Halla jyada aur site mein kuch nahi. Kisi HNI ya business partner ne internal notification faila diya hai.
I do believe in the capabilities of that management. But I have some observations. India's largest broker is Zerodha and their profit is just Rs. 200 crores per year. Discount brokerage is the way to go now. Assuming deep pocketed Bajaj Fin enters this business, they may get some market share, they may cross-sell some mutual funds to their existing loan customers. But it will not become a big business for them to impact their balance sheet. It merely increases their product offering so that customers get more services under one roof. We all know that banks with brokerage business have become also-ran cases. Now the question is does Bajaj commit its best management talent and time to enter an already competitive but smaller business? (I wonder if it is worth it). Is it a distraction?
Will this result in expanding the brokerage business pie in the country? (I seriously doubt that)
Their existing loan business is never out of demand. It is so huge in size and scale. And they are doing well there. Somehow they managed to minimize their risks and figured out how to play that game.
Their entering brokerage may enthuse some traders and investors but will not make much of an impact on their balance sheet.
However, if their long term vision is to get into investment banking and underwriting etc., then that is a different matter.