ClearTax launches investment app 'Black'
1 min read . Updated: 22 Dec 2020, 04:33 PM IST
Premium- The app has been launched with direct mutual funds but will eventually have stocks, national pension system (NPS), PPF and potentially, cryptocurrency.
Tax-filing portal ClearTax, which has a userbase of five million, is entering the investment space with an app called 'Black.' The app has been launched with direct mutual funds but will eventually have stocks, national pension system (NPS), PPF and potentially, cryptocurrency. The company will charge a flat fee of ₹10,000-15,000 per annum for users with income above ₹15 lakh, while keeping the service free for lower-income users. It has obtained a Sebi Registered Investment Adviser (RIA) license to deliver this service.
"Tax filing and investments go hand in hand. We have currently enabled direct mutual funds on the app, but we will subsequently add stocks, national pension system, FDs, PPF, Sukanya Samriddhi Scheme and if regulations permit, cryptocurrency. However, we will provide customers with a long-term investment orientation and not have features like F&O trading," said Archit Gupta, founder and CEO, ClearTax. “We are targeting millennials primarily and we find that young people are extremely comfortable with tax and investment advice delivered remotely. We will have dedicated advisers who will interact with subscribers on a regular basis through videoconferencing," he added.
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ClearTax expects to onboard around 20% of its approximately five million userbase on Black within six months. “The right can help customers develop better tax and investment habits. Take this year for instance, only 60% of our userbase has filed their returns so far and the deadline is 31 December," said Gupta. The app is likely to compete with a host of existing investment apps such as Paytm Money and Kuvera, which primarily operate in the direct mutual fund space.
