Putting the Spotlight on Wealth Management and US Opportunities

Research evidence excerpt

Putting the Spotlight on Wealth Management and US Opportunities

ory platforms offer easy- platform have increased at a 65% CAGR over

to-understand, tax-efficient and customizable ETF baskets at lower fees (1/4th-1/5th of human last two years

advisors). This is similar to Groww Prime. However, success hasn't been easy in the US, with MF assets on Groww (Rs bn) 3,318

Goldman/JP Morgan moving out and Charles Schwab retiring the hybrid model. Betterment, a 20% AUM CAGR

large robo-advisor, has benefited from product innovation, scale and early-mover advantage. 1,570

1,130

W by Groww: Targeting bank wealth customers: The Rs5mn entry point for "W by Groww", 244 576

FY23 FY24 FY25 FY26 FY30eGroww's wealth management app, pits the platform against Indian pvt banks. Groww is .

targeting bank wealth customers by offering a wider product basket, and greater ability to Source: Company reports, Jefferies

compare and discover products, reducing dependence on RMs. Affluent clients accounted for Exhibit 2 - Groww's wealth offerings

Groww Prime W by Groww Fisdom37% of assets on Groww (Rs2.9tn) in FY26. Currently, wealth AUM, a mix of W and Fisdom, of Target customer Clients with less than Rs2.5mn assets Clients with more than Rs5mn Bank mutual fund customers

assets

B2B/B2C Service within the Groww app Separate B2C app B2B serviceRs139bn is only 13% of affluent client assets. We estimate wealth AUM to grow 5x by FY30, Product Customizable mutual fund baskets Mutual Fund baskets, PMS, AIF, Mutual funds

for investors with more thanadding 3-5% to earnings, assuming higher investments in RMs and branding. Human support No unlistedYesRs5 stocks mn assets with W

. Earnings opportunity 5% by FY30e 3-5% by FY30e