00:00 Online stock broker Zerodha is now going to enter the business of mutual funds.
00:05 And for this work, he has also got the necessary approval from SEBI.
00:08 Zerodha announced on Friday that he has got the final approval from the Security and Exchange Board of India to establish his own asset management company, Zerodha Fund House.
00:19 Zerodha's co-founder and CEO Nitin Kamat has told on Twitter.
00:23 And what are some of the details of this, let's tell you in this video.
00:26 So one of the largest brokerage firms in the country, Zerodha has got a license from SEBI for AMC.
00:31 With this, the company has got the green flag to launch mutual funds.
00:36 The company has handed over its command to Vishal Jain.
00:39 Zerodha's founder and CEO Nitin Kamat gave this information in a tweet.
00:43 This is a joint venture of asset management company Zerodha Broking Ltd. and wealth management company Smallcase.
00:50 Kamat said that his goal is to connect 1 crore investors with him.
00:54 Zerodha will use its resources to start this business.
00:59 Smallcase will get help from Amazon, HDFC Bank, Sequoia Capital and other ventures.
01:05 Now it is believed that the competition of the company in this business will be with the richest person in the country, Mukesh Ambani.
01:12 Reliance Industries has recently demerged its financial business and is preparing for its listing under the name of Jio Financial Services.
01:20 The company has also joined hands with the world's largest asset management company BlackRock.
01:25 Zerodha's founder Nitin Kamat said in a tweet that he has got the final approval for Zerodha AMC.
01:31 We are going to do a partnership with Smallcase.
01:34 He also said that our motivation to start a mutual fund was twofold.
01:38 The biggest challenge and opportunity of the Indian market is shallow participation.
01:43 Even after 3 years, we have 6 to 8 crore unique mutual and equity investors.
01:48 The second challenge is that if we want to bring the next 1 crore investors,
01:52 they need products that they can easily understand.
01:55 For this, mutual funds are the most perfect instrument.
01:58 We want to make simple funds and ETFs that all investors can understand.
02:02 Kamat said that Vishal Jain will be the CEO of AMC.
02:05 Zerodha had applied for a mutual fund business in February 2020.
02:10 Zerodha and Smallcase announced in April that they will start a joint venture to start AMC business.
02:18 The company can launch its first fund soon.
02:21 Now let's tell you what is an asset management company?
02:25 An asset management company is a unit that launches its mutual fund.
02:30 It can be sold through distributors or director channels.
02:34 You know that Zerodha runs a platform called Coin for this business where you invest in mutual funds.
02:40 The company will now officially join the financial product business with this approval.
02:46 Recently, not only Zerodha but also Sebi has given license to Helios Capital to start a mutual fund business.
02:54 The founder of the company, Sameer Arora, gave this information.
02:58 Helios Capital Management Pvt. Ltd. had applied to Sebi in February 2021 for a license for a mutual fund business.
03:06 If we talk about Sameer Arora, he is returning to the mutual fund industry after leaving Alliance Capital 20 years ago.
03:13 He was the chief investor of Alliance Capital's Indian Mutual Fund business.
03:17 Helios Capital got a principle approval from Sebi for a mutual fund business in September 2022.
03:23 This means that two new AMCs can come to the market, one of Zerodha and one of Helios.
03:28 That's all for this video. Comment and tell us how you liked it.
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03:38 bullying.
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