Upstox (RKSV Securities India Private Limited), one of the leading investment platforms in India, is focusing on product diversification and simplifying the investment process for the customers. Upstox is also focusing on the enhancement of the investing process on its app so that it can tap into the young Indian population that uses smartphones and UPI for all of their financial transactions.
Amit Lalan, Director, Upstox, said, “In FY 2023, we crossed the Rs 1,000 crore revenue mark with a y-o-y growth of 44% compared to FY2022. This year we have achieved the breakeven point and now we are a revenue making company. For the first half of FY24, Upstox has registered a revenue growth of around 30% against H1 in FY23. Now, our main focus is on product diversification and maintaining the customer trust by providing them security.”
Upstox has approx 14 million customer accounts on its platform and 25% to 30% of these users are active investors or traders. The platform charges the investors Rs 20 per transaction.
Lalan claimed that the new regulatory norms around the investment ecosystem were supporting digital brokers. He said, “According to current regulatory norms, all the information on bank account, demat account and trading is available at one place. This unified data helps in generating instant reports, inspection and enquiry that helps in generating trust among the customers.”
“The Indian market has a very small portion of the population engaged in investment or trading. Only 8% to 9% of the Indian population takes part in the financial activities which is much lower compared to other developing big economies like China where around 20% of the population take part in investment and trading activities”, he added.
Lalan further said, “In the next 20 years, India is expected to be a $ 18 trillion economy. If Indians do not invest smartly, they will miss out on the opportunity to be part of the Indian growth story.” “Furthermore, the majority of the new account openings are being done through tier 2 and tier 3 cities. This indicates that the market is still open, growing and there are plenty of opportunities for for organised brokers.” Commenting on the IPO plans, Lalan said that Upstox is not in a rush to get more funds from the market as they are a cash-rich company and do not need money to maintain their expenses.
In order to diversify the products and services being offered on its platform, Upstox has recently analyzed over 10,000 Mutual Fund schemes and shortlisted them according to their performances based on risk and return metrics. The company has launched features like Stock SIPs, Wealth Tracker, Gold and Fixed Income on its app. Upstox has also launched Long-term and Fixed Income investment options like Treasury Bills, Government Bonds, and State Development Loans.
