If you've always wanted to invest and trade in shares but didn't know where to begin, we've got you covered. First, you will need to create Best Demat Account For Long Term Investment.  

This article about Best Demat Account For Long Term Investment will make you pick the right platform.

But what is a Demat account? It is short for a dematerialized account, wherein you can store shares, bonds, mutual funds, and other securities in an electronic format. In India, SEBI has mandated the creation of Demat accounts for trading in securities of listed companies.

The charges for opening and maintaining Demat accounts vary. Additional charges for each transaction also vary. This is why it becomes necessary that you choose a suitable Demat account that will save costs in the long run.

Best Demat Account for Long Term Investment

1. ICICI Direct


ICICI Direct is a trusted brand and is the Best Demat Account For Long Term Investment. It is easy to open a Demat account with this platform. There are no opening charges, and annual services charges for the first year are waived. It means that this is a safe and inexpensive platform.

In addition to that, ICICI Direct also offers a 3 in 1 service, which includes a bank account along with a Demat account and a trading account. There is also a 2 in 1 account that offers a trading account and a Demat account to be linked with other bank accounts that you already have. 

Some of the different brokerage plans available are ICICI Neo Plan, Prime Plan, Prepaid Brokerage Plan, etc. If you opt for Neo Plan, you get to trade in equity futures free of brokerage fees. 

This flat rate brokerage plan only charges Rs. 20 as brokerage during intraday equity and options trading. You also get free trading tips from experts that will guide you in the field of the stock exchange.


  • 3 in 1 account
  • Low bandwidth website
  • No manual interference


  • Limited Chart Options

2. Zerodha 


The Zerodha is another popular Demat Account For Long Term Investment choice. It is a depository participant (DP) with Central Depository Services Limited (CDSL). It provides trading, Demat account, and mutual funds, but not advisory or research services.

It offers a 2 in 1 service that includes both a trading account and a Demat account. You can open an account online as well as offline. 

Zerodha introduced the concept of discount broking in India in 2010. Opening an account with Zerodha costs Rs 200, and it does not charge for equity delivery. The brokerage charge for any transaction is Rs. 20. 

It has software that acts as a trading platform to get easy access to investment and trading. Their referral program is such that you invite your friends to open an account on Zerodha, and you get to earn 10% of the brokerage that your friends pay.


  • Low brokerage fee
  • Advanced tools and software
  • Safe


  • No tips on trading
  • No 3 in 1 service

3. Upstox


Most people choose Upstox because it employs advanced technology with a low-cost brokerage for the benefit of traders.

Opening a Demat account with Upstox is free, and its Annual Maintenance Cost is Rs. 300 per year, suitable for long-term investment.

Upstox charges Rs. 20 brokerage fee regardless of the volume of trade and offers free stock delivery. 

There is also a limited period offer wherein you can trade for free up to 30 days of opening a new Demat account. Opening an account with Upstox is easy; simply leave your contact details, and a representative will give you a call!

Its software is easy to use and compatible with mobiles and desktops. 


  • Free Demat opening
  • Low brokerage
  • Easy to use software


  • Doesn’t offer tips or advice

4. 5Paisa


5Paisa provides a well known Demat Account For Long Term Investment. This platform offers a discount brokerage service, and it has successfully gained the trust of many investors in India. It is a DP with CDSL.

Opening a Demat account with 5Paisa is free. It has three different subscription plans for you to choose from- Basic Pack, Power Investor Pack, and the Ultra Trader Pack. 5Paisa is a flat-rate discount broker that charges Rs. 20 irrespective of the trade size. This cost can also be reduced to Rs. 10 with their value-added packs.

The Annual Maintenance Charge of the Demat account in 5Paisa is Rs. 45 per traded month. This fee is comparatively more than other options. So for long-term investment, this price is high. But if you weigh it against its benefits, it may be suitable for you. 

There are two types of accounts that you can open with 5Paisa; one is a Demat account and trading account, and the other is meant for mutual funds investment. 

If you choose the Power Investor Pack or the Ultimate Trader Pack, 5Paisa offers a free research advisory that guides you in various trading and investment-related decisions. 


  • Free Demat opening
  • Low brokerage
  • Offers advice


  • No 3 in 1 service

5. Angel One


This is one of the oldest firms offering discount brokerage and other services in India. It is registered as a DP with CDSL.

There are two Demat account schemes available with Angel One. The first is Life Time AMC Scheme, wherein you pay Rs. 1250 upfront and get zero AMC Demat account for life. The other is the Investor Scheme where Rs. 300 AMC is charged every year.

It charges Rs. 20 brokerage for intraday trade and F&O trade with Rs. 0 for equity delivery. Angel One offers three trading platforms, one is website-based, one is app-based, and another one is software-based. 


  • Free Demat opening
  • User-friendly trading platforms
  • Tips and reports from experts


  • Call and Trade charged additionally (Rs 20)

6. Sharekhan


Sharekhan is among the most popular choices for opening a Demat account for long-term investment. 

Apart from India, Sharekhan has successfully made a mark in Arab countries too! It is a DP with CDSL and NSDL. 

You can create two accounts with Sharekhan, a Classic Account, a trading account, a Demat account, and a TradeTiger Account for active traders.

Opening an account is very easy; all you have to do is drop your phone number on their website, and their customer service executive will give you a call!

The annual maintenance charge for the first year is waived off, and it costs Rs. 400 after that. It also offers a free call and trade service, wherein you can trade stocks without computers. 

Sharekhan also frequently organizes free workshops and seminars that teach you the basics of trading. 


