Novel initiative to empower underserved regions with affordable, accessible mutual fund investments
T Koshy, MD & CEO of ONDC
FinTech BizNews Service
MUMBAI, 21 October 2024: HDFC Asset Management Company Limited (HDFC AMC) proudly announces its onboarding on the Open Network for Digital Commerce (ONDC), becoming one of the first Asset Management Companies (AMCs) to join hands with this revolutionary network. By enabling mutual fund distributors to access a broader range of AMCs and vice versa, the ONDC Network is set to revolutionize how investment products are distributed. This integration marks a significant milestone in the financial services sector, as it aims to democratize access to mutual fund investment products across the country.
The integration aligns with HDFC AMC's broader mission of becoming the wealth creator for every Indian. By leveraging ONDC's open protocol, the initiative will bring mutual funds to the masses, enabling more first-time investors to take part in India’s growth story.
The integration with ONDC will further aid in tackling three common barriers to investment faced by a significant portion of India’s population: low incomes, irregular cash flows, and limited access to financial tools. The ONDC Network’s open protocol will help in improving reach to large Investing Population by offering mutual fund investment Products. This will empower every individual, regardless of their income, to take the first step towards financial inclusion and wealth creation.
Mr. Navneet Munot, MD & CEO of HDFC AMC, said "At HDFC AMC, we are deeply committed towards financial inclusion. By joining forces with ONDC, we're not just offering a new investment channel; we're democratising wealth creation. This Network allows us to reach every corner of Bharat, transforming small savings into meaningful investments. This is in line with our ambitious mission to be the wealth creator for every Indian."
T Koshy, MD & CEO of ONDC, commented, "HDFC AMC’s integration with ONDC Network is a leap toward democratizing financial access by unbundling the financial journey — breaking down traditional silos, making financial products more visible, accessible, and interoperable across platforms. This seamless access empowers individuals—regardless of geography or income—to participate in wealth creation. By enabling affordable, bite-sized investments and expanding reach to underserved communities, this initiative fosters financial independence, promotes long-term value creation, and paves the way for inclusive growth."
A critical aspect of this initiative is the reach to masses. This may become a game-changer for rural and low-income households, who can make investments in manageable amounts. This will serve as a crucial step in bringing mutual funds towards enabling financial growth and wealth creation on a broad scale.
HDFC AMC is one of the key players to be at the forefront of this initiative, setting the stage for more AMCs to join the movement. By supporting ONDC's vision, HDFC AMC continues to reinforce its role as a key enabler in making financial independence and investment opportunities available to every Indian.
