Groww

Overview of Groww

Groww is an investment platform based in India that offers a variety of market instruments for investment purposes. However, it is important to note that the provided information raises concerns about Groww's legitimacy due to its lack of regulation and low score on WikiFX. Regulatory oversight provides certain protections to investors, and investing with an unregulated entity may involve higher risks.

Groww provides access to market instruments such as stocks, futures & options, mutual funds, and US stocks. They also offer other services like loans. The platform offers different types of accounts, including a free trading account and a Demat account with zero maintenance charges. Opening a Demat account is a fast and paperless process that can be done online.

They charge a flat brokerage fee for stock transactions and a fixed fee for futures & options trading. Mutual fund investments through Groww are free of cost, with no commission or subscription fees. However, users should be aware of other charges and commissions associated with transactions, such as SEBI turnover charges, STT, stamp duty, GST, and margin funding charges.

Groww provides multiple trading platforms, including a desktop browser platform, mobile site platform, Android app, and iOS app. These platforms offer real-time updates, portfolio details, research reports, interactive charts, and other features to facilitate trading and investing. Groww also offers trading tools like calculators for financial calculations and Groww Digest for curated financial news and updates.

Users can add funds to their Groww balance using payment methods such as UPI, Groww UPI, netbanking, and bank transfers. Customer support is available through email and phone, with 24/7 availability. It is advisable to visit the Groww website or contact their customer support for the most up-to-date and detailed information on account types, charges, and other services provided.

Pros and Cons

Groww is an investment platform that offers a user-friendly experience for individuals looking to start investing. One of the major advantages of Groww is its intuitive and easy-to-navigate interface, which makes it accessible for beginners. The platform provides a wide range of investment options, including mutual funds, stocks, and exchange-traded funds (ETFs), help users build a diversified portfolio. Groww also offers investment advisory services, providing recommendations based on users' risk profiles and financial goals. Additionally, the platform offers zero commission on mutual fund investments, making it cost-effective for investors.

On the downside, Groww has a limited selection of investment options compared to some other investment platforms. While it covers popular investment categories like mutual funds and stocks, it may not have the same breadth of options as dedicated brokerage firms. Additionally, Groww's research and analysis tools are relatively basic, which may not be suitable for advanced investors who require more sophisticated data and insights. Furthermore, Groww currently operates only in India, limiting its accessibility to investors outside of the country.

Is Groww Legit？

Based on the provided information, it seems that Groww is not regulated. The text mentions that there is no valid regulatory information, and it advises being aware of the associated risks. It is important to note that regulatory oversight can provide certain protections to investors, so investing with an unregulated entity may involve higher risks.

Additionally, the mention of WikiFX and its support service implies that they may provide information or analysis about brokers and their regulatory status. However, the warning indicates a low score for Groww and advises staying away.

Market Instruments

Groww offers a range of market instruments for investment purposes. Here is a brief description of the market instruments available on Groww:

1. Stocks: Groww allows clients to buy and sell shares listed on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). They charge a flat brokerage fee of Rs. 20 per transaction.

2. Futures & Options: The Groww platform enables clients to trade in equity options and future segments with ease. They provide access to stock and index open and future contracts, along with various indicators and charts for trading in the derivatives segment.

3. Mutual Funds: Groww hosts more than 5000 mutual funds from 35 top fund houses. Investing in mutual funds through Groww is free of cost, and they do not charge any commission, brokerage, or subscription fees to the user. This makes mutual funds an attractive investment option on the platform.

4. US Stocks: Groww has introduced the ability to invest in stocks listed in the US market. Users can open a Groww US stock account and start trading in US stocks within 24 hours.

In addition to these market instruments, Groww also offers other services such as loans. They provide affordable loans with EMI options, allowing users to choose their preferred loan duration without any early closure fees.

Account Types

Groww offers different types of accounts to cater to the needs of investors. Here is a brief description of the account types provided by Groww:

1. FREE TRADING ACCOUNT: Groww provides a free trading account, which means there is no charge for opening the account or maintaining it. This account allows you to trade various asset classes at highly discounted brokerage rates. Additionally, Groww offers free brokerage for equity delivery investments.

