Wisdom Capital Review 2020 : Huge Savings on Brokerage

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Wisdom Capital, incorporated in 2013, is one of the best discount broker in India. They don’t develop in-house software for trade analysis, nor do they have a huge clientele. However, they have the best brokerage plans for pure traders, who are interested in trading and provides them with services like stock research, deep fundamental analysis, etc. from their trading company.

Wisdom Capital is a discount broker that helps its customers trade in stocks, commodities, currencies and their derivatives like futures and options on exchanges like NSE, BSE, MCX etc. Apart from low brokerage, it is also known to provide high leverage to its customers.

This Wisdom Capital Review 2020 details the various features being offered by the broker to its clients apart from providing very low brokerage rates and high margin. Continue reading this review to understand the features better:


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Wisdom Capital Trading Platforms

The low-cost brokerage provides the most economical way of trading. High-end trading analysis software cost a lot, which will mitigate the advantage of providing low brokerage to its customers.

NEST Trader

NEST from Omnesys is Wisdom Capital’s desktop software for trading, which is free to use. This is one of the most popular trading purpose desktop utilities. It provides all trading parameters like detailed quotes, order facility including bracket orders, cover orders, triggers in a single screen.

One can trade in different exchanges like NSE, BSE and MCX from single platform of NEST. It also provides the user with common leading and lagging indicators like accumulation, distribution, EMA, MACD, RSI, etc. on the same watchlist screen.

In short, via NEST, Wisdom provides a desktop trading platform, which is practical and most popular for budget traders.

NEST Trader
NSE NOW

The web-based platform developed and maintained by National Stock Exchange of India (NSE) is offered by Wisdom Capital under a subscription license. Traders don’t need to download or install and can access this platform from any web browser to use the services offered by this broker.

Offering a flexible and hassle-free experience, the platform allows direct access to NSE servers.

NSE Now
Trade Eye

Trade Eye is an Android based application provided by Wisdom Capital. Like Nest, this application is fully capable of carrying out any type of trades in any segment from a single platform. It also has charting facilities with indicators, although the time-period of charts does not go above 5 minutes interval.

To download this app click here

Trade Eye

Instant automated pay-in and pay-out

Today all discount brokerages allow online, uninterrupted client-controlled pay in and pay-out.

Wisdom Capital charges six rupees plus GST whereas most low-cost brokerages charge amount starting from Rs.8 to Rs.15 for each pay-in.

Wisdom Capital does not require a minimum balance in the trading account. Therefore one can withdraw the entire trading account balance in needy times.

Pricing

Account Opening and Maintenance Charges

Most brokerages including discount firms deduct an amount per annum for maintaining the trader’s Demat account.

This amount ranges between INR 500 to INR 1000 for different brokers as an Annual Demat Maintenance fees apart from trading account opening charges.

Wisdom Capital charges INR 999 yearly for maintaining your account and also does not charge any account opening fees. Here is a look at it in detail:

Trading Account Opening Charges (One Time)0
Trading Annual Maintenance Charges0
Demat Account Opening Charges (One Time)0
Demat Annual Maintenance Charges (Yearly Fee)INR 999

Wisdom Capital Brokerage Charges

Brokerage is the commission charged by the broker to execute a particular trade on behalf of the client. Here are the details of the brokerage plans offered by Wisdom Capital.

Pro Plan

In this plan, the broker charges a customer a flat fee of INR 9 whenever a trade gets executed and can be detailed as per below:

SegmentBrokerage Fee
Demat Maintenance ChargesINR 999+GSt (one time)
Equity Delivery₹9 per executed order
Equity Intraday₹9 per executed order
Equity Futures₹9 per executed order
Equity Options₹9 per executed order
Currency Futures₹9 per executed order
Currency Options₹9 per executed order
Commodity Futures₹9 per executed order
Commodity Options₹9 per executed order
Freedom Plan

This is the main strength of Wisdom Capital. Others have discounted low brokerage plans while Wisdom Capital presents a zero brokerage scheme. This zero brokerage plan from is known as Wisdom Capital freedom plan.

In this, you only have to pay INR 999 plus GST one time, and you are ready to trade with zero brokerage fees in equity, commodity and currency segment, for lifetime. In this scheme, trading in any exchange attracts zero brokerage, especially for intraday trades. Here are the details of the plan:

SegmentBrokerage Fee
Demat Maintenance FeeINR 999 per segment
Equity Delivery₹0
Equity Intraday₹0
Equity Futures₹0
Equity Options₹0
Currency Futures₹0
Currency Options₹0
Commodity Futures₹0
Commodity Options₹0

In Freedom plan, Wisdom capital levies no or zero brokerage on executed trades. Whereas the other discount brokers charge amount ranging from INR 9 to INR 20 per executed trade. One may feel that this amount (INR 9, 15 or 20) is not much higher than the zero brokerage provided by Wisdom.

However, the situation changes completely when a large volume buy or sell order is executed. The order is then executed at different successive ask or bid prices. This happens because a large number of contracts may not be available to buy or sell at a single price point.

