Paytm Money opens bids of up to ₹5 lakh through UPI

On Friday, One 97 Communications owned, wealth management platform Paytm Money declared a new feature that would enable high net-worth individuals (HNIs) to place bets of up to ₹5 lakh for an upcoming initial public offering (IPO). The bids can be placed via the unified payments interface (UPI). Interestingly, the launch of this new service is in alignment with the circular issued by the Securities and Exchange Board of India (SEBI) dated April 5, 2022. By this circular SEBI mandated investments up to ₹5 lakh through UPI or all IPOs post the first of May. Earlier, this limit was limited to up to ₹2 lakh per investor.

Furthermore, Paytm Money claimed that it is the first discount broker to implement this feature and expand the investment limit. At the launch of the new feature, Varun Sridhar, chief executive officer of Paytm Money, said, “We are the super app of wealth management, giving users the power of investing. The addition of the HNI investor category will allow retail investors to place higher IPO bids through NPCI UPI in a convenient and seamless manner. This new service has been launched in view of the growing appetite for high-value IPOs among Indian investors and comes at an ideal time, right ahead of the much-awaited LIC IPO.”