Paytm Money Ltd, the wholly-owned subsidiary of One97 Communications Ltd, has launched the Paytm Money app for mutual fund investments on September 04, 2018. The Paytm Money SIP mutual fund schemes are available for as low as 100 Rupees as the company targets even investors in Tier2-3 cities.
The company has partnered with 25 fund houses to offer direct plans of MFs. Paytm Money actually targets to sell MF schemes to around 25 million people in the following three to five years.
According to the company’s claim, already 850,000 users have registered on their mutual fund platform even before the launch. Out of this, about 65 percent of the people registered on the platform are not from the top 15 cities of India, said Pravin Jadhav, whole-time Director, Paytm Money. Paytm Money will quickly reach smaller towns, he added.
One97 Communications plans to invest 10 million Dollars in Paytm Money by the end of the financial year 2019. This amount will be invested in design, technology, engineering, product development, and in setting up the complete function.
To begin with, the app will offer all schemes including Paytm Money SIP mutual fund schemes and direct plans from 25 AMCs, including all large AMCs, which account for about 90 percent of the MF industry’s 22 trillion Rupees worth of AUM.
The company will have the remaining AMCs on board very soon, said Jadhav, according to Livemint.
Mr. Jadhav said that the company prefers to have a majority of about 20-25 million people out of 50 million investors expected to invest in mutual funds by the next three to five years, over a telephonic interaction, reported Money Control.
Paytm Money has finally launched its MFs app that can be downloaded and used to buy and sell MFs including Paytm Money SIP mutual fund schemes. The company will sell only direct plans of all MF schemes, and will not charge fees from their customers.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]