2. DEMAT ACCOUNT: A Demat account is necessary for storing shares in electronic form. While the trading account is free, a Demat account may have an Annual Maintenance Charge (AMC) as per Indian stock market regulations. Groww offers a Demat account with zero maintenance charge, which means you don't have to pay any annual fees for maintaining your Demat account.

It is important to note that a Demat account is mandatory according to Indian stock market regulations for investing in shares or participating in IPOs. The Demat account helps in the electronic storage of shares and facilitates stock market transactions.

Groww's account opening process is online, fast, and paperless. They charge no maintenance fees for the Demat account, and the stocks will be delivered to the Demat account at the end of the second day (T+2 day) after the transaction, excluding market holidays.

To open a Demat account on Groww, individuals need to be at least 18 years old. It is recommended to visit the Groww website or contact their customer support for more detailed information on account types and the account opening process.

How to Open a Demat Account？

To open a Demat account with Groww, you can follow these steps:

1. Visit the Groww website or app: Go to the official Groww website or download the Groww app from the app store on your mobile device.

2. Click on “Open Demat Account”: Look for the “Open Demat Account” button, which is usually prominently displayed on the website or app homepage. Click on it to initiate the account opening process.

3. Fill in the required information: A pop-up or a new page will appear where you need to fill in your contact details, such as your name, email address, phone number, etc. Provide accurate information as it will be used for account verification and communication purposes.

4. Contact from the Groww team: After submitting the contact form, the Groww team will review your details and contact you for further assistance. They will guide you through the account opening process and provide any additional information or documents required.

5. Complete the account opening form and EKYC process: You will be required to fill up an account opening form provided by Groww. This form will include the EKYC (Electronic Know Your Customer) process, which verifies your identity. You will need to provide your Aadhaar card, PAN details, and a passport-size photograph as part of the identification process.

6. Provide bank details and sign the form: Along with the identification details, you will also need to provide your bank account details for linking with your Demat account. Make sure to review and understand the terms and conditions mentioned in the form before digitally signing it.

7. Submit the form and complete the process: Once you have filled in all the necessary information and signed the form, submit it to Groww for further processing. The company will then complete the remaining steps to open your Demat account.

Brokerage Charges

Groww offers low brokerage charges across different investment options. Here is a breakdown of the brokerage charges provided by Groww:

1. Stocks:

- Account Opening & AMC: There are no charges for opening a trading and demat account, and no maintenance charges.

- Equity Brokerage: Groww charges a flat brokerage fee of 0.05% per executed order or ₹20 per executed order, whichever is lower. This means that the brokerage fee is based on a percentage of the transaction value, ensuring a cost-effective trading experience.

2. Futures & Options:

- Brokerage: Groww charges a fixed brokerage fee of ₹20 per executed order for futures and options trading. This means that irrespective of the transaction size, the brokerage fee remains the same.

3. Pledge:

- Pledge Order: There are no charges for placing a pledge order.

- Unpledge Order: Groww charges ₹20 per ISIN per request for unpledging securities.

4. Mutual Funds:

- Account Opening: There are no charges for opening a mutual fund account with Groww.

- Transaction Charges: Groww does not charge any transaction fees for investing in or redeeming mutual funds. This means that you can invest and withdraw from mutual funds without incurring any additional charges.

5. US Stocks:

- Account Opening: There are no charges for opening a US trading account with Groww.

- AMC (Account Maintenance Charges): Groww does not impose any account maintenance charges for US trading accounts.

- Brokerage: Groww is currently offering a limited-time offer of zero brokerage for trading in US stocks.

Other Charges & Commissions

Apart from brokerage charges, Groww has other charges and commissions that investors should consider. Here is a brief description of these charges:

1. SEBI Turnover Charges: Groww charges a fee of 0.00005% (₹5 per Crore) as SEBI turnover charges. This fee is applicable based on the turnover value of your trades.

2. STT (Securities Transaction Tax): STT is levied on different segments of trading. For equity delivery, it is 0.1% on both the buy and sell sides. For equity intraday, it is 0.025% on the sell side. For equity futures, it is 0.01% on the sell side. For equity options, it is 0.05% on the sell side based on the premium. Commodity futures and options have their respective STT charges.

