HDFC SKY Launches Margin Trading Facility at 1% p.m. And Zero Transaction Charges on Exchange-Traded Funds
- Reduces interest rate on Margin Trading Facility (MTF) by 20% to 12% p.a. i.e. 1% p.m.
- Eliminates brokerage fees on transactions for Exchange Traded Funds (ETF)
HDFC SKY, one of India’s premier discount broking platforms, is excited to announce a transformative set of offers aimed at significantly lowering transaction costs for its valued customers. The company has implemented a substantial 20% reduction in the interest rate for its Margin Trading Facility (MTF), decreasing it from 15% to a competitive 12% per annum, which translates to just 1% per month. In a further bid to support investors, HDFC SKY is now offering zero brokerage fees on transactions involving Exchange-Traded Funds (ETFs). These strategic enhancements are designed to elevate the customer experience, foster new investment avenues, and democratize trading options for users across the board.
“At HDFC SKY, our mission is to prioritize the financial interests of our clients,” said Mr. Dhiraj Relli, Managing Director & CEO of HDFC Securities. “Reducing our MTF interest rate and eliminating brokerage fees on ETF trades solidifies our commitment to providing cost-effective financial solutions. We are confident these changes will empower our clients to refine their trading strategies and maximize their investment outcomes.”
Mr. Relli elaborated on the advantages these adjustments bring, stating, “Investors now can lower their borrowing costs with our MTF, allowing them to increase their investing potential without the financial strain of high-interest payments. Furthermore, the removal of brokerage fees on ETF investments facilitates portfolio diversification, motivating broader engagement in the capital markets.”
Mr. Sandiip Bhardwaj, Chief Operating & Digital Officer at HDFC Securities, highlighted the significant benefits of both the MTF and ETFs, explaining, “Our Margin Trading Facility provides investors with amplified buying power, paving the way for enhanced returns, greater diversification, and increased flexibility in trading and payments. Additionally, ETFs offer a sophisticated asset class with flexibility; they undergo regular rebalancing and can be traded seamlessly, an option which Mutual Funds don’t offer.”
“With HDFC SKY, investors have access to a comprehensive array of 219 listed ETFs, opening doors to enhanced diversification, lower transaction costs, improved liquidity, transparent pricing, heightened tax efficiency, and exposure to a variety of sectors and asset classes,” Mr. Bhardwaj added.
HDFC SKY is also dedicated to providing market participants with research-driven insights from a team of in-house analysts who specialize in both fundamental and technical evaluations, assisting investors in making informed decisions.
The platform boasts a comprehensive suite of analytical tools, including technical charts, historical data, price alerts, and stop-loss recommendations, to further guide clients in their trading journeys. Investors can explore an array of ETFs, including Index ETFs, Gold ETFs, and specialized options focusing on sectors like banking, infrastructure, liquid assets, and international markets.
The recent reduction in MTF interest rates, alongside the introduction of zero brokerage on ETFs, underscores HDFC Securities’ ongoing commitment to delivering value-driven financial services tailored to the needs of its clients.
About HDFC SKY - https://hdfcsky.com/
