The country's largest bank, State Bank of India (SBI) is preparing to bring a completely new and unique investment product to attract investors. This new investment product will combine the benefits of RD and SIP. SBI Chairman CS Shetty has hinted towards a new product. He has said that the bank is considering bringing innovative products including a combined product of recurring deposit (RD) and SIP to attract depositors. He said that with the progress of the economy, customers are becoming more financially aware and demanding, and they have started looking for innovative investment instruments. Shetty said that today customers are paying attention to the value proposition, as financial literacy is increasing and the concept of asset allocation is gaining more importance. He said, "Obviously, no one wants to put everything in a risky asset.
Preparation to make RD more attractive
Shetty said that banking products will always be a part of it. Therefore, they are trying to bring products that attract depositors. SBI Chairman said, we are trying to innovate in some traditional products like recurring deposit, which is actually a traditional SIP. Maybe, we can give a combined product by combining both fixed deposit/recurring deposit and SIP which can be accessible digitally. He said that the bank is considering these innovations to popularise deposit products among the new generation. Apart from this, he said that the bank has started a massive outreach program to raise deposits.
Our network is spread across the country
Shetty said, "As I said, deposit mobilisation is a franchise work for us. We have the largest number of physical branches across the country. We are taking advantage of our huge physical reach by starting outreach programs, where customers are contacted. Today, an effort is being made by SBI to reach every consumer, whether they are existing customers or new customers."
