Paytm money in recent times has emerged as one of the leaders in India's wealth management portals for mutual funds, stocks, initial public offerings (IPO), digital gold, futures and options (F&O), exchange-traded funds (ETFs). The fintech giant has in the past 2.5 years conducted more than 20 million transactions and has more than seven millions users.
Varun Sridhar, CEO of Paytm, in an interview, offer some insights on Paytm and to young investors on what to do to win big in the stock market.
When asked about how Paytm Money is positioning itself in the market and what makes them stand out among its competitors? Varun Sridhar pointed out that their ability to make a scalable, resilient and straightforward platform has helped them acquire 7 million users in 2.5 years, with more than 20 million transactions annually. He further stated that their client acquisition is low-cost and straightforward, given Paytm's large, profoundly interactive client base, and this has allowed us to get scale quickly.
He was also quizzed on how they could generate revenue given the fact that most products are free, while charges are minimal for other products. He responded by pointing out their business model involves running a scalable, tech-based platform with low cost and passing the benefits to users. He further stated that they don't spend much on marketing and, thus, our cost of customer acquisition is far lower than the competition.
Paytm CEO Varun Sridhar gave young investors three recommendations when he was asked to share his thoughts on what young investors should focus on to win big in the stock markets.
- Learn before you start; He pointed out that today's generation is impatient. They want instant gratification and has great aspirations. However, spending some time learning the basics is critical. Time invested in learning has a direct correlation with a user's portfolio returns over the long run.
- Focus on ETFs. These are a great and low-cost way to manage risks and get upside in the markets, he revealed
- Control emotions; His message here was for young investors to control greed, fear and FOMO (fear of missing out). He went on to say that young investors should develop a structured trading process instead of one based on emotions or gut feel.