Personal Financial Management

Sources: www.kpmg.com

Fintech Sector• The global Fintech software and

services sector is expected to boom as a USD 45 billion by 2020, growing at a CAGR of 7.1% as per NASSCOM

• The Indian Fintech software market is forecasted to touch USD 2.4 billion by 2020 from a current USD 1.2 billion, as per NASSCOM

• The transaction value for the Indian Fintech sector is estimated to be approximately USD 33 billion in 2016 and is forecasted to reach USD 73 billion in 2020 growing at a five-year CAGR of 22%

2013 2014 20150

500

1000

1500

2000

2500

3000

3500

258.26

983.85

3051.23

Fintech Investments in India (In cr.)

7 Fintech Themes

Source: www.kpmg.com

Next Generation Payments

P2P Lending

Blockchain

Robo-advisor

y

Financial Inclusion

Security &

Biometrics

Bank in a box

Large Fintech Fundings in IndiaPlayers Business Category Investment Period Deal ValuePaytm M-Wallet/Gateway Feb, 2015 USD 890 Mn

Mobikwik M-Wallet May, 2016 USD 86.85 Mn (total)Billdesk Payment Aggregator Mar, 2016 USD 157.5 Mn (Total) A leading Indian Fintech portal

Marketplace for loans and insurance products

Jul, 2016 USD 79 Mn (total)

Financial Software and Systems Pvt. Ltd.

Financial Planning Oct, 2014 USD 57 Mn

Policybazaar Insurance Apr, 2015 USD 69.6 Mn (total)

Freecharge M-Wallet/Gateway Feb, 2015 USD 113 Mn (total)source: www.kpmg.com

Innovage Fintech pvt ltd

• Innovage Fintech Pvt. Ltd. owns and operates an online financial planning and management platform

• Its services include financial planning calculator, wealth management services, financial planning services and solutions, financial planning advisory services, financial planning analysis, financial reporting analysis, investment portfolio management services, mutual funds investment, and short term investment plans

Source: www.5nance.com

Source; www.5nance.com

Brand Partners

Source; www.5nance.com

5 USP of 5nance• Offer all kind of financial products like MF, Health insurance, Term

insurance, Bank FD, Corp FD, and all kind of Loans• Their investment recommendations are backed by Strong Research

Methodology• Risk profiling of their investors to categories them into one of the

five risk profiles and based on individual risk profile and as per the investment horizon they suggest best suitable schemes

• 5nance have created the financial calculators such as Tax Planning, goal Planning, retirement planning to calculate future goal value

• 5nance is offering all these services free of cost

Product offerings of the company

Equity SIP

Retirement Plan Tax-Max

Loans Term Insurance

Goal Planning

Health Insurance

www.5nance.com

Personal financial management• Personal finance is the application of the principles of finance to

the monetary decisions of an individual or family unit• It addresses the ways in which individuals or families obtain,

budget, save and spend monetary resources over time, taking into account various financial risks and future life events

Personal financial management contd.

• Different people have different habit & needs

GoalsReturn expectationsRisk appetiteStatus IncomeExpensesSurplusAccumulated wealth

Risk stage

Life stage & risk-returnAge Range Goals Returns

ExpectationsRisk Appetite Liquidity

20-30 Education, Marriage, Holiday

High High Low

30-40 Children Education, Insurance

Moderately High Moderately High Moderately Low

40-50 Children Marriage, Retirement

Balanced Balanced Balanced

50-60 Retirement Moderately Low Moderately Low Moderately High

>60 Holidays, Estate Planning

Low Low High

Risk Return products

Bank A/c, FD, RD

PPF, NSC

Liquid (MF-Debt)

Equity (Stocks)

Corp. Bonds

Gold Commodities

Real Estate (Physical)

Equity (MFs)

4-5%

16-21%

16-20%

10-12%

10%

8.5%

8-10%

Risk HighLow

High

Lo

w Re

turn

s

8.5%

Conclusion• Money is one form of power, but what is more powerful is financial

education. Money comes and goes, but if we have the education about how money works, we can gain power over it and can begin building wealth

• We should know our risk profile and based on that we should take decision for investment

• Should analyze our portfolio every quarter• It is better to diversify the portfolio, rather than putting money into

one basket only• Every financial product carry different risk, therefore we should

analyze them before investing into any financial instrument