SBI to Launch Major Initiative for Gen Z by Combining FDs and SIPs
Under the leadership of Chairman C.S. Setty, the State Bank of India plans to launch innovative products, including a combination of recurring deposits and SIPs, to attract Gen Z investors.
The State Bank of India is set to introduce several innovative products, including a combination of recurring deposits and SIPs, aimed at attracting Gen Z investors, according to Chairman C.S. Setty. These offerings are designed to meet the growing financial literacy among customers.
As financial literacy increases, customers are seeking innovative investment instruments, Setty stated in an interview.
"Nobody wants to invest everything in risky or speculative assets... Banking products will always remain a part of their investment portfolio. Therefore, we are working to create products that will resonate with them," Setty quoted.
"We are aiming to innovate traditional products like recurring deposits, which essentially function as conventional SIPs. We may combine fixed deposits or recurring deposits with SIPs into a digital combo product that is easily accessible," he added.
Discussing SBI's future goals, Setty stated that the bank aims to become the first Indian financial institution to surpass the Rs 1 lakh crore net profit milestone within the next 3-5 years. It's worth noting that SBI achieved a standalone net profit of Rs 61,077 crore in FY24, reflecting a growth of 21.59 percent.