FLATTRADE Company

　　

Flattrade Company: A Comprehensive Overview

　　

1. Company Overview

　　

Founding Date and Background

　　Flattrade, originally established as Fortune Capital Services Private Limited, was founded in 2004. The company has rapidly evolved into a recognized player in the Indian stock brokerage industry, providing a wide range of trading services.

　　

Parent Company/Ownership Structure

　　Flattrade operates under the ownership of Fortune Capital Services Private Limited, which has been instrumental in its growth and development. The company is led by Mr. K. Narayana Moorthy, a seasoned expert in spot bullion trading.

　　

Headquarters Location

　　The headquarters of Flattrade is located in Chennai, India. This strategic location allows the company to tap into the burgeoning financial market in southern India.

　　

Global Business Scope

　　While Flattrade primarily focuses on the Indian market, it aims to expand its reach and services to investors across various countries. The company has plans to enhance its international presence, fostering a global trading community.

　　

Main Regulatory Bodies

　　Flattrade claims to be authorized and a member of several regulatory bodies, including:

• Securities and Exchange Board of India (SEBI)
• Multi Commodity Exchange of India Limited (MCX)
• National Stock Exchange of India Ltd (NSE)

　　However, it is important to note that these authorities do not regulate forex trading in India, which has raised concerns regarding the companys legitimacy in this sector.

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2. Company History and Development

　　

Key Milestones

• 2004: Flattrade was founded as Fortune Capital Services Private Limited.
• 2018: The company achieved significant trading volume in energy contracts.
• 2019: It expanded its services and became a connector of commodity business in southern India.

　　

Business Expansion Journey

　　Flattrade has continuously expanded its operations, establishing branches in major cities across India, including Chennai, Bengaluru, Telangana, Cochin, Madurai, and Jabalpur. This expansion has enabled the company to cater to a diverse clientele and enhance its service offerings.

　　

Customer Base Growth

　　Flattrade boasts a customer base of over 50,000 clients, reflecting its growing popularity and trust within the trading community. The company's commitment to providing zero brokerage services has significantly contributed to this growth.

　　

Platform Development History

　　Flattrade has invested in developing a technologically advanced trading platform, offering both web and mobile applications to facilitate seamless trading experiences. The platform is designed to be user-friendly, catering to both novice and experienced traders.

　　

Important Awards or Recognitions Received

　　While specific awards and recognitions were not detailed in the available information, Flattrades reputation as a rapidly growing brokerage firm is indicative of its success in the industry.

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3. Trading Services Offered

　　

Forex Trading Options

　　Flattrade claims to offer forex trading services, although it is not regulated for this activity. The platform provides access to a limited number of currency pairs, with specific details on the exact number not disclosed.

　　

Stock Trading Options

　　Flattrade offers a wide array of stock trading services, including:

• Equity delivery
• Intraday trading
• Futures and options trading

　　

CFD Trading Products

　　Currently, Flattrade does not explicitly mention offering Contracts for Difference (CFD) trading products. The focus remains primarily on traditional stock and commodity trading.

　　

Other Financial Instruments

　　Flattrade provides access to various financial instruments, including:

• Commodities trading
• Currency trading (Forex)
• Mutual funds

　　

Special Services or Unique Advantages

　　Flattrades unique selling proposition lies in its zero brokerage model, which is particularly appealing to individual investors, Hindu Undivided Families (HUF), and corporates. The company also offers a margin trading facility with 4x leverage, allowing clients to invest even when short on funds.

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4. Regulatory and Legal Background

　　

Detailed Regulatory Information

　　Flattrade claims membership with several regulatory bodies:

• Securities and Exchange Board of India (SEBI)
• Multi Commodity Exchange of India Limited (MCX)
• National Stock Exchange of India Ltd (NSE)

　　However, it is crucial to note that these bodies do not regulate forex trading, which raises questions about Flattrade's compliance in this area.

　　

Legal Entity Structure by Region

　　Flattrade operates under the legal entity of Fortune Capital Services Private Limited in India. The company does not have a significant international presence, focusing primarily on the Indian market.

　　

Client Fund Protection Measures

　　Due to the lack of regulation in forex trading, the measures for protecting client funds in this segment remain unclear. However, for its other trading services, Flattrade adheres to industry standards in managing client funds.

　　

Countries/Regions Served

　　Flattrade primarily serves clients within India, with aspirations to expand its services internationally in the future.

　　

Compliance History

　　Flattrade has faced scrutiny regarding its regulatory compliance, particularly concerning its forex trading activities. Investors are advised to conduct thorough due diligence before engaging with the platform.

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5. Competitive Landscape

　　

3-5 Main Competitors

　　Flattrade operates in a competitive landscape, with several key players, including:

• Zerodha
• Upstox
• Angel Broking
• ICICI Direct
• HDFC Securities

　　

Positioning in the Industry

　　Flattrade positions itself as a discount brokerage firm, emphasizing its zero brokerage model to attract cost-conscious investors. This positioning allows it to compete effectively against traditional brokerage firms that charge higher fees.

　　

Market Differentiation Factors

　　The main differentiating factors for Flattrade include:

• Zero brokerage on equity delivery and intraday trading
• Robust customer support operations
• Technologically advanced trading platforms
• A focus on affordability and accessibility for all investor segments

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Conclusion

　　Flattrade is a rapidly growing online brokerage firm that offers a range of trading services primarily in the Indian market. While it boasts a zero brokerage model and a significant customer base, potential investors should exercise caution due to its unregulated forex trading activities. As the company continues to expand and enhance its offerings, it remains crucial for clients to stay informed about its regulatory status and market presence.

　　For more information on Flattrade and its services, learn more.