Vijay Shekhar Sharma led fintech startup Paytm has set up its financial products arm Paytm Money Ltd. Paytm Money will focus on building investment and wealth management products for its users.
Paytm Money has been registered as a wholly owned subsidiary of Paytm’s parent firm One 97 Communication Ltd. This is company’s fourth consumer brand after Paytm, Paytm Mall, and Paytm Payments Bank.
Also, the company has appointed Pravin Jadhav as Senior Vice President to lead this new venture. An ex-entrepreneur, Pravin led Product & Growth at Servify and Rediff in his earlier roles. He was the Founder & CEO of Wishberg.
Vijay Shekhar believes that after setting up a successful payments platform and expanding customer offerings to deposits with Paytm Payments Bank, Paytm Money is the next logical step in the direction of wealth management. “Pravin and his team is on a mission to make wealth management easier and accessible to a large number of Indians. We aim to increase the size of wealth management customer base and bring simple and easy to understand wealth products to our consumers,” he added.
Paytm Money is setting up its operations in Bengaluru and plans to launch in the first quarter of 2018 post regulatory approvals. The company is looking to gain the role of an advisor rather than a distributor with the wealth management platform.
Wealth management as an investment-advisory discipline which incorporates financial planning, investment portfolio management and a number of aggregated financial services. So far, the market has been concentrated on the urban segment, leaving a considerable portion of the market behind. As Pravin stated, “India will be a Mutual Funds first market. We are in discussions with leading AMCs to offer Mutual Fund Investments in Direct Mode for our users.”