The retail brokerage space continues to see a shakeup, spurred by a shifting regulatory space and a pursuit of new technologies. Handicapping this trend has been the rigidity of many brokers’ interests and operations. However, this has paved the way for disruptive technologies and venues that are finding new ways to define the playing field.
This includes Finvasia, a group that provides brokerage services in commodities, equities & forex, research advisory, as well as structured investments, asset management, and other services. Originally installed in Canada back in 2009, the company was founded by Sarvjeet Singh Virk and Tajinder Singh Virk, both of whom have now taken the operations to India.
After achieving the requisite regulatory approvals, both brothers in tandem with Finvasia have managed to thrive in India, having rolled out several innovative products. This includes tools for mutual funds, harnessing the power of artificial intelligence, as well as other trading technologies.
Finvasia has a diverse suite of products that covers all segments of the trading lifecycle. One of its core products is ScalperT, Finvasia’s customized trading portal. Much more than a trading platform, the interface functions as a fully-fledged ecosystem.
Other products of note also include Finvasia’s Robo Advisory utility. The tool operates as an automated, algorithm-based portfolio management advice that allows retail investors to compare their portfolios and benchmark their performance against the Finvasia community, the markets, and their peers.
Also in the works is an Open Source Web trader, which is in development and slated for launch in the near future. The group’s open source web trader also enables traders unparalleled control using API’s to build platforms that can be completely customized by a trader to fit his specific needs. The web trader includes widgets and apps, allowing for tailored trading to user needs.
Finally, Finvasia’s team has also developed artificial intelligence (AI) based trading systems, which highlight the different technologies the group is exploring. Given this suite of products, Finvasia has already disrupted the retail broker space domestically, though it is its unique style of operations that truly sets it apart from its peers.
Finvasia embraces zero brokerage
Since coming to India, Finvasia has launched zero brokerage, looking to make its mark in the Indian retail brokerage space. The approach is unique to India and represents the only venue currently embarking on such a strategy domestically. In doing so, Finvasia offers zero brokerage on all its trading segments and all India stock exchanges, and foreign portfolio investors (FPI) that are looking to invest in the country.
The approach does certainly have its appeal at a time when many other brokers globally are scaling back their operations to meet shifting regulatory burdens and other benchmarks. This is not the case with Finvasia, who has done more with less. Indeed, the group has identified areas where they can maximize revenue by curbing costs.
Finvasia offers zero brokerage and zero clearing trading accounts using SEBI approved Aadhaar based eKYC process, among others. Finvasia presently boasts a team of over 110 employees, spread across its corporate office in Chandigarh and its global office is in London, along with and Mississauga, Canada.
Of note, Finvasia has a valuation of approximately 1.5 billion INR, which was estimated nearly two years ago before the group experienced much of its growth. More recently, Finvasia also was the winner of the 2017 Benzinga Global Fintech Award, which recognized the achievements of the disruptive businesses and innovators from the capital markets around the world.
Consequently, Finvasia has managed to stay a leg up on its competition, disrupting the Indian retail brokerage space. The group continues to adhere to four core principles in its operations, i.e. invest, lend, save, and spend. Its work in the fintech space has already helped it establish itself as a key player in the country, with eyes on further expansion.
Success driving growth
In light of its success in India as well as the UK, Finvasia is also looking to launch a segment of its business in Australia. This includes a vertical and horizontal agenda, complete with expansionary plans, which is eyeing the on-boarding of retail clients over the next few years.
Moreover, Finvasia also possesses multiple revenue models in addition to its core fintech product suite. The group offers a range of innovative products that have basic services free for all types of investors. Finvasia’s agenda goes beyond revenues, also delving into the realm of pushing for investor education.
As such, the group has opted to educate people about multiple investment options, while also looking to create multiple assets class for clients that they can choose to invest in. Such inroads into this area has proven to be highly receptive with clients on a global scale, with investor education becoming an area of emphasis from numerous regulatory authorities in 2018.
Looking ahead, Finvasia is poised to expand its operations and product suite in H2 of 2018 and beyond. Whether it is its rising valuation or recognition via awards in the community, Finvasia looks to further make its mark on the retail brokerage space as it grows into the P2P lending space.
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