### **Overview** Abans Financial Services Limited (AFSL), formerly Abans Holdings Limited, is a diversified, publicly listed financial services platform that evolved from a proprietary commodities trader into a technology-driven, globally integrated financial institution. Listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) in 2022, AFSL operates across six regulated verticals: **Asset Management**, **Non-Banking Financial Company (NBFC)**, **Treasury & Arbitrage**, **Brokerage**, **Advisory**, and **Payment Processing**. Founded in 2009 by Mr. Abhishek Bansal, the company rebranded in January 2025 to reflect its strategic pivot toward fee-based income and institutional-grade financial services. AFSL leverages deep technological integration, cross-border regulatory licensing, and an agile operating model to deliver tailored wealth, credit, and capital markets solutions to mid-market high-net-worth individuals (HNIs), family offices, SMEs, and institutional clients. --- ### **Global Presence & Regulatory Footprint** AFSL has built a strategic presence across key international financial hubs: - **India**: Core operations in Mumbai; GIFT City branch serves as a dual-currency IFSCA-licensed platform. - **GIFT City (IFSC)**: Hub for onshore/offshore AIFs, feeder funds, and multi-jurisdictional structuring with tax-efficient benefits. - **Mauritius**: Domicile for offshore vehicles including the **Global Arbitrage Fund (GAF)** and a **Variable Capital Company (VCC)** multi-asset fund structure. - **United Kingdom**: Two FCA-regulated entities – Abans Global Limited (AGL) for brokering and Corporate Avenue Services Limited (CASL) for payments and emerging neobanking services. - **Dubai**: Exchange memberships (DGCX) support access to Middle Eastern capital markets. - **China**: Holds a rare **Qualified Foreign Institutional Investor (QFII)** license, enabling privileged access to onshore Chinese markets. - **United States**: Reg D registration with a pathway to Commodity Pool Operator (CPO) status for U.S. investor access. The company’s compliance framework spans **SEBI, RBI, IFSCA, FCA (UK), FSC Mauritius**, ensuring robust governance and cross-border scalability. --- ### **Business Segments** #### 1. **Fee-Based Investment Services (Core Growth Engine)** - **AUM**: ₹3,50,438 lakhs (~₹3,504 crores) as of Aug 2025, reflecting **41% QoQ growth**. - Generates the majority of EBITDA through recurring fees; **fee-based business growing at 60% CAGR** over recent years. - Offers globally scalable products: - **Global Arbitrage Fund (GAF)**: Open-ended, multi-asset arbitrage fund regulated in Mauritius. - AUM: Over **$110 million (INR ~831–900 crore)**. - Delivered **>8% USD CAGR since inception**, with near-zero drawdown and monthly liquidity. - 80%+ assets from international investors. - Securing **SEC registration** to target U.S. accredited investors. - **Portfolio Management Services (PMS)**: - Strategies: *Smart Beta (quant-driven, concentrated mid-caps)* and *Growth & Momentum (25-stock high-growth portfolio)*. - AUM: Over **₹125 crore**, growing at **22% YoY**. - **Alternative Investment Funds (AIFs)**: - Manages Category II & III AIFs (India and IFSC). - Focus: private credit, structured debt, equity, and long-short derivatives. - **VCC in Mauritius**: Enables multi-asset investments in equities, debt, and commodities. > 🔹 **Strategic Goal**: Expand product mix with **global equities, structured products, private credit**, and pursue **mutual fund license** in India. #### 2. **Lending & Credit Solutions (NBFC Arm – AFPL)** - **Abans Finance Pvt. Ltd. (AFPL)** is an RBI-registered **middle-layer NBFC** (upgraded in FY24). - Focus: Secured and unsecured lending to **SMEs, traders, professionals, and capital market participants**. - Specialization: Loans against **shares, commodities, and collateral-backed structures**. - **Loan Book (FY24)**: ₹340–350 crore; grew **100% YoY**; **zero NPAs**. - **Net Interest Margin (NIM)**: 10.6%, significantly above industry average (~6.6%). - **Capital Adequacy (CRAR)**: 33%, well above regulatory minimum of 15%. - Sector Exposure: - Gems & Jewellery: ₹9,728 lakhs - Agro & Other Industries: ₹6,605 lakhs - Financial Services: ₹2,705 lakhs > ✅ **Not pursuing microfinancing** due to misalignment with core competencies. #### 3. **Principal Investment & Treasury Operations** - Executes proprietary trading in **commodity spreads, FX, equity, and interest rate derivatives** using arbitrage strategies. - **Treasury Income (QoQ)**: ₹606 lakhs; up 50% QoQ, reflecting dynamic capital deployment. - Serves as strategic capital for **M&A, new product development, and balance sheet optimization**. - Deployed surplus capital in high-conviction opportunities across global markets. - Leverages internal research and AI analytics for risk-adjusted returns. --- ### **Technology & Innovation** Technology is a core differentiator at AFSL: - **AI-Driven Platforms**: Used in **PMS decision-making, risk monitoring, and predictive dashboards**. - **Robotic Process Automation (RPA)**: Streamlines client onboarding, KYC, audit trails, and trade surveillance. - **Proprietary Trading & ERP Systems**: - Fully in-house built systems with low-latency execution. - Connected to major global exchanges: NSE, BSE, MCX, SGX, COMEX, LME, DGCX, INE-Shanghai. - API-driven integration with AGL (UK) for global trading. - **Risk Infrastructure**: Real-time monitoring of **market, credit, liquidity, and operational risks** via centralized data stack. - **Fintech Investment**: Investing in high-frequency trading (HFT), **AI/ML models**, and cloud-native platforms. > 🔹 **Digital Transformation**: Online onboarding, digital dashboards, and mobile access enhance client experience and scalability. --- ### **Distribution & Growth Strategy** AFSL is scaling through **horizontal and vertical expansion**: - **Third-Party Distribution**: Over **₹1,300 crores AUM** raised via partners like **Bajaj Capital, Equirus Wealth, SMC Global, and Taurus Wealth**. - **Direct & Institutional Reach**: Leverages SEBI-registered broking subsidiaries across India and global platforms. - **Geographic Expansion**: - Targeting **GCC, East Africa, and NRI-dense markets** with tax-efficient, dollar-hedged products. - Expanding GAF into the **U.S. and Dubai (SCA registration)**. - **Acquisition-Led Growth**: Treasury serves as **M&A fund** for acquiring AUM platforms, advisory firms, and licenses. - **Merger in Progress**: Consolidating broking subsidiaries into **Abans Broking Services Pvt Ltd.** to streamline compliance and institutional broking. > 💼 **Operating Leverage**: Rising AUM increases margins without proportional cost increases, driving expansion in profitability. --- ### **Financial Performance & Metrics (As of Aug/Jul 2025)** | Metric | Value | |-------|-------| | **Total AUM** | ₹3,50,438 lakhs (~₹3,504 Cr) | | **AUM Growth (QoQ)** | +41% | | **Fee-Based Income Growth (QoQ)** | +39% | | **EBITDA from Fee-Based Business** | >₹100 Crores | | **PBT (FY2025, ending Mar '25)** | ₹102 Crores | | **Profitability (EBIT Margin)** | 64% | | **Core Revenue (Fee + Lending)** | 69% of total | | **Net Interest Margin (NBFC)** | 10.6% | | **CRAR (NBFC)** | 33% | | **Global Arbitrage Fund AUM** | >$110 Mn (8.2–8.4% USD CAGR) | | **PMS AUM Growth (YoY)** | 22% | | **Debt-to-Equity Ratio** | Reduced from 0.92 to 0.72 (improved capital efficiency) | --- ### **Strategic Initiatives (2024–2025)** - ✅ **Rebranded to Abans Financial Services Ltd.** (Jan 2025) to reflect financial services focus. - ✅ **Launched GIFT City branch** as IFSC-based fund manager and lender. - ✅ **Acquired SATCO Capital Markets' PMS business** (~₹60–106 Cr AUM, 21.6% CAGR track record). - ✅ **Established VCC in Mauritius** for diversified global fund offerings. - ✅ **Raising capital at ₹142 Cr valuation** for Abans Investment Managers Ltd. - 🔜 **Pursuing mutual fund and merchant banking licenses** in India. - 🔜 **Developing neobank platform via CASL (UK)**: Upgrading API license to **Electronic Money Institution (EMI)** for digital wallets, cross-border payments, and B2B embedded finance. --- ### **Leadership & Governance** - **Founder & Promoter**: Mr. Abhishek Bansal (established group in 2009). - **CEO**: Mr. Chintan Mehta (CA with 17+ years; instrumental in building asset management and treasury operations). - **Young Leadership Team**: Median age below 35, combining entrepreneurial agility with institutional rigor. ---