Fintech startup Fisdom plans to launch portfolio management services

By Team Startupcity  |  Wednesday, 10 May 2023, 09:21 IST

Fintech startup Fisdom plans to launch portfolio management services
Vista's Endeavour Fund invested in Innovapptive. This fund offers growth financing and strategic support to market-leading, fast-growing enterprise software, data, and technology-enabled businesses that have generated at least $10 million in recurring revenue. The Vista Senior Vice President Ben Benson will become a member of the board of directors for Innovapptive.
"Innovapptive is a rising market leader in connected worker software with high growth. According to Rachel Arnold, co-head of Vista's Endeavour Fund, "Its mission-critical solutions meet the growing demand from asset-intensive industries to connect front-line and back-office data sources for improved business operations, well positioning the Company for long-term growth and success."
The asset under management (AUM) growth of PMS over the last five years has exceeded the country's net equity MF AUM. Our private wealth business will be connected to our PMS licence. The market for mutual funds currently has more than enough products. To be fair, we might consider an MF licence down the road', added Subramanya.
Subramanya, Fisdom may go for a fresh investment round to capitalise its AMC. Fisdom, a 2015 startup financed by PayU, enables users to invest in non-convertible debentures, sovereign gold bonds, mutual funds, pension funds, and other asset classes. To enter the tax solutions market, the company bought Tax2Win, a platform for submitting income tax returns with headquarters in Jaipur, in February 2021. It then made its way into the stock brokerage industry.
Fisdom reported total revenues of Rs 75 crore in FY23, according to Subramanya. Currently, the platform handles nearly Rs 5,000 crore in AUM, of which 40% comes from its private wealth division targeted at HNIs. By FY24, the eight-year-old fintech company hopes to become profitable.
"The wealth management industry, in which we serve as product distributors, is already profitable. Taxes began in 2020, and they are currently at the break-even point. We are currently investing in stock broking, and it will take us 9 to 12 months to break even, he stated. On its website, Fisdom claims to have 600,000 members who have opened systematic investment plans (SIPs), and 100,000 users for its stock brokerage division.
AMC licences are being sought after by fintechs in the wealth management sector more frequently in order to launch fresh products and boost overall profitability. Nithin Kamath, a co-founder of Zerodha, announced a joint venture (JV) with asset management platform Smallcase for the mutual fund industry on the microblogging website Twitter in April.
After gaining the required clearances, rival Groww completed the purchase of Indiabulls Housing Finance's (IBHFL) mutual fund division for Rs 175.6 crore this month. Groww hopes to introduce passive funds to the market with the help of the entity.

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