Even as more than 150 million people are utilizing digital payment apps each month in India, only about 20 countless them buy mutual funds and stocks. A start-up that is trying to change that by courting millennials has just gotten a huge support.
Bangalore-headquartered Groww said on Thursday it had raised $30 million in its Series C financing round. YC Continuity, the growth-stage mutual fund of Y Combinator, led the round, while existing financiers Sequoia India, Ribbit Capital and Propel Ventures took part in it. The new round brings three-year-old startup Groww’s total raise-to-date to $59 million.
Groww enables users to buy shared funds, consisting of methodical investment planning (SIP) and equity-linked savings. The app maintains an extremely streamlined interface to make it much easier for its largely millennial customer base to understand the financial investment world. It uses every fund that is presently offered in India.
In current months, the startup has expanded its offerings to allow users to purchase stocks of Indian companies and digital gold, stated Lalit Keshre, co-founder and president of Groww, in an interview with TechCrunch. Keshre and other three co-founders of Groww worked at Flipkart before introducing their own start-up.
Groww has generated over 8 million registered users for its shared fund offering, and over 200,000 users have actually purchased stocks from the platform, stated Keshre. The new fund will allow Groww to more broaden its reach in the nation and likewise introduce new products, he stated.
Among those products is the ability to permit users to purchase stocks of U.S.-listed firms and derivatives, he stated. The start-up is already evaluating this with select users, he said.
“Our company believe Groww is constructing the biggest retail brokerage in India. At YC, we have actually understood the creators given that the company was just a concept and they are some of the very best item individuals you will fulfill anywhere in the world. We are grateful to be partners with Groww as they develop among the biggest retail financial platforms worldwide,” stated Anu Hariharan, partner at YC Connection, in a declaration.
More than 60% of Groww users originate from smaller cities and towns of India and 60% of these have never ever made such investments prior to, said Keshre. The start-up is carrying out workshops in a number of little cities to inform people about the investment world. And that’s where the development chances lie.
“India is seeing increased involvement of retail investors in monetary markets– with 2 million brand-new stock exchange financiers added in the last quarter alone,” stated Ashish Agrawal, principal at Sequoia Capital India, in a declaration.
Ratings of startups such as Zerodha, cube and indwealth Wealth have emerged and expanded in India recently to provide wealth management platforms to the nation’s growing internet population. Numerous recognized financial firms such as Paytm have likewise broadened their offerings to include financial investments in mutual funds. Amazon, which has strongly expanded its monetary services catalog in India in current months, likewise sells digital gold in the country.
Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.