Groww COO Harsh Jain Highlights Benefits Of Pledging Securities

At the Global Fintech Fest 2024, Harsh Jain, Co-Founder and COO of Groww, discussed the impact of new regulations on managing liquidity through pledging and re-pledging securities. He highlighted how these regulations allow investors to keep holdings in their own names, which simplifies the process for brokers. This change has been beneficial for Groww, as it enhances liquidity management. Previously, brokers had to hold stocks during competitions, which tied up liquidity. Now, investors hold their stocks directly, freeing up liquidity for brokers. This mechanism allows brokers to pledge securities within minutes, improving efficiency and liquidity. Harsh emphasized that this new system has been a significant improvement for their business operations, making the process more streamlined and beneficial for both brokers and investors.