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This write up is based on my personal experience as a customer of 5paisa.com rather than a shareholder of IIL.  Their present brokerage structure is as below:

I With advanced brokerage of Rs.8000/annum or Rs.1000/month

Intra Day Cash 0.05% on each leg plus other taxes and levies . Minimum brokerage 1 paisa/share

Delivery cash 0.25% plus other taxes and levies .Minimum brokerage 5 paisa/share

F&O 0.05% on each leg plus other taxes and levies

Option : 1% of the premium or Rs100 which ever is higher

II With no advance brokerage

Intra Day Cash 0.10% on each leg plus other taxes and levies. Minimum brokerage 1 paisa/share

Delivery cash 0.50% plus other taxes and levies . Minimum brokerage 5 paisa/share

F&O 0.10% on each leg plus other taxes and levies

Option : 1% of the premium or Rs100 which ever is higher

Demat Charges : A/c opening charge Rs.555 with no AMC and Rs.18/delivery each sell transaction.

( When they started their broking operation, they charged only 5 paisa per Rs.100, thats why their site was named as 5paisa.com)

With this background I am proceeding to their Pros and Cons.

Pros

1. Their trading software called “Trader Terminal”. Your orders will be execute literally at Speed of Thought. Very low bandwidth requirement of this software makes you trade even with a dial-up or GPRS connection. Multiple customizable Market Watch with pre defined “Groups” make your trading and finding companies very easy.
2. Their world class research reports and trading ideas. They are free to all it’s customers. Their delivery calls are having very high success rate. I rate all their research reports very high. They are simply Great.
3. Their browser based trading portal which is a replica of their “Trader Terminal” with limited functions facilitate to trade even behind firewalls and from your office .
4. Customer Care: If you send an email, mostly the problem will be sorted out with in 48 hours . ( Note: As I am a customer of their main branch- opened A/c in 2001- I never contacted any Relationship Manger. I normally send mail to info@5pmail.com and the issue got solved. within 48 hours.Some  people who contacted their RM, had different opinions). Hence this is my personal opinion. Even online Help Desk and Phone help desk also available.
5. Password rest by SMS and Free SMS trade confirmations at the end of the day.
6. I trust the top Management’s integrity and we can trust them to keep our money and shares.
7. If you give limited Power of Attorney,  then the trading would be Paper Less. No need to sign demat delivery slips.
8. Based on your trading History, Individuals are given limits and margin facility. It is the best of the best available in India. Value of shares in your Demat A/c also taken into account while calculating your margin and exposure ( Which is not available with  Reliance Money).
9. Immediate trading limit given when you transfer funds online.
10. You can place orders through internet, branch and phone. No extra levy for orders through phone (unlike Reliance Money and Religare).
11. You can place orders even after 3PM without sufficient balance in your A/c (margin Buy) and can settle amount before next trading day starts.

Cons

1. Their very high brokerage. Intra day and F&O traders may find their brokerage very high. India Infoline should lower their intra day brokerage to 0.05% and Minimum brokerage for Option trading should be removed. 

What is my final call

You can open A/c just to avail their Research reports and investment ideas. They are really world class. Their brokerage structure is optimum for investors. For traders, their brokerage structure is very high. But your orders will be executed at lightening speed. You may open A/c with advance brokerage option.

My wish

A brokerage house with the quality of India Infiolne Research, Trader Terminal features, customer care and Reliance Money’s brokerage structure. I hope, one day God may fulfill my wish.