Two personal finance businesses (Rupeetalk and iTrust) were acquired recently. Rupeetalk story, iTrust story on Medianama. This prompted me to go back to my post dated Sept. 21, 2009 which reviewed three businesses. Excerpts:
Both RupeeTalk and iTrust provide articles, comparison table on financial products and have tied up with leading financial product companies to sell their products. They appear to be the online channels of the financial majors.
InvestmentYogi has content focused on helping individuals on financial planning, retirement planning and tax planning. It doesn’t sell any financial products but focuses on helping you to learn, share and grow.
To me, they [Rupeetalk and iTrust] are just another addition to the 3 million strong financial advisors community with a unique online presence.
InvestmentYogi has the most disruptive business model, to my mind.
The articles are written in a very unbiased manner and they do not push any products. Their goal is to promote a holistic financial planning approach to investing and managing wealth.
InvestmentYogi is still hanging on and I believe they will win in the long run.
To my mind, personal finance is not just about having access to unbiased and useful information, but it is also about being aware/improving our financial behavior and taking concrete action steps to improve personal finances.
Having said that, competition and active regulation has changed a lot of rules in the past few years. The rules of financial services are seeing a lot of disruptions. Examples of no entry load on Mutual Funds and the recommendations of the D Swarup Committee on doing away with commissions come to mind. Mutual Funds being available on the NSE wef 30th November, 2009 and conceptualization of fee based advisors (CPFAs) are more examples.
There is a unique opportunity to bring in personal financial services in tune with these changing times.
But it ain’t easy to enable behavioral change and persuade people to manage their finances in a better way!
What do you say?