New Delhi, Dec. 10 -- Zerodha co-founder Nithin Kamath has explained how his company's zero-brokerage fee policy is counterproductive to its clients, arguing that conducting lesser trades would mean they have lower chances of losing profit.

In a post on X, Nithin Kamath said Zerodha's clients trade a lot less as compared to other platforms.

"As a [percentage] of client funds, our brokerage revenue is 20-25% of our listed peers. That means our clients trade a lot less (75% lesser) as a proportion of their capital," he said.

Nithin Kamath went on to explain that more trading activity does not usually mean better returns and can often lead to a blow in your account.

"Here's something counterintuitive but true: With few exceptions, the mo...