CXOToday has engaged in an exclusive interview with Mr. A Balakrishnan, Executive Director, Geojit Financial Services
1) Can you tell us about your vision of how technology is revolutionizing the broking industry, what unique innovations is Geojit introducing to stay ahead in this rapidly evolving space?
At Geojit, our vision revolves around offering a seamless digital experience for our clients. Our newly designed FLIP application is a testament to this, providing a user-friendly platform with intuitive tools and features accessible across devices. Furthermore, we empower investors with personalized financial planning and private wealth services, crafting customized financial plans and goal-based investment strategies. We also see AI as a game-changer, offering AI-driven insights and digital companions for our key employees to enhance productivity and achieve scale.
2) In an increasingly digital world, Geojit has adopted a “phygital” approach, blending physical branch networks with digital platforms.
How does this hybrid model enhance customer experience, and why do you believe it remains a crucial strategy for building trust and expanding market share in the age of technology-driven investing? Geojit’s hybrid model combines the best of both worlds by blending physical branch networks with digital platforms. This approach provides customers with the convenience and speed of digital platforms alongside the personalized advice and trust that comes from interacting with human advisors at physical branches. We believe in long-term investments for better returns, not just platform business. Our personalized onboarding process helps new investors understand complex investment concepts with in-person guidance, while also offering a fully digital onboarding process for those who prefer it. In more complex situations requiring specialized goal-oriented investment services, access to experienced advisors at physical branches builds confidence and trust. This model also bridges the digital divide, catering to investors who prefer face-to-face interactions, and offers a seamless transition between online and offline channels for an omnichannel experience.
3) AI is increasingly reshaping various businesses. How do you foresee AI impacting Geojit’s businesses in the coming years, and what strategies are being implemented to integrate AI-driven solutions effectively?
We are in the preliminary stages of AI implementation, taking a responsible and regulated approach by consulting experts and conducting PoCs. Our AI strategy is built on several pillars: fostering a data-driven culture and investing in robust data infrastructure, forming strategic partnerships with AI technology providers and fintech companies, acquiring talent with expertise in AI and machine learning, and addressing ethical considerations such as data privacy, bias, and transparency.
4) As digital financial frauds continue to rise in India, particularly scams offering high returns on investments, what proactive measures can investors take to identify and avoid falling prey to such schemes?
Additionally, how is Geojit educating its clients to navigate these risks? Digital financial fraud is a growing concern, and it is imperative for investors to be vigilant. We consistently communicate with stakeholders about verifying sources, being cautious of offers promising extraordinary returns, and securing devices and communication channels. Investors should thoroughly understand investment products, associated risks, and the companies or platforms offering them. We have availed professional takedown services and taken legal actions where possible, informed local grievance officers about fake apps and malicious content, and conducted awareness programs for internal and external customers. Additionally, we work closely with regulators and the Cyber Cell of the police, sending alerts and warnings about fake apps and fraudulent groups.
5) With recent regulatory changes like tightened margin requirements, enhanced disclosure norms, and increased focus on investor protection, how are these developments affecting the broking industry, particularly in terms of compliance costs and the investment needed in technology development and maintenance?
Recent regulatory changes, such as tightened margin requirements and enhanced disclosure norms, have benefitted retail clients despite the implementation challenges due to the frequency of changes. Transactions and settlements have become more robust, though the cost of compliance has increased significantly. Technology and cybersecurity costs are skyrocketing, but we remain committed to working closely with our customers to achieve their financial goals. We do not encourage normal retail clients to trade in derivatives, engage in unscientific speculations, or participate in intra-day trading.
First published in CXOtoday
