Grip Becomes the First OBPP-Licensed Platform to Implement RFQ; Allows Retail Investors to Buy Bonds Directly Through NSE
Oct 12, 2023
BusinessWire India
New Delhi [India], October 12: Grip, an OBPP-licenced platform for fixed-income investment, has become the first to completely implement a full tech journey of the Securities and Exchange Board of India's (SEBI) Request for Quote (RFQ) API. The RFQ integration on Grip now provides retail investors an opportunity to invest in India's emerging and booming Corporate Bond and Structured Debt market as easily as investing in stocks, while ensuring all investments are securely settled through the NSE, with the clearing corporations handling fund and securities transfers directly. The integration also allows for more and more investors to explore Bonds and Securitised Debt Instruments offerings by investing small amounts, easily paid through more common methods of payment like UPI and Net Banking.
Grip's RFQ implementation aligns with SEBI's goal to boost liquidity in the debt securities market in India. SEBI's RFQ mechanism effectively addresses challenges, including delayed securities transfers and large initial capital requirements, for debt securities allowing a secure and efficient means to invest in fixed-income instruments for investors.
Grip's RFQ implementation enables investors to purchase bonds and SDIs at lower investment amounts, often 50% lower. The payment process is streamlined as users can directly transfer funds to the exchange via a payment gateway, eliminating the need to add beneficiaries and ensuring security. Additionally, the time required for securities to reflect in the Demat account has been reduced from two days to just one day, simplifying transaction tracking.
On integrating the RFQ interface, Aashish Jindal, Co-Founder and Chief Product Officer, stated, "From an investing lens, fixed-income investing provides a more predictable and secure income stream than stocks, and often a more attractive risk-reward. However, traditionally the lack of transparency, due to delays in transferring securities and large capital investments, has steered investors away from investing in debt securities. With the RFQ integration, retail investors can now enjoy all the protections and convenience of buying fixed-income instruments like corporate bonds and SDIs on Grip. With this integration, we're empowering our users to take control of their investments with confidence, ensuring that they have the tools and resources they need to achieve their wealth creation goals."
Retail investors can now purchase securities in multiples of just 1 unit, with no large minimum order quantities for SDI. Investors now also have the flexibility to make payments using UPI as a payment mode for transactions or Net Banking from a registered bank account such as HDFC, ICICI, Kotak, Axis, City Union, etc., via NSE's payment gateway.
"The Indian debt market is poised for growth, and SEBI's introduction of RFQ mechanism for retail fixed income transactions represents a noteworthy step in addressing investor concerns. Grip's RFQ implementation has ushered in a new era for online investors, making investing in corporate bonds or SDI as easy, transparent and secure as investing in equities. With the RBI pausing interest rate hikes, market participants are now increasingly interested in investing in debt securities such as LeaseX, InvoiceX, LoanX and BondX to capitalize on high-interest rates," said Nikhil Aggarwal, Founder and CEO.
Grip will go live with the RFQ integration on October 6, 2023, at 9:30 am and will become the first OBPP-licensed Platform to Implement a full tech-based RFQ journey.
About Grip
Grip is one of India's leading, regulated multi-asset alternative investment discovery platform that enables Indians to reimagine wealth creation, by curating non-market-linked investment opportunities. The investor-first platform helps people build diversified portfolios by offering innovative investment options at small ticket sizes.
Grip, co-founded by Nikhil Aggarwal, Vivek Gulati, and Aashish Jindal in June 2020, has enabled Rs 750 cr in investment opportunities with 100+ well-regarded investee partners; these opportunities have attracted more than 3,00,000 registered investors.
Backed by marquee venture capital investors, Venture Highway, Anicut Capital, Endiya Partners, Lighthouse Canton Nueva, AdvantEdge, and Multiply Ventures, Grip endeavours to provide its investors with diversified alternative investment opportunities across the entire risk-reward spectrum that best cater to an investor's objectives and help diversify their portfolio.
In pursuit of this mission, Grip became the first-ever platform to list Securitized Debt Instrument (SDI) on the NSE in Oct'22 and introduce products such as leasing (LeaseX), invoice discounting (InvoiceX), loan securitization (LoanX) and portfolio of bonds (BondX). Grip is a SEBI regulated OBPP platform.
For more information, visit www.gripinvest.in or follow on YouTube: @gripinvest, Instagram: @gripinvest, LinkedIn: @gripinvest, Twitter: @gripinvest, and Facebook: @gripinvest
Disclaimer: Investments in debt securities are subject to risks. Read all the offer related documents carefully. The investor is requested to take into consideration all the risk factors before the commencement of trading. This communication is prepared by Grip Broking Private Limited (bearing SEBI Registration No. INZ000312836 and NSE ID 90319) and/or its affiliate/ group company(ies) (together referred to as "Grip") and the contents of this disclaimer are applicable to this document and any and all written or oral communication(s) made by Grip or its directors, employees, associates, representatives and agents. This communication does not constitute advice relating to investing or otherwise dealing in securities and is not an offer or solicitation for the purchase or sale of any securities. Grip does not guarantee or assure any return on investments and does not implicity guarantee on completeness/accuracy of any information/data. Grip accepts no liability for consequences of any actions taken based on the information provided. Your investment is solely based on your judgement. Any information is provided only on an 'as is where is basis' and on the 'commercially reasonable effort basis'. The data/ information contained including price / yield are subject to variation depending upon market conditions and availability of the instrument. Registered address: Grip Broking Private Limited, 106 II F New Asiatic, Building H Block, Connaught Place, New Delhi, India, 110001
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Investing in Corporate Bonds and SDI is as easy as Stocks with SEBI Enabled RFQ Exclusively on Grip
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