As Groww prepares for its much-anticipated IPO launch next week, co-founders Harsh Jain (COO) and Ishan Bansal (CFO) remain unfazed by short-term market noise or the recent SEBI draft circular that shook investor sentiment across broking and AMC stocks. In an exclusive conversation with Moneycontrol, the duo explained how Groww’s fundamentals, diversification, and customer-centric approach ensure resilience beyond market volatility.
Realistic Valuation — Not Absurd Numbers
Groww’s Co-founder and COO, Harsh Jain, emphasized that the team was careful about keeping IPO valuations grounded and relevant to the industry.
“Not too much of science or creativity should be done on the IPO pricing. It’s market dependent, no matter what you think about your company. We wanted valuations to be relevant to the industry, not absurd,” Jain said.
CFO Ishan Bansal added that the company had completed a round of fundraising six months earlier, which provided a realistic benchmark for the IPO pricing. The goal was to attract investors who truly understood Groww’s long-term vision rather than those seeking short-term speculative gains.
IPO: Lenskart IPO 2025
Diversification at the Core of Groww’s Strategy
Over the past two years, Groww has steadily diversified beyond mutual funds and stockbroking. With the acquisition of Fisdom, the platform now caters to affluent and HNI customers who seek advanced investment products like PMS (Portfolio Management Services) and AIFs (Alternative Investment Funds).
Jain explained:
“We’ve seen a shift in our customer base towards affluent investors. These users needed advisory services, which is why we acquired Fisdom — it filled that gap in our ecosystem.”
Groww has also rolled out commodities and ETF products and is developing 915.trade, a specialized platform for active traders. Each addition not only expands customer options but also enhances ARPU (Average Revenue Per User) and strengthens platform resilience.
Strong Retention and Profit Growth
According to Ishan Bansal, Groww’s customer retention remains robust, with overall retention near 80%, while multi-product users show 90%+ retention rates.
“Once customers start using more than one product, they tend to stay. Most of their wealth portfolio is with Groww, and that’s a strong retention driver,” Bansal noted.
Despite a plateau in Q1 FY26 revenues due to sluggish market conditions, Groww’s net profit continued to grow, reflecting operational efficiency and disciplined cost management.
Navigating Regulatory Changes Confidently
When asked about SEBI’s draft circular and its potential impact, Jain and Bansal were clear that Groww’s business model is largely insulated from such risks.
“Most of our revenue is independent of mutual funds, and we don’t do institutional business,” Bansal said.
Jain added, “Regulations will keep evolving, but in the long run, they don’t matter much. We have a strong conviction that India’s capital markets will continue to grow.”
Their confidence underscores Groww’s long-term approach: prioritizing customer trust, product innovation, and transparency over short-term market reactions.
Operating Leverage and Long-Term Runway
Groww’s cost structure is primarily fixed, allowing for operating leverage as revenues grow. With new launches like commodities trading, the company anticipates improved profitability over time.
“Our revenue may see short-term volatility due to market cycles, but the long-term trajectory remains strong,” said Bansal.
Looking Ahead
As Groww moves closer to its IPO debut, the company’s leadership continues to stress transparency, sustainable valuations, and innovation-driven growth. Their belief is clear — realistic pricing and customer-first diversification will help Groww become a long-term wealth partner for millions of Indian investors.
“We’ve always focused on building the best experience for users, even if it takes more time. That’s what will make Groww the trusted financial platform for India,” concluded Harsh Jain.
Key Takeaways
-
Groww IPO 2025 aims for industry-relevant valuation, not hype-driven pricing.
-
Diversified product suite now includes mutual funds, stocks, ETFs, commodities, PMS, and AIFs.
-
Customer retention rate crosses 80%, with high multi-product stickiness.
-
Leadership confident that SEBI’s draft circular will have no long-term impact.
-
Focus remains on long-term resilience, transparency, and investor trust.
Groww IPO 2025 Overview (Expected)
-
IPO Launch: Next Week (Exact date to be announced)
-
Company: Groww (Nextbillion Technology Pvt. Ltd.)
-
Industry: Fintech / Online Broking
-
Co-founders: Harsh Jain, Ishan Bansal, Lalit Keshre, and Neeraj Singh
-
Use of Proceeds: Expansion, technology enhancement, product diversification