3. Stamp Duty: Stamp duty charges are applicable on the buy side of transactions. The rates vary depending on the segment. For example, in equity delivery, it is 0.015%, in equity futures, it is 0.002%, and in equity options, it is 0.003%.

4. GST (Goods and Services Tax): GST is charged at 18% on the total of brokerage charges, transaction charges, and SEBI fee.

5. Margin Funding Charges: If you avail of margin funding services, Groww charges a fee of 75% of the required margin.

6. Others: Groww has various other charges such as reactivation charges, account closure charges, dematerialization charges, pledge creation and invocation charges, margin pledge/unpledge/pledge closure charges, margin repledge charges, etc.

It's important to note that these charges are subject to change and may vary depending on the specific transactions and market conditions. It's advisable to visit the Groww website or refer to their brokerage and other charges document for the most up-to-date and detailed information on charges and commissions.

Regarding the Demat account and trading account charges, Groww offers free account opening for both the Demat and trading accounts. The trading account has no account maintenance charges, while the Demat account has an annual maintenance charge of Rs. 0. Additionally, a 75% margin requirement is applicable.

Trading Platforms

Groww offers multiple trading platforms to cater to the needs of different traders. Here is a description of the trading platforms provided by Groww:

1. Desktop Browser Platform: Groww provides a desktop browser platform that can be accessed through a web browser on your computer. This platform offers real-time updates, portfolio details, news flashes, research reports, global indices, interactive charts, and live market updates. It allows you to execute buy or sell orders and provides a well-organized dashboard for managing your investments.

2. Mobile Site Platform: Groww offers a mobile site platform, which can be accessed through a web browser on your mobile device. The mobile site platform provides similar features as the desktop browser platform, including real-time updates, portfolio details, news flashes, research reports, interactive charts, and live market updates. It is optimized for mobile use and allows you to buy mutual funds online.

3. Android App: Groww provides an Android app that can be downloaded and installed on your Android smartphone or tablet. The app offers a user-friendly interface and includes features such as real-time updates, portfolio details, news flashes, research reports, interactive charts, live market updates, and SMS/email alerts. It allows you to trade and invest on the go, providing accessibility.

4. iOS App: Groww also offers an iOS app for users with Apple devices such as iPhones and iPads. The iOS app provides similar features as the Android app, allowing users to access real-time updates, portfolio details, news flashes, research reports, interactive charts, live market updates, and SMS/email alerts. It enables users to manage their investments and execute trades using their iOS devices.

Pros and Cons

Trading Tools

Groww offers two trading tools to enhance the investing experience for its users: Calculators and Groww Digest.

1. CALCULATORS: Groww provides a range of calculators to help investors with various financial calculations. These calculators assist users in making informed investment decisions and planning their financial goals. The calculators available on Groww cover a wide range of investment options and schemes, including SIP (Systematic Investment Plan), lumpsum investments, SWP (Systematic Withdrawal Plans), mutual funds, Sukanya Samriddhi Yojana (SSY), recurring deposits (RD), EMI calculations for loans, PPF (Public Provident Fund), EPF (Employee's Provident Fund), fixed deposits (FD), NPS (National Pension Scheme), HRA (House Rent Allowance), retirement planning, car loan EMIs, simple interest calculations, compound interest calculations, NSC (National Savings Certificate), step-up SIP, income tax calculations, gratuity calculations, APY (Atal Pension Yojana), CAGR (Compound Annual Growth Rate), and GST calculations. These calculators enable users to estimate returns, plan investments, and assess the financial impact of various scenarios.

2. GROWW DIGEST: Groww Digest is a feature that provides curated news and updates related to the financial markets and investments. Users can access daily and weekly digests that cover a range of topics, including market trends, investment insights, industry news, and updates on specific stocks or sectors. The digest aims to keep investors informed and updated with relevant information to help them make informed investment decisions. It provides a snapshot of the market performance, including the Sensex and Nifty indices, allowing users to stay updated with the latest market movements.

Both these trading tools offered by Groww aim to provide users with valuable resources and information to support their investment decisions and keep them informed about the latest market developments. They enhance the overall trading experience and help users make more informed investment choices.

