A quick introduction to micro-wealth management using IndiaStack

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The micro-wealth management market in India

A report by Goldman Sachs Global Investment Research estimates that about 27 million individuals in India’s workforce have an earning capacity similar to that of Seema’s. A majority of this section of the workforce saves for something or the other — perhaps to buy a home or fund a startup business, to maybe travel the world, or simply to invest in higher education for themselves or for their family members. Each aspiration leads to a different micro segment of people requiring personalized wealth management advice. The total investible surplus from this target segment is estimated to be about $60 billion in assets. So, the question of the day is — why aren’t wealth managers lining up to serve this market?

Changing the story by leveraging IndiaStack

Now, you are an entrepreneur. You see this situation and think, “Hey, what can I do to address this latent demand?” Let us think about it for a minute. What if you could perform an end-to-end digital KYC service for, say, Rs 100–300 and provide it as an instant service? What if verified key documents such as proof of identity and proof of address are available on a single digital account accessible by Seema, and she alone can decide who gets to view the data and for how long? What if the in-person verification can be done via a video call? What if these documents are also digitally signed by Seema to serve as self-attestation?

  • Digital KRA uses DigiLocker Requester API as a guideline to request access to the documents.
  • Seema provides her Digital Signature for documents using a registered eSign Service Provider (ESP) via the eSign API specifications.
  • Seema also provides consent to access her documents guided by the specifications in the Electronic Consent Framework. She can decide who can get to view what and for how long.
  • Digital KRA performs a SEBI-compliant KYC registration process including a videocall-based In-Person Verification (IPV) and gets the KYC done.
  • Digital KRA provides confirmation of KYC completion to Seema’s wealth manager to begin service provision.
  • Seema can now use UPI to manage any money flow involved.

BharatInclusion

Bharat Inclusion aims to build knowledge, foster innovation…

Bharat Inclusion Initiative

Written by

We aim to build knowledge, foster innovation & entrepreneurial activity towards improving financial inclusion and livelihood for the poor.

BharatInclusion

Bharat Inclusion aims to build knowledge, foster innovation & entrepreneurial activity towards improving financial inclusion and livelihood for the poor.

Bharat Inclusion Initiative

Written by

We aim to build knowledge, foster innovation & entrepreneurial activity towards improving financial inclusion and livelihood for the poor.

BharatInclusion

Bharat Inclusion aims to build knowledge, foster innovation & entrepreneurial activity towards improving financial inclusion and livelihood for the poor.

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