Mutual Funds
What is the maximum brokerage that a broker/sub broker can charge?
The maximum brokerage that can be charged by a broker has been specified in the Stock Exchange Regulations and hence, it may differ from across various exchanges. As per the BSE & NSE Bye Laws, a broker cannot charge more than 2.5% brokerage from his clients. This maximum brokerage is inclusive of the brokerage charged by the sub-broker. Further, SEBI (Stock brokers and Sub brokers) Regulations, 1992 stipulates that sub broker cannot charge from his clients, a commission which is more than 1.5% of the value mentioned in the respective purchase or sale note.
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More from this specialization
- How to know where the mutual fund scheme has invested money mobilised from the investors?
- How is a mutual fund set up?
- Can a mutual fund impose fresh load or increase the load beyond the level mentioned in the offer documents?
- What are sector specific funds/schemes?
- What is a Load or no-load Fund?
- Are the companies having names like mutual benefit the same as mutual funds schemes?