Upstox is a Mumbai-based stockbroker. Stockbrokers act as a medium of trading between traders and the stock exchange. Upstox came into the business in 2012 and became a popular discount broker. Upstox is an initiative of 3 first-generation entrepreneurs. Currently over lakhs of active customers are associated with them, and it has become India’s second-largest trading platform. The company is registered with BSE, NSE, and MCX exchanges. It is also registered with SEBI, NSDL, and CDSL.
Upstox is a popular choice among users these days, because of their reputation between the customers, technology-first approach, and decade-long experience in the trading industry. The company is regulated by SEBI. It is also regularly audited by the stock exchange. These audits haven’t reported any major violation by Upstox to date. Upstox is an online brand of RKSV securities India private ltd. Few major investors in India have backed up this company:
- (31.1%) Tiger Global Management
- (15.21%), Kalaari Capital Partners,
- 2.54% GVK Davix Technologies)
- Tata Sons (1.22%).
Is Upstox Safe and Trustworthy?
Following the pandemic, a large number of new investors have entered the stock market. They’re having a hard time selecting on the best trading platform. Therefore, let’s see if Upstox is truly risk-free.?
- BUSINESS MODEL
Every month, the company hopes to gain thousands of new active clients without sacrificing the quality of its service. Its business model is extremely scalable. Upstox has been in business for about a decade and has placed a premium on client trust.
- BUSINESS STRATEGY
The majority of the company’s work is completed from a distance. It does not have offices in several major cities and uses these strategies to cut costs. As a result, they save a lot of money on things like rent and salaries, and they can offer customers affordable brokerage plans.
- NO ADVISORY SERVICES
Stock recommendations are not offered to investors. Clients are responsible for making financial decisions. As a result, there is no financial or conflict of interest in recommending a product to clients. This establishes their legitimacy.
- NO MARGIN FUNDS
Margin funds are riskier to trade than regular funds. As a result, Upstox does not provide trading with marginal money.
- YOUR MONEY IS SAFE WITH US.
In Upstox, a pooled account between two consumers is not permitted. The shares are safe because the Clients Demat account is with CDSL (one of the two national depositories for securities) through Upstox. In two business days, all of the shares are transferred to the Demat account.
- SIMPLE BROKERAGE PLAN
The charge per executed order for delivery on Upstox including intraday and F&O trades at NSE, BSE and MCX are flat RS.20. this plan is offered to every customer, and no one gets special treatment on the platform. This reduces the operational risk of the company.
- NO PROPIETARY TRAINING
Upstox began as a proprietary training firm in 2007. It began retail broking in 2012 and discontinued its proprietary trading business in 2017. As a result, the corporation currently engages in retail trade.
- POPULAR INVESTORS BELIEVE IN IT
Ratan Tata, Tiger Global, and GVX Davix are among the company’s major backers. Two rounds of funding have been completed for the company. In 2019, Tiger G made a $25 investment in the company. These large corporations’ investments indicate that the company has high potential, as well as strong management and ethical business procedures. This also suggests that the organization is serious about growth and planning ahead.
- TRUSTED INVESTORS
Customers have given Upstox their trust through time. It has been in operation for over a decade and has thousands of active consumers from all over India.
- TRADING MADE EASIER
Upstox provides an intuitive app with filtering options for everything from digital gold to IPOs to mutual funds. That has made trading much more convenient.
Recommended: Customer Service Number for Upstox
Conclusion: Is Upstox Safe?
As a result, we may conclude that choosing Upstox as our share broker is a safe decision.
By its best practices, it has earned the trust of investors over the last decade. The reputation established in such a short time speaks for itself. This firm will safeguard your funds. The company has also received recognition on a number of venues.