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Listen to this article in summarized format Under the new framework, capital market transactions, including payments to stockbrokers, mutual funds, investment advisors and dealers, will attract an MDR of 0.02%, capped at ₹300 per transaction, from October 15. Read more: Retail investors pull Rs 5,674 crore from stocks, invest Rs 12,618 crore into IPOs in July-August Stockbrokers operating on wafer-thin margins have approached Sebi raising concerns the charge could disproportionately increase their costs since money transferred by a client to a broking account does not necessarily result in a trade. "The problem with broking is that there is no guarantee that money transferred to a broker will actually result in a transaction. As brokers, we can't force a customer to trade after transferring money. And if we can't pass the UPI charge on to the customer, there is essentially no limit to the cost a customer can impose on a broker without generating any revenue," Nithin Kamath, founder of discount broking platform Zerodha, wrote in a post on his social media handle. Read more: Paytm karo, back in vogue again: Can the stock reclaim IPO price after 5 years and 480% rally? "What makes this even more challenging is quarterly settlement. This is a Sebi regulation that requires brokers to send unused funds back to clients every month or quarter. Most customers then transfer these funds back to their broking accounts, with more than half of these transfers happening through UPI. So, regulation essentially forces this movement of money every month or quarter, and the broker could end up bearing the cost when money comes back, without any incremental benefit or revenue," Kamath said. In a separate development, the Sebi chairman said the regulator has not received any proposal from the National Stock Exchange (NSE) seeking regulatory approval to trade on its own platform after getting listed. "No, there is no such letter and there is no such requirement," Pandey said. The NSE stock will be listed on its rival, the Bombay Stock Exchange. Unlike the Australian bourse which listed its stock on its own platform in 1998, India allows only cross-listing, and the BSE stock is listed on the NSE. (What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .) Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today. Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price (What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .) Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today. Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price
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