Raamdeo Agrawal, Chairman of Motilal Oswal Financial Services Ltd (MOFSL), recently spoke with Nikunj Dalmia of ET Now. Speaking about his returns, Agrawal stated, “if the market remains flat, obviously my return will be coming only from the operation side. But that has never happened before. In the last eight years, my net worth has compounded at the rate of 22.5%. So, there is no reason for me to believe that it will be any different. It can even be somewhat better, in the range of 20% to 25%. Furthermore, the power of net worth is something we have yet to fully realize in the market.”
When asked about the next generation of promoters within Motilal Oswal Group, Agrawal explained that they have joined the business and are committed like himself and Motilal Ji. He emphasized that the foundation of the company is built to last and is not dependent on any particular individual or family. He expressed confidence in their vision and stated that they are an integral part of the company, being groomed for senior roles.
Discussing the challenges and changes in the financial industry, Agrawal mentioned the need to adapt to the evolving landscape. He highlighted the progress they have made over the past 36 years, starting as a sub-broker and now witnessing massive turnover in the market. He acknowledged the rise of online platforms and the need for intermediaries to find their niche and provide guidance to clients. Agrawal emphasized the importance of advisory services, stating that in the complex world of the stock market, many individuals require guidance and support as they navigate their financial journey.
When questioned about being left behind in the digital age, Agrawal asserted that they are as technologically advanced as any other company. He mentioned their digital processes are on par with industry standards and highlighted their extensive network of advisors catering to 96% of pin codes.
Regarding growth prospects, Agrawal expressed optimism, stating that their historical averages of 20% to 25% growth can be expected for the next 5 to 10 years. He emphasized the power of net worth in the financial market and its influence on borrowing rates and deal-making capabilities. Agrawal mentioned that as their net worth increases, better opportunities will come their way, shaping their growth trajectory.