Paytm Money Expands Investment Offerings With Launch Of Bonds Platform

Investment tech platform Paytm Money, a wholly-owned subsidiary of One97 Communications Limited (OCL), on Monday (May 22) said it has launched a bonds platform to help retail investors venture into the debt market.

With this platform, the fintech company aims to simplify bonds for retail investors and enable them to invest in three types of bonds – government, corporate and tax-free.

The bonds platform on Paytm Money has been launched with an early access waitlist programme.

Bonds on Paytm Money app will bring all relevant information at one place and will convert everything to yield to help investors analyse and understand the returns they can earn, the company said in a statement.

The company believes that investing in the debt market in India is still very new and the country has the potential to have 100 Mn investors, for whom bonds would be the best way to enter capital markets.

“At Paytm, we have revolutionised mobile payments and at Paytm Money, we are at the forefront of innovation in the Indian capital markets. This is just the start of bonds investing in India. We believe bonds are the best way for first-time investors to enter capital markets and every Indian should have a diversified wealth portfolio with bonds being a core part of it,” Varun Sridhar, CEO of Paytm Money, said.

Last year, capital markets regulator Securities and Exchange Board of India (SEBI) introduced a regulatory framework to facilitate the participation of retail investors in the bond market and streamline the operation of online bond platforms.

Paytm Money competes with investment tech platforms like Zerodha and Groww. Groww recently completed the acquisition of the mutual fund business of Indiabulls Housing Finance, which would allow it to launch new mutual fund offerings. Last month, Zerodha also announced a joint venture with smallcase to foray into the mutual fund business through the launch of its asset management company (AMC).