Embedded investing is revolutionizing the way consumers access and interact with investment products. It is also changing the way companies work and the possibilities are never-ending. This innovative approach integrates investment products or services into other platforms, such as banking apps or employer-sponsored retirement plans. By doing so, it allows consumers to manage their investments and stay informed about their financial health in a more convenient and streamlined way. This is because financial services can now re-imagine being served and distributed on platforms that consumers often rather than platforms only focusing on financial services.
One of the key benefits of embedded investing is that it allows consumers to access investment products in a more streamlined and convenient way. By having investment options integrated into other products that consumers use daily, consumers can more easily understand and access these options without having to navigate multiple different platforms or providers.
Embedded investing is also changing the way consumers interact with investment products by making them more user-friendly and accessible to a wider range of investors. For example, HR tech platforms can make it easier for their users to understand tax-saving instruments such as ELSS and invest by embedding investments, even if they have limited investment knowledge or experience. This approach delivers value to the customers, helping companies to maintain loyalty among the customers.
Another example we can look at is: A teenage neo-bank looking to launch mutual funds for minors, can use Tarrakki's embedded infrastructure for minors, or even a Bank looking to launch mutual funds of all AMCs can use Tarrakki's embedded infrastructure to launch investment products. This way the customers can access investment products from one platform instead of going to different AMC websites or different apps for making investments.
Embedded investing also increases consumer awareness as it integrates investment options into everyday products and services, making it easier for consumers to stay informed about their investments and track their progress.
Another benefit of Embedded investing is that it reduces the barriers to entry for investment, making investment opportunities available to a wider range of consumers. This can have a significant impact on financial well-being, particularly for those who may not have had access to investment products in the past.
Overall, embedded investing is a game-changer in the world of personal finance. It makes investment products more accessible and, friendly, and empowers consumers to take control of their financial futures. As technology continues to evolve, we can expect to see even more innovative ways to access and interact with investment products through embedded platforms.