating a more standardized fee structure.

For instance, the National Stock Exchange (NSE) has set the following new fees: ₹2.97 per lakh of traded value in the cash market, ₹1.73 per lakh in equity futures, and ₹35.03 per lakh of premium value in equity options. For Sensex and Bankex options, the fee is now ₹3,250 per crore of premium turnover value.

This revised fee structure is expected to reduce Zerodha's revenue by around 10%, Kamath acknowledged. Additionally, adjustments to the Securities Transaction Tax (STT) that came into effect in July are also impacting costs. The STT on options has risen from 0.0625% to 0.1%, while transaction charges have decreased to 0.035%, leading to a net increase of ₹2,303 per crore of premium on NSE and ₹2,050 per crore on BSE for options sellers.

In the futures segment, the STT has been raised from 0.0125% to 0.02%, with a slight reduction in transaction charges to 0.00173%, resulting in a net increase of ₹735 per crore of futures turnover on the selling side. Kamath emphasized the significant impact on futures traders, as STT is levied on the entire contract value, unlike in options, where it only applies to the premium.