### **Overview** Choice International Ltd. is a diversified financial services conglomerate headquartered in Mumbai, with over a decade of experience in delivering technology-driven financial solutions across India and select international markets. The company has evolved from a traditional financial services provider into a **fintech-enabled ecosystem**, offering an integrated platform for broking, wealth management, insurance distribution, NBFC lending, government advisory, and investment banking. It operates through a network of wholly owned and step-down subsidiaries, positioning itself as a **"One Stop Financial Hub"** for retail, institutional, corporate, and government clients. With a presence in over 23 states and union territories, it ranks among the **top 20 stock brokers in India** and serves over **1.4 million clients**. --- ### **Business Segments & Subsidiaries** #### **1. Broking & Distribution** - Led by **Choice Equity Broking Private Limited (CEBPL)**, a SEBI-registered depository participant (CDSL & NSDL), and member of NSE, BSE, MCX, and NCDEX. - Offers equity, commodity, derivative, currency, and IPO trading, supported by a robust research desk. - **Demat Account Base**: - 10.86 lakh (FY25), up 28% YoY and 60% over two years. - 8.48 lakh at FY24. - Key growth driver: Cross-selling across products and digital-first engagement. #### **2. Wealth Management** - Delivered through **Choice Wealth Private Limited**, AMFI-registered mutual fund distributor. - Offers: - Mutual funds (equity, debt, hybrid) - Corporate fixed deposits, bonds, NCDs, G-Secs - Portfolio Management Services (PMS) - Alternative Investment Funds (AIFs) - Market-Linked Debentures (MLDs) - **Assets Under Management (AUM)**: - Wealth AUM surged to **₹55,714 crore** post-Arete Capital acquisition in FY25. - Combined group AUM (including broking and wealth): **₹577 crore (consolidated)**. - Multi-asset strategies now represent **30% of AUM** (up from 16%). - Achieved **5.12x increase in wealth AUM** due to Arête Capital acquisition. - Launching **Strategic Investment Framework (SIF)** – a hybrid product combining PMS flexibility with mutual fund structure (minimum ₹10 lakh investment). #### **3. NBFC & Lending (Choice Finserv & Subsidiaries)** - Provides **priority sector lending** via **Choice Finserv Private Limited (CFPL)**, an RBI-registered NBFC. - **Key Products**: - **MSME Loans**: Up to ₹5 million, 10–120 months, 16–22% interest, average ₹800,000 ticket. - **Solar Loans**: Up to ₹5 million, 60 months, 18–24% interest, 100% security. - **Vehicle Finance & Personal Loans**. - Acquired **Paisabuddy Finance** and **Sureworth Financial Services** (Oct 2024), boosting loan book and geographical footprint. - **Loan Book (as of Jul 2025)**: ₹745 crore (retail ₹596 crore), with **NNPA of 2.25%**. - Digital lending powered by **‘Choice Money’ app** and AI-driven underwriting; targets Tier III–VI markets. #### **4. Investment Banking & Merchant Banking** - Operated by **Choice Capital Advisors Private Limited**, a **SEBI-registered Category-I Merchant Banker**. - Services: IPO advisory (Main Board & SME), rights issues, M&A, valuations, private placements, buybacks. - **Active IPO Pipeline**: Four Mainboard IPOs in FY25–26; tentative fundraising target of **₹6,500 crore**. - Advised on **five IPOs in FY25**, including oversubscribed **Vishnu Prakash R Punglia Ltd. (87x)**. - For FY2025: - Revenue: ₹4,771.44 lakhs (up from ₹2,190 lakh) - Profit before tax: ₹2,729.95 lakhs (up from ₹801.65 lakh) #### **5. Insurance Distribution** - Operates on a **POSP-led B2B2C model** with **40+ insurance partnership**. - Offers retail (life, health, motor) and corporate (project, infrastructure) insurance. - **Key Metrics (Aug 2025)**: - 84% lead conversion rate - 69% renewal ratio - ₹64 crore premium in Q2 FY25 (31% YoY growth) - Developing **home & appliance** and **small-ticket health insurance** products for affordability and inclusion. - Collaborates with **Government of Maharashtra** on **Gopinath Munde Shetakari Accident Insurance Scheme** (3+ crore farmers covered). #### **6. Government & Infrastructure Advisory** - Delivered through **Choice Consultancy Services Pvt. Ltd. (CCSPL)**. - Engaged in **PMU setup**, project monitoring, DPRs, revenue augmentation, and PMAY implementation. - **Key Clients**: - Central & state government departments - World Bank, ADB, NABCONS, NHAI, Jal Jeevan Mission - **Recent Wins**: - ₹63.5 crore Maharashtra project (Chhatrapati Sambhaji Nagar) - ₹67 crore Bharat Net digitization