  • Free Demat opening
  • AMC waived in the first year
  • Workshops for investors


  • The brokerage rate is high. However, it is negotiable.

7. IIFL Securities

IIFL Securities

IIFL is one of India's largest financial service providers. It is registered as a DP in NSDL and CDSL.

Opening a Demat account in IIFL is free of cost, and its AMC is Rs. 250, which is waived off in the first year. It works on a flat rate brokerage plan that costs Rs. 20 per trade and discount brokerage plan allows zero brokerage equity delivery.

There are multiple trading platforms that IIFL offers to its users for easy trading. It has created an App for mobiles, a website, software, etc. 


  • Full-service broker
  • Zero brokerage equity delivery
  • Free research and advice services


  • No 3 in 1 account

How to Choose Best Demat Account For Long Term Investment?

Opening of Account:

Before deciding which DP to open your Demat account with, know all that there is to know about that DP. 

Is it free to open an account? From the above list, the majority of the firms allow free Demat opening. Is it easy to open an account? Sometimes all you are required to do is drop your contact details on their site; other times, you have to mail a form that you've filled. Choose whatever is suitable for you. 


Stockbrokers collect fees in the form of an Annual Maintenance Charge to maintain your Demat account. Compare the AMC that various brokers collect and make a decision accordingly. A higher AMC will make long-term investments more expensive.

3 in 1 or 2 in 1:

We recommend that you choose brokers that allow 3 in 1 or 2 in 1 service wherein you can keep all your accounts linked for ease of operation. 

Brokerage fee:

This is the fee charged by brokers for every transaction you make. Most firms allow you to bargain this amount. 

Other services:

Check if your DP gives you research material, advice, and tips for better trading and investment. 


It is wise to choose a Demat account with low AMC, brokerage-free equity delivery, and besides, one should provide tips and advice to guide you in making better investment decisions for long-term investments. Most importantly, the platform must be reliable.

ICICI Direct, Zerodha, and 5Paisa are among our top 3 choices as they offer excellent benefits and prove to be among the best Demat accounts for long-term investment. Other than these, Sharekhan too seems to be a popular choice. We hope this helped you in deciding where to open your Demat account; happy trading!


What is a demat account and why is it important for long-term investment?

A demat account is essential for holding and managing your securities electronically. Besides, most demat accounts offers online trading facilities. For example, by opening a  HDFC Securities demat account, you will get a trading account for online trading. Besides, it offers integrated savings account for easy deposits and withdrawals.

It provides a secure way to store and track your investments in the stock market, making it ideal for long-term strategies.

Which are some reputable demat account providers for long-term investment?

HDFC Securities, Kotak Securities, and ICICI Direct offer demat accounts suitable for long-term investors.

Zerodha, Sharekhan, Groww, and Paytm Money are other popular options for hassle-free investments

How can I choose the best demat account for my long-term investment goals? 

Consider factors like account opening charges, demat account charges, and the range of investment options offered. Evaluate the ease of use and customer support provided by the demat account provider.

What are the advantages of investing in mutual funds through a demat account? 

Mutual funds can be conveniently bought and held in a demat account, making tracking and management simpler. HDFC Securities and Kotak Securities offer demat accounts suitable for mutual fund investments.

Can I invest in stocks for the long term through a demat account? 

Yes, a demat account is ideal for holding stocks over the long term, as it offers secure storage and easy tracking. Kotak Securities and Motilal Oswal provide demat accounts for stock investments.

How do discount brokers like Zerodha help long-term investors? 

A stock broker like Zerodha offers low brokerage charges, making them cost-effective for investors with a long-term horizon. You can open a Zerodha demat account to avail of these benefits. Zerodha is also the best trading app for many retail traders in India.

Are there any fees associated with demat accounts for long-term investment? 

Demat account providers may charge trading account opening charges and demat account charges. These should be considered when choosing a provider. Ensure you understand the account opening charge and account maintenance charge before proceeding.

What role does market research play in long-term investing with a demat account? 

Market research is crucial for informed decision-making when investing for the long term. Providers like ICICI Direct and HDFC Securities offer market research services to aid your investment choices.

Can I hold different types of investments, such as stocks and mutual funds, in the same demat account? 

Yes, a demat account can hold a variety of investments, including stocks, mutual funds, and more. Kotak Securities and HDFC Securities demat accounts offer this versatility.

How can I ensure I'm making well-informed investment decisions as a small investor? 

As a small investor, consider the brokerage fee, investment options, and customer support while choosing a demat account. Account providers like SBICAP Securities and Zerodha cater to small investors' needs.

What is a trading application? 

A trading application is a software or mobile app that enables investors and traders to execute buy and sell orders for securities, monitor market trends, and manage their investment portfolios online.

What are the benefits of an ICICI Demat Account? 

Some benefits include easy and secure electronic holding of securities, quick transactions, reduced paperwork, and seamless integration with trading platforms.

How do I open a Sharekhan Demat Account? 

You can open a Sharekhan Demat Account by visiting their website, filling out the application form, submitting the required documents, and completing the verification process.

What are the risks associated with intraday trading? 

Intraday trading is risky due to the volatile nature of markets. Sudden price swings can lead to significant losses, especially if proper risk management strategies are not followed.

What is a net trading loss? 

A net trading loss refers to the difference between the total losses incurred from trading activities and the total profits earned from those activities over a specified period.

What is a trading application? 

A trading application is a software or mobile app that enables investors and traders to execute buy and sell orders for securities, monitor market trends, and manage their investment portfolios online.

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