Broking industry in bitter-sweet spot with yields sliding, revenues rising

Revenues during the same period have grown from Rs 760 crore to an estimated Rs 1,330 crore for this financial year

The broking industry is in a bitter-sweet spot with yields sliding but revenues managing to grow. The decline in yields for the industry is because of the advent of discount brokerages, which typically charge a flat fee of as low as Rs 10 per transaction.

Revenues, on the other hand, have gone up as the trading volumes have surged, partly because of the new fee structure and more due to the buoyancy in the market. A look at ICICI Securities blended yield and revenue for the broking business since 2014-15 throws a good light on this trend. India’s largest listed brokerage