👨‍💼 Stockbroker vs Sub-broker: What’s the Difference? If you’re new to the stock market, you may have come across two terms that sound similar: Stockbroker and Sub-broker. But they are not the same. In this blog, we’ll explain in very simple language what each one means, how they are different, and who you should deal with as an investor. 📌 What Is a Stockbroker? A stockbroker is a registered and licensed person or company who is allowed to buy and sell shares on behalf of investors in the stock market. They are directly registered with stock exchanges like NSE and BSE, and are also regulated by SEBI (Securities and Exchange Board of India). Some popular stockbrokers in India are: Zerodha Upstox Angel One ICICI Direct Groww Sharekhan You cannot buy or sell shares on your own. You need to open a Demat and trading account with a registered stockbroker to invest in the stock market. 🔍 What Is a Sub-broker? A sub-broker (also called an Authorized Person today) is someone who works under a main stockbroker. They are like agents or partners of a stockbroker. A sub-broker helps clients (like you) open accounts, place orders, and understand the market, but they don’t have direct access to the stock exchange. They route all trades through their main broker. Sub-brokers usually work in smaller towns or local areas and help new investors who may not be comfortable with online trading platforms. 🎯 Key Differences Between Stockbroker and Sub-broker Here are the main differences explained in easy words: 1. Registration A stockbroker is directly registered with SEBI and the stock exchanges. A sub-broker is registered under a stockbroker, not directly with the exchange. 2. Access to Stock Exchange A stockbroker can directly place trades on NSE/BSE. A sub-broker cannot do that directly. He must route trades through the main broker. 3. Control A stockbroker runs their own trading platform and has full control over client accounts. A sub-broker only has limited access and control under the broker’s system. 4. Earnings Stockbrokers earn through brokerage charges from all their clients. Sub-brokers earn commission (a share of the brokerage) from the stockbroker for the clients they bring in. 5. Example If you open an account on Zerodha’s website directly, you’re dealing with the stockbroker. If you open a Zerodha account through a local agent in your city who helps you understand how to invest, then you’re going through a sub-broker (authorized partner of Zerodha). 🤔 Should You Choose a Stockbroker or Sub-broker? ✅ Choose a Stockbroker if: You are comfortable with online platforms (like apps or websites) You want low brokerage charges You can do things yourself (DIY investing) ✅ Choose a Sub-broker if: You want personal guidance or face-to-face support You are a beginner and need someone to explain things You live in a small town where online services are limited Tip: Today, many sub-brokers also help clients invest online. So it depends on your comfort and trust with the person. 🧠 Summary (In One Line) A stockbroker is a direct, registered member of the stock exchange. A sub-broker is a partner or agent who helps clients invest by connecting them to a stockbroker. Both are useful — choose based on your need and experience. 🔐 Is It Safe to Deal with a Sub-broker? Yes — if they are officially registered with a stockbroker and SEBI. Always ask for their Authorized Person Code and verify on the SEBI website. You can also ask which stockbroker they work under. NEVER share your login or bank details with anyone unless you trust the source completely. 📌 Final Thought “Whether you invest through a stockbroker or a sub-broker, your success depends on knowledge, discipline, and smart decisions.” Choose a service that gives you clarity, comfort, and control. That’s what matters the most. 📘 For more beginner-friendly stock market blogs, tips, and guides — keep visiting stocksresult.com.