Seventh Episode of Crafting Bharat Season 3 Highlights Wealth Management Innovation
The seventh episode of Crafting Bharat Season 3, presented by AWS Startups and produced by NewsReach in partnership with HT Smartcast, features Sandeep Jethwani, co-founder of Dezerv. Hosted by Gautam Srinivasan, consulting editor at CNBC India, CNN-News18, Forbes India, and The Economic Times, the episode delves into how digital transformation, AI, and risk awareness are redefining wealth management in India.
Jethwani shared insights on how cloud technology, particularly AWS, powers Dezerv's platform, which tracks over Rs 2,50,000 crore in assets. He emphasized the importance of focusing on risk before returns, a philosophy shaped by market crises like 2008.
From Wealth Manager to Founder: Lessons from Market Downturns
Jethwani explained that true wealth managers are forged during downturns, not bull markets. He highlighted a unique question Dezerv asks clients before investing: how much are they willing to lose? This approach, though counterintuitive, helps build portfolios aligned with clients' risk tolerance. During the 2008 crisis, many investors exited at market lows, locking in losses permanently. Jethwani stressed that understanding downside risk is crucial for long-term wealth creation.
Shifting from Traditional Bank RM to Digital-First Platform
Dezerv's model moves away from the traditional bank relationship manager (RM) setup, where RMs handle multiple products like banking, loans, and insurance. Instead, Dezerv's RMs focus solely on portfolio management and client engagement, using video-based communication for personalized service. This digital approach allows Dezerv to serve clients across hundreds of locations while maintaining strong relationships.
Managing Volatility and Investor Behavior
Volatility is inherent in markets and enables returns, Jethwani noted. Wealth managers have two key responsibilities during uncertain periods: getting asset allocation right and maintaining consistent communication. For instance, if a client can tolerate only a 10% decline, allocating more than 40% to equities may be unsuitable. Dezerv helps clients visualize downside scenarios in advance, aligning expectations and behavior to build suitable portfolios.
Scaling Wealth Management Tech Stack with AWS
AWS has been a key partner in Dezerv's journey, particularly in re-architecting data structures. Jethwani emphasized that AI and advanced technology require a strong data foundation. Legacy systems are often difficult to scale, so Dezerv invested in modern data architecture. AWS provided credits and guidance during early growth, and today the AWS stack supports portfolio reviews, the One Model platform, and client reporting.
According to Jethwani, "True wealth management lies in combining human judgment with technology to guide investors through every market cycle."
Stay tuned to Crafting Bharat Season 3 for more inspiring entrepreneurial stories with Gautam Srinivasan.
