PayU, a payments and fintech company, disclosed its investment in Fisdom, an Indian consumer wealthtech platform with strong growth potential. PayU takes the lead in the new round of financing, which is worth USD 11 million, by purchasing a small part in the business. Current investors Saama Capital and Quona Capital joined PayU in this round, in addition to them. The company’s commitment to investing in and developing a larger fintech ecosystem in India around its core payments and loans operations is demonstrated by this development, which sees PayU enter the wealthtech market.
Fisdom, a high-growth wealthtech business founded by Subramanya SV and Anand Dalmia, has a unique cooperation strategy with banks that gives it access to a sizable client base and distribution network, enhancing the platform’s scalability and effectiveness. Fisdom helps customers invest wisely in a variety of products, including as mutual funds, insurance, pension funds, digital gold, etc., for their long-term financial stability. Using an easy-to-use and intuitive app design, users can manage their investments from their smartphones.
With a 21% CAGR from 2011 to 2017, the Indian wealth management market has grown significantly over the past ten years. This growth is expected to continue as a result of the digital transformation, which is making the market more accessible to the general public (800 million+ potential customers). According to industry statistics, Indians have more than US$1.8 trillion in low-yield bank deposits and frequently avoid investing in capital markets due to a variety of factors, including a lack of financial awareness, a lack of faith in market dynamics, and inaction. By providing customized wealth management solutions to the great majority of the people, who are typically unserved or underserved by traditional financial advisors, Fisdom closes a significant vacuum in the Indian ecosystem.
Speaking on the investment, Anirban Mukherjee, CEO, PayU India, said:
“This investment marks PayU’s entry into the wealthtech segment and is in line with the company’s strategic goal of building a comprehensive digital fintech ecosystem connecting merchants, consumers, and banks locally. Fisdom, with its multi-product strategy and a robust and scalable digital platform offers immense cross-selling opportunities. The company has a strong management team led by experienced founders and we are happy to partner with them and work towards providing a broader fintech platform around core payments and lending business. With this investment, PayU is one step closer to offering payments, lending, and wealthtech services in a single stack.”
Subramanya S V, Co-founder, and CEO, Fisdom added:
“We are delighted to have PayU on board in our journey of building Fisdom into a leading digital wealth platform bringing in simplicity, access and trust for millions of underserved customers. This investment allows us to continue innovating in order to better serve our consumers including bringing new products like insurance and broking. PayU, being one of the leading fintech players in the country, provides an immense opportunity that we are keen to explore. We are very happy that our earlier investors Saama Capital and Quona continue to support in our endeavour.”
One of the top fintech investors in the area is PayU. The company’s main goal is to provide consumers with the greatest financial services in the market. Fisdom’s mission to make wealth advising accessible to everyone is a perfect fit for PayU, which strives to give customers access to a wider range of financial goods and services.
What is PayU?
PayU is the payments and fintech business of Prosus, a global consumer internet group and one of the largest technology investors in the world. Operating and investing globally in markets with long-term growth potential, Prosus builds leading consumer internet companies that empower people and enrich communities.
Prosus has a primary listing on Euronext Amsterdam (AEX:PRX) and a secondary listing on the JSE Limited (XJSE:PRX), and is majority owned by Naspers.
