Groww co-founder and Chief Executive Officer (CEO) Lalit Keshre said the company plans to expand its product portfolio over the next few quarters to boost customer engagement and drive monetisation across its wealth-tech ecosystem.
“So far, we have built 10-plus products on the platform. But the good thing is that there is a long roadmap in front of us, and we will continue building multiple products. With multiple products, customer engagement continues increasing, retention goes up. Then, when customers love your product, monetisation also follows,” Keshre said during the Q2 FY26 earnings call.
While Groww started its journey with mutual funds as its core offering, stocks have emerged as the second anchor product lately. In a shareholder letter, the stockbroker said that four out of five customers joining the platform begin their journey with one of these products.
In Q2 FY26, 36% of new users on Groww started with Mutual Fund SIPs, an increase of seven percentage points compared to the same quarter last year. Stocks remained the leading entry product at 37%, though its share declined by 15 percentage points year-on-year (YoY).
Meanwhile, Exchange-Traded Fund (ETFs) and Initial Public Offering (IPOs) have been gaining traction on the platform. ETF-first users now account for 6% of new sign-ups, six times higher than last year. IPO-first users—including those investing in equities and bonds—also reached 6%, doubling their share from a year ago.
Groww has amassed nearly 80% of its user base organically, with the remaining 20% coming from digital marketing and referrals, said Ishan Bansal, Chief Financial Officer (CFO) of Groww, during a post-earnings call.
Impact of SEBI’s Crackdown on F&O Trading
According to Bansal, Groww witnessed a churn in users following the Securities and Exchange Board of India’s (SEBI) crackdown on high-volume and high-risk futures and options (F&O) trading activities. The impact was more visible until Q4 FY25. While the user base has shown some recovery, the increase is modest and not yet visible at scale.
However, Bansal noted that the quality of users in the F&O segment has improved meaningfully. Average orders per user have risen significantly, growing in the range of 10–20%, indicating stronger engagement among active participants.
Groww’s active client base on the National Stock Exchange (NSE) shrank from 13.2 million in January 2025 to 11.9 million at the end of Q2 FY26.
Rival platforms such as Zerodha and Angel One have also seen a decline in their user base after SEBI released a consultation paper in July 2024 aimed at discouraging small retail investors from betting on F&O.
3% of Revenue Coming From Fisdom
Founded in 2017 by former Flipkart executives Lalit Keshre, Harsh Jain, Neeraj Singh, and Ishan Bansal, Groww began as a mutual fund investment platform but later expanded into stock trading, futures & options, IPOs, and other financial…
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