BENGALURU: Flipkart-owned PhonePe has launched a hybrid investment product--Super Funds--which will invest across equity, gold and debt funds of mutual fund companies, diversifying risk to help investors create long-term wealth.
PhonePe has partnered with Aditya Birla Sun Life Mutual Fund (ABSLMF) for the product.
The Super Funds offering will also allow users flexibility to choose between the three options – Aggressive, Moderate and Conservative - based on the user’s investment style and risk comfort, the company said in a statement.
Basis classification and risk appetite of the user, the product will invest across equity, debt and gold funds, in varying proportions. In addition to this, PhonePe also said ABSLMF’s expert fund managers will continuously monitor these investments and keep making adjustments in line with changes in the market or performance of the underlying funds and asset management companies.
“Super Funds will help our 200+ million users create wealth in a simpler and safer way as all the complex investment decisions of finding the right balance between equity, gold and debt; selecting the top funds from over 1,000 options; and continuously reviewing and rebalancing the investments to suit market conditions will be managed by expert Fund Managers," said Terence Lucien, head of mutual funds PhonePe.
Over the past year, digital payment firms have changed gears to focus on financial services strategy, in order to make up for the flattening revenues from operating digital payment businesses in the country.
Further, PhonePe’s strategy is to bring in tailor-made investment products which are not available in the market to lure customers. Recently, in an interview with Mint, PhonePe co-founder and chief executive, Sameer Nigam had said financial services as a category contributes around 20% to the company’s revenues.
The Bengaluru-based payments company had launched its financial services strategy early last year.
PhonePe’s rival Paytm has a direct mutual funds investment platform called Paytm Money, which it launched in September 2018.
Recently, Paytm founder Vijay Shekhar Sharma told Mint that the firm was focused on its financial services execution strategy, including insurance, wealth through Paytm Money and even banking.