Shares of Angel One surged 3% during Thursday’s trading session following the firm’s announcement of a new initiative aimed at India’s affluent HNI and UHNI clientele. The company revealed plans to leverage its domain expertise and technological innovations through its new venture, Angel One Wealth (AOW).
Why is the fundraising done ?
Angle one wealth is set to introduce an omnichannel wealth-tech platform, which will include three integrated business verticals: HNI, UHNI, and Alternate Assets. This strategic move aims to address the rapidly evolving wealth management landscape in India, where the HNI population is expected to grow at a compound annual growth rate (CAGR) of 16%, reaching Rs 165 core by 2027.
Strategic Investment to Overcome Industry Challenges
To address industry challenges such as barriers to innovation in investment strategies, high operational costs, and elevated fees, Angle One Wealth plans to utilize advanced technology infrastructure.
The Rs 250 crores capital infusion from Angel One will be directed towards developing core technological infrastructure, utilizing AI and analytics, expanding market presence, and creating expert-led product strategies.
MD’s Speak in fundraising
Dinesh Thakkar, Chairman and Managing Director of Angel One, emphasized the firm’s commitment to utilizing technology to stay at the forefront of the wealth management sector.
“Through AOW, we aim to cater to a broad spectrum of clients by leveraging technology and innovation. Our experienced investment professionals bring strong domain knowledge that will help us capitalize on the evolving wealth landscape,” Thakkar stated.
Management on Future Outlook
Srikanth Subramanian, Managing Director and CEO of AOW, highlighted the vision for the new platform: “We want to reimagine wealth management for India’s HNIs and UHNIs with a foundation of deep domain expertise and advanced technology. With Angel One’s strategic backing and technological prowess, we are building an omnichannel solution that will enhance the value of a trusted wealth manager through cutting-edge digital infrastructure.”
This strategic expansion positions Angel One and AOW to address the growing demands of India’s high-net-worth individuals and ultra-high-net-worth individuals, setting the stage for significant growth in the wealth management sector.
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