● Grip applied for the licence after the market regulator mandated last year that every platform operating in this space had to have one.
● SEBI’s OBPP licence provides an enabling environment for retail participation in fractionalized, listed and rated investment instruments.
● In compliance with the OBPP licence requirements, Grip offers Corporate Bonds and was the 1st platform in India to launch Securitized Debt Instruments (SDI) as an investment product for retail investors.
New Delhi, September 1, 2023: Grip, India’s leading multi-asset alternative investment platform, has received the Online Bond Platform Provider (OBPP) licence under the new regulatory framework from the Securities and Exchange Board of India (SEBI), and is now registered as a Stock Broker in Debt segment with National Stock Exchange (NSE). The licence allows Grip to continue facilitating investments in Corporate Bonds, Securitized Debt Instruments (SDI), and other SEBI or RBI-regulated products (like SGBs and G-Secs) for retail investors in complete compliance with the regulatory framework. This licence held by Grip’s 100% owned subsidiary, Grip Broking Private Limited, reinforces the company’s unwavering commitment to ensuring transparency, safeguarding investor interests, and following regulatory compliance.
In November 2022, SEBI introduced the OBPP regulations, with the objective to democratize investment options for retail investors and deepen the corporate bonds’ market while protecting the interest of retail investors. The OBPP framework and related amendments made it possible for retail investors to participate in private corporate debt issuances, including corporate bonds, at a reduced transaction value of INR 1 lakh while enjoying heightened transparency and safety.
In compliance with the OBPP regulations, Grip also became the first platform to launch SDI-driven products such as LeaseX, InvoiceX, LoanX, and BondX. Each of these investment products provides investors a secured opportunity to earn fixed returns by investing in receivables from one or more entities either in the form of lease rentals, discounted invoices, or loan repayments. Grip listed the first-ever SDI-driven product LeaseX on NSE on October 7, 2022.
On securing the OBPP Licence, Nikhil Aggarwal, Founder & CEO, Grip, stated, “We deeply appreciate SEBI’s forward-thinking approach to support the growth of the wealth-tech industry and create an enabling regulatory regime for retail investor participation. The OBPP regulations have combined measures to grow the market while also protecting investor interests. The addition of products like SDIs which are listed and credit-rated will be game-changers to ensure more Indians can access wealth-creation options with the comfort, security and low transaction costs possible through an online platform. We believe these regulations will help with the creation of a very large and sustainable alternative investment industry and we are committed to continue operating in compliance with current and future regulatory frameworks.”
Aashish Jindal, Co-Founder & CPO, Grip added, “Grip is in the process of upgrading its website gripinvest.in and processes to offer users a seamless KYC and payment experience through the NSE Request for Quote (RFQ) API integration in compliance with SEBI guidelines. The RFQ integration will boost transaction security, ensuring all investments are directly settled via the stock exchange, with fund and securities transfers managed through Clearing Corporations. This integration will enable users to invest in smaller transactions and open up additional payment modes such as UPI and Net Banking.”
Grip is India’s leading multi-asset alternative investment discovery platform that enables Indians to reimagine wealth creation, by curating non-market-linked alternative investment opportunities. The investor-first platform helps people start their journey with Grip by choosing to invest as little as INR 10,000 and diversify their portfolio beyond stocks and mutual funds.
Grip, co-founded by Nikhil Aggarwal, Vivek Gulati, and Aashish Jindal in June 2020, has enabled INR 750 cr in investment opportunities with 100+ well-regarded investee partners; these opportunities have attracted more than 3,00,000 registered investors.
Backed by marquee venture capital investors, Venture Highway, Anicut Capital, Endiya Partners, Lighthouse Canton Nueva, AdvantEdge, and Multiply Ventures, Grip endeavours to provide its investors with diversified alternative investment opportunities across the entire risk-reward spectrum that best cater to an investor’s objectives and help diversify their portfolio.
In pursuit of this mission, Grip became the first-ever platform to list Securitized Debt Instrument (SDI) on the NSE in Oct’22 and introduce products such as leasing (LeaseX), invoice discounting (InvoiceX), loan securitization (LoanX) and portfolio of bonds (Bondx).
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