Zerodha eyes greater synergies between trading, wealth apps
Zerodha is looking to strengthen its long-term wealth management play and is exploring greater synergies between its trading and mutual fund distribution business units, a senior executive said.
Currently, Zerodha has different applications – Kite and Coin – for stock trading and mutual fund transactions, respectively.
“We are looking to bring in mutual fund transaction flow in the next six to nine months onto Kite,” said Neelesh Verma, product head, mutual funds, at Zerodha. “Some part of the work has already started… We look at a seamless integration between both the apps, but both will exist with a seamless experience,” he said.
This comes at a time when fintech startups are looking to double down on long-term wealth management products to encourage customers to save instead of betting on high-frequency trading.
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Capital markets regulator Sebi is also tightening norms around futures and options trading to ensure people do not erode their wealth while chasing unrealistic gains in the market.
Coin is a direct mutual fund distribution platform. It competes with the likes of Groww, ET Money, Paytm Money and such.
Verma said Zerodha built Kite as an active trading application while Coin is more of a passive investment option.
The idea behind Coin is to let investors park their funds through regular investments for the long term and grow their wealth. “Coin is being envisaged as a long-term wealth management tool… We have the National Pension