in Bihar & Karnataka - Partners with **500+ Urban Local Bodies, 25+ state departments, 10,000+ Panchayats**. --- ### **Technology & Innovation: The Digital Backbone** #### **Choice Techlab / Choice Tech Lab Solutions** - In-house technology arm with **200+ engineers, data scientists, and cybersecurity experts**. - Develops and maintains: - **Choice FinX (Super App)** – unified investment platform - Loan origination systems - ERP, data science, and AI/ML models - Infrastructure: - 400+ microservices - 137 million API calls/day (peak) - 99.9% uptime - Hybrid AWS/on-premise Kubernetes with CI/CD - Implements **cache-first architecture (90% hit rate)**, achieving **50% infrastructure cost savings**. - AI Platforms: **Telelyzer, FellX, Optima** – for behavioral analytics, lead scoring, and investment advice. #### **Choice Connect: The Distribution Engine** - Wholly owned subsidiary of Choice Equity Broking. - **B2B2C digital platform** enabling individuals to become financial advisors. - **"Phygital" (physical + digital), asset-light, partner-first model**. - Supports: - Zero-cost onboarding for agents - Proprietary AI tools, training, multilingual support - Cross-selling across broking, insurance, mutual funds, loans - **Network Growth**: Over **58,000 Choice Business Associates (CBAs)** (up from ~30,000 in 2022). - Plans **100% digital agent onboarding** and national expansion. --- ### **Recent Strategic Moves (2024–2025)** | Initiative | Details | |----------|--------| | **Acquisition of Arête Capital** | Added ₹5,151 crore AUM; strengthened fixed income & HNI advisory capabilities. | | **Acquisition of Fintoo Group's Distribution Business** | Includes Mihika Financial Services and Mihika Insurance Marketing LLP. Cost: **≤ ₹15 crore**. Enhances wealth tech & client base. | | **Acquisition of Paisabuddy Finance & Sureworth Finance** | Expanded retail lending footprint in Rajasthan and MP. Increased AUM by 75%. | | **In-Principle SEBI Approval for AMC** | Paving way for in-house mutual fund products. Will launch proprietary schemes. | | **Launch of FinX Super App** | Single platform for stocks, MFs, insurance, loans, bonds. "One Customer, One Platform" vision. | | **New Product – Strategic Investment Framework (SIF)** | Lower-threshold PMS-like product (₹10 lakh min.) to attract mid-tier HNIs. | --- ### **Financial & Operational Highlights (FY25 & Q1 FY26)** - **Revenue Growth**: 21% YoY - **Profit After Tax (PAT)**: 24% YoY growth - **Multi-Year CAGR (Past 4 Years)**: - Revenue: **52%** - EBITDA: **70%** - PAT: **77%** - **Geographic Reach**: - 211 branch offices & 49 project offices - Strong presence in Rajasthan (57 branches), followed by Gujarat, Maharashtra - Target: Presence in **every Indian district by 2028** - **Team**: 5,000+ employees, including **240+ in-house technologists** --- ### **Client & Market Focus** - **Young Clients**: 52–57% aged 19–35, tech-savvy, higher digital engagement - **Rural & Semi-Urban Focus**: 68% of clients from Tier III and below - **Financial Inclusion**: A core mission, supported by POSP model, CBA network, and digital platforms - **HNI Focus**: Enhanced through PMS, AIFs, SIF, and institutional-grade advisory --- ### **Expansion & Growth Strategy** - **Organic Growth**: - Opening **14 new branches** and **45 satellite offices** in 2 years - Expanding into all **Tier 3 cities** by 2026 - **Inorganic Growth**: - Acquisitions in wealth, insurance, and NBFC space - Integration of acquired teams and tech platforms - **Global Expansion**: - Channel partnerships in **Middle East, UAE, and Southeast Asia** - ‘Jiffy Global’ enables trading on **25+ global exchanges** via Interactive Brokers --- ### **Regulatory & Compliance Standing** - Regulated by: **SEBI, RBI, IRDAI, AMFI, NSE, BSE, MCX, NCDEX, CDSL, NSDL** - Subsidiaries include: - Choice Equity Broking (Broking) - Choice Capital Advisors (Merchant Banking) - Choice Insurance Broking - Choice Finserv (NBFC) - Choice Wealth (MF Distribution) - Choice Techlab (IT) - Choice Consultancy Services (Govt Advisory) --- ### **Key Differentiators** 1. **Tech-Led Fintech Ecosystem with Human Touch ("phygital" model)** 2. **Nationwide Rural Penetration via 58,000+ CBAs** 3. **Vertical Integration**: From advisory to execution, in-house tech, and product creation 4. **Unbiased Advisory**: Conflict-free model through independent distribution 5. **Priority Sector Focus**: Aligned with government financial inclusion goals 6. **Proprietary Platforms**: FinX, Choice Connect, Choice Money, Investica, Neuron (backend)