Money & Banking

Paytm bullish on wealth tech amid rising young investors

Our Bureau | | Updated on: Dec 08, 2021
image caption

Co opens first wealth management sales office in Ahmedabad

Digital brokerage player, Paytm Money sees a growing trend for investments towards ETFs, bonds and risk management as Covid-19-induced uncertainty has prompted people to get unemotional about their investments.

Varun Sridhar, CEO, Paytm Money, said wealth tech is emerging as the next big industry in the coming years as more youth is turning to investments using digital platforms such as Paytm Money.

On the viability of the digital brokerage business, Sridhar said that there is zero customer acquisition cost for the company, while the revenue sources include brokerage charges, fees from portfolio management services, advisory revenues and education products and cross-selling from Paytm.

Growing appetite

“Currently, we get 35 per cent of the new account openings from the youngsters below 25 years. This is growing at a rate of about 15 per cent each month. We started in September 2020 and today, we have about 6 lakh accounts,” said Sridhar.

Paytm Money opened its first wealth management sales office in Ahmedabad, as the company bets big on Gujarat’s investor community. It has one lakh users from Gujarat, making it top in the country in terms of transaction volume and also, over 11 per cent the the IPO applications on the platform are from this State. “Users here also have the highest participation in F&O trading and ETF investments,” said Sridhar.

On the company’s future plans, Sridhar stated that there are several offerings lined up for the next one year, which would include solutions and offerings in the areas of knowledge and advisory space. It is also working to bring solutions to enable investors to place orders during the off-market hours and holidays.

“We believe that financial planning and investments shouldn’t be restricted only during the market hours. We are thinking to provide convenience for the users to place off-market orders too. We will bring a solution in this area too,” said Sridhar.

Paytm Money records over 20 million transactions per annum and has over 10 million users.

Published on December 08, 2021

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

COMMENTS
This article is closed for comments.
Please Email the Editor

You May Also Like

Recommended for you