When a single order is executed at different price points, each trade price point is treated as different executions and brokerage is deducted for each of those price points. Therefore, if a single order is executed at three price points, and if each trade brokerage is say a flat INR 9, then three brokerages each amounting to INR 9, will be levied from the trader. In the end, instead of INR 9, a trader may pay more than INR 50 for that single order.

This anomaly is not found in case of Wisdom Capital Brokerage, as the brokerage value is zero for any lot of trade.

Ultimate Plan

The ultimate brokerage plan of Wisdom capital is designed for  high frequency traders who require high exposures in intraday trading including intraday margin and delivery trading. Here is the details of the Ultimate Plan offered by Wisdom Capital:

Brokerage PlansUltimate Plan
Account OpeningFree
Brokerage in NSE Equities0.007% Intraday &Delivery
Brokerage in NSE FutureFuture: 0.005%
Brokerage in OptionsOptions : INR 15 per Lot
Brokerage in MCX0.005% Intraday & Delivery
Intraday Margin In NSE CashUp to 60 X MIS
Intraday Margin In NSE Futures (MIS)Up to 15X
Intraday Margin In NSE Futures (Cover Order)Up to 20X
Intraday Exposure In NSE Options1X Buy & Up to 15X Sell.
Intraday Leverage In  MCX (MIS)Up to 10X
Intraday Leverage In  MCX (BO/CO)Up to 14X
Delivery Margin In NSE Cash(BTST)Up to 3X
Call & Trade ChargesINR 20 per Executed Order
Free Demat OpeningYes
Demat Maintenance Cost999+ GST ( one-time fee)

Transactions Charges

Apart from the brokerage, customers also have to pay transaction charges to the broker for executing trades on their behalf. Here are the details of transaction charges levied by brokers:

SegmentTransaction Fee
Equity Delivery0.00350%
Equity Intraday0.00350%
Equity Futures0.00280%
Equity Options0.06% (on premium)
Currency Futures0.00175%
Currency Options0.00175%
Commodity0.00250%

 

Wisdom Capital Margin

The Freedom plan does not give much leeway in terms of margin trading.

However, professional traders trade with large volumes and small price fluctuations, to achieve quick profit.

For such professional traders, Wisdom Capital has Pro pack. This plan levies a low brokerage of flat INR 9 per executed trade. However, this low brokerage rewards the trader with 40 times margin in NSE cash segment and six times margin in NSE, MCX futures. CO or cover order get more margin.

The flat brokerage of INR 9 for each trade (any number of lots) is also among the lowest in the industry as most discount brokers levy INR 15- INR 20 per trade while providing the same margin.

Wisdom Capital also has the Ultimate plan for large margin traders. In this plan, it offers a whopping 60x margins in equity intraday segment. Few brokerages offer such high margins at only INR 15 brokerage per lot. The Ultimate plan provides attractive margins for other segments too. Here are the details of the margin plans offered by Wisdom Capital:

Trading SegmentMargin Wisdom Capital
Equity Delivery5x to 40x (dependent on brokerage plan)
Equity Intraday5x to 40x (dependent on brokerage plan)
Equity Future5x to 20x (dependent on brokerage plan)
Equity Options5x to 40x (dependent on brokerage plan)
Currency Future4x to 15x (dependent on brokerage plan)
Currency Options4x to 15x (dependent on brokerage plan)
Commodity Future5x to 20x (dependent on brokerage plan)

Customer Service

Wisdom Capital is not renowned in the industry for its customer service, which is considered quite ordinary. It can definitely work on the quality of service being provided by them to their clients. You can reach out to them with your queries through the following channels:

  • Chat
  • Website
  • Email
  • Toll-free number

Consumer Complaint Report

This report is an indicator of how the discount broking firm works towards resolving the complaints registered against them at NSE. Looking at this report, they seem to be doing reasonably well in this department keeping in mind that they only have a few thousand clients. Kindly find the details of the report below:

ExchangeFinancial YearNumber of ClientsTotal Complaints
NSE2019-206,4178
NSE2018-195,03814
NSE2017-183,6079
NSE2016-172,2435
NSE2015-162,2712
NSE2014-152,3404
NSE2013-141,97915
BSE2012-132,9761
NSE2012-133,2828
NSE2011-128666

To access the complete list of complaints registered against brokers with NSE, just click on this link

Conclusion

Wisdom may not be the best in every respect. It is not meant to be so. For example, the knowledge base can be improved. There is no research category, no trade recommendations on the site. However, what it excels is in giving the traders an extremely attractive low-cost trading platform coupled with high margins, at no brokerage at all or at very low brokerage.

To top it, the percentage margin it provides in Pro and Ultimate plans are comparable to the best full-service brokers in the country.

Discount brokerages are those firms whose job is to enable trading in all segments at minimum cost as opposed to the big trading houses with high brokerages for all their research, trading calls, proprietary analysis software, and Wisdom Capital, as the best discount broker, excels in this job.

Wisdom Capital Review

Best Broker India

Customer Service
Web Trading Platform
Mobile Platform
Educational material
Brokerage

Summary

3.2

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