Groww Overtakes Zerodha As The Broker With Most Active Investors

Groww, a fintech unicorn that enables users to invest in stocks, ETFs, and IPOs, has surpassed Zerodha, the pioneer of discount broking in India, as the broker with the highest number of active investors on the National Stock Exchange (NSE).

Groww Leads The Pack With 20.35% Market Share

According to the NSE data, Groww had 6.63 Mn active investors at the end of September 2023, while Zerodha had 6.48 Mn. This means that Groww had a market share of 20.35%, slightly ahead of Zerodha’s 19.9%. The other brokers in the top five were AngelOne, Upstox, and ICRA Securities.

The NSE data also revealed that out of the total 129.7 Mn demat accounts in India, only 33.4 Mn individuals traded on the exchange at least once a year. This shows that there is still a huge potential for growth in the Indian stock market.

Groww Attributes Its Success To Digital Public Infrastructure

Groww was founded in 2017 by four former Flipkart employees: Harsh Jain, Lalit Keshre, Neeraj Singh, and Ishan Bansal. The startup aims to make investing simple and accessible for everyone, especially the young and tech-savvy generation.

Groww has attributed its success to the digital public infrastructure (DPI) built over the last few years that enabled its growth. DPI refers to the various initiatives taken by the government and regulators to facilitate online transactions, such as Aadhaar, UPI, e-KYC, etc.

Lalit Keshre, founder of Groww, said on X: “Firstly and most importantly, we are grateful to all our customers who trusted a young company – our focus will always be to provide you with the best experience. Secondly, we are grateful for the digital public infrastructure (DPI) built over the last few years that enabled our growth.”

Groww And Zerodha Report Impressive Financials

Groww and Zerodha have both reported impressive financials for the fiscal year 2022-23 (FY23). Groww’s parent company Nextbillion Technology posted a 10.73X year-on-year (YoY) rise in profit after tax (PAT) at INR 73 Cr in FY23, as per information shared with credit rating agency ICRA.

Zerodha reported a total income of INR 6,875 Cr in FY23, an increase of 38% from INR 4,964 Cr in FY22. Its net profit stood at INR 2,907 Cr in FY23 as against INR 2,094.3 Cr in FY22.

Both Groww and Zerodha have been at the forefront of a transformative wave in the Indian brokerage industry. They have leveraged technology and innovation to offer low-cost and user-friendly platforms for investing. They have also attracted millions of new investors who are looking for alternative avenues of wealth creation.