The sharp correction in the equity market in India and tighter restriction are hurting the discount brokerage platforms, with most of them seeing a sharp decline in active client base in 2025. According
to a report of Moneycontrol, the number of active clients in 2025 fell nearly 53.5 lakh. Zerodha, Groww and Angel One were the top brokerages that saw the massive loss of consumer base during the year.
According to MC report, Zerodha remained the biggest loser with a loss of 12.68 lakh active clients, followed by Groww (10.32 lakh clients) and Angel One (9.96 lakh). Meanwhile, Upstox suffered almost 8.09 lakh clients during the year.
The MC report said the downfall in the active client base is linked to the sharp fall in futures and options participation amid the tightening in the segment by the market regulator (Sebi) last year. Stricter margin requirements, fewer weekly expiries, higher capital thresholds, and increased taxation were the major drivers causing the loss of active clients.
The MC report added that investors are switching towards other alternative and professionally managed options such as Mutual Funds, portfolio management services and alternative investment funds.
With the fall of active trading, the revenue and net profit of brokerages also suffered. Last year, Zerodha co-founder Nithin Kamath pointed out that the company saw a massive drop in revenue, around 40 per cent, following the sweeping regulatory changes, especially in the Futures and Options (F&O) segment.
However, a few brokerages have actually added clients in 2025, in which SBIcap Securities, Paytm Money and ICICI Money were leaders.