Payment Methods

Groww provides multiple payment methods for adding funds to your Groww balance. Here is a description of the payment methods available:

1. UPI (Unified Payments Interface): You can add funds to your Groww balance using UPI. UPI is a popular payment method in India that allows for seamless and instant fund transfers between bank accounts using a UPI ID or scanning a QR code.

2. Groww UPI: Groww also offers its own UPI payment facility called Groww UPI. This allows you to add funds to your Groww balance using the UPI interface provided by Groww.

3. Netbanking: Groww supports payments through netbanking. You can link your bank account and initiate fund transfers directly from your bank's netbanking portal to add funds to your Groww balance.

4. Bank Transfer (NEFT/RTGS): Groww provides the option to add funds through bank transfers via NEFT (National Electronic Funds Transfer) or RTGS (Real-Time Gross Settlement). You can initiate a bank transfer from your bank account to the specified Groww bank account details.

It's important to note that certain payment methods such as credit/debit cards, corporate accounts, and NRI/NRE accounts are not supported for fund addition on Groww. Therefore, it is advisable to choose from the available payment methods mentioned above.

Customer Support

Groww provides customer support through various channels to assist users with their queries and concerns. Here is a description of the customer support options:

1. Email: You can reach out to Groww's customer support team by sending an email to support@groww.in. Simply compose an email explaining your query or issue, and the customer support team will respond to you with the necessary assistance.

2. Phone: You can contact Groww's customer care number at +91 9108800604. This phone number allows you to directly speak with a customer support representative who will address your concerns and provide solutions to your queries. The customer care team is available to assist you with your issues.

3. 24/7 Availability: Groww's customer care support team is available 24 hours a day, 7 days a week. This means you can contact them at any time, day or night, to seek assistance. They are dedicated to promptly resolving your queries and providing the necessary support whenever you need it.

It's worth noting that customer support availability and contact details may be subject to change. Therefore, it's recommended to visit the Groww website or app for the most up-to-date information on how to contact their customer care team.

Conclusion

In conclusion, Groww offers a user-friendly platform for investors to explore various market instruments, including stocks, futures & options, mutual funds, and US stocks. The free trading and Demat accounts, along with low brokerage charges, make it accessible and cost-effective for users. However, one significant disadvantage is the lack of regulation, as Groww is not regulated, which poses potential risks for investors. Additionally, some users have reported issues with customer support and limited trading tools. Despite these drawbacks, Groww's intuitive trading platforms, calculators, and Groww Digest provide valuable resources for investors to make informed decisions and stay updated with market trends.

FAQs

Q: Is Groww regulated？

A: According to the information provided, Groww is not regulated. The lack of valid regulatory information and the mention of associated risks suggest that Groww may not be regulated. It is important to be aware of the potential risks when investing with an unregulated entity.

Q: What market instruments are available on Groww？

A: Groww offers a variety of market instruments for investment purposes. These include stocks, futures and options, mutual funds, and US stocks. Each of these instruments provides different investment opportunities and features.

Q: What are the pros and cons of using Groww？

A: The pros of using Groww include access to a wide range of market instruments, such as stocks, mutual funds, and US stocks, as well as affordable loans with EMI options. The cons may include the lack of regulation and the low score mentioned by WikiFX, which suggests potential risks.

Q: What are the different types of accounts offered by Groww？

A: Groww offers two types of accounts: a free trading account and a Demat account. The free trading account allows for trading various asset classes at discounted brokerage rates, while the Demat account is necessary for storing shares in electronic form and participating in IPOs. The Demat account has no maintenance charges.

Q: What are the brokerage charges on Groww？

A: Groww has different brokerage charges for various investment options. For stocks, they charge a flat brokerage fee of 0.05% per executed order or Rs. 20 per executed order, whichever is lower. For futures and options, the brokerage fee is a fixed Rs. 20 per executed order. Mutual funds have no transaction charges, and US stocks are currently offered with zero brokerage.

Q: What are the other charges and commissions on Groww？

A: In addition to brokerage charges, Groww has other charges and commissions, including SEBI turnover charges, STT, stamp duty, GST, margin funding charges, and various other charges such as reactivation charges, account closure charges, and more. These charges may vary depending on the specific transactions and market conditions.