Thank you so much, Renju. Good afternoon, and thank you, everyone, for joining the earnings conference call for the fourth quarter of the year ending FY '26.

We today have with us the Group CFO, Mr. Jugal Mantri; the CFO, Mr.

Rajesh Ji Bhutara; and the Head Investor Relations, Mr. Vishal Ji Sanghavi.

First, I would like to share some good news with all of you. As of yesterday's date, we have crossed 1 lakh crores of AUM post the recent positive movement in the equity markets.

Of course, this is a five-digit crore number, we were very intrigued to see when we would reach there. 30th March, which was the year-end number, recorded Nifty at an unusual 22,313, we were intrigued to see when would we meet our 1 lakh crore guidance which we had given for the last year.

Unfortunately, we didn't meet it on the 30th March number. We checked it; now we have reached the 1 lakh crore number.

Also, we've just given out the press release as well because this was one of our guidance. As a part of our policy to reward shareholders, the board has approved the bonus issuance of 1:1 and has declared a final dividend of ₹7 per equity share, both subject to shareholders' approval.

We continued to deliver another quarter of consistent performance and one more indication which we had given to our shareholders that we will try and deliver market-agnostic performance, which seems difficult in a financial services firm, but actually, it's reasonably easy in our judgment. This is our 18th quarter where we have been able to declare PAT growth Y-o-Y greater than 20%, which is again a rarity in NSE 500.

We are one of the very few which can be counted on a fingertip of how many companies have been able to achieve that feat. Of course, 18 quarters is too little to be able to see consistency, but yeah, I'm sure and hopeful that over periods of time, if God is kind and clients are kinder, we'll be able to do that.

The mean of the year-on-year growth of our last 16 quarter profits has been 32.2 with a median of 33.2 and a standard deviation of our PAT growth, which in our judgment is a very good barometer of consistency of PAT growth for the 16 quarters, last 16. We have, of course, excluded the first two because it had the base effect of a lower COVID year.

We might be one of the few companies in the world who measure the standard deviation of their PAT growths declared. Again, let me give you my disclaimer that 16 quarters is too little statistically.

My teacher used to tell me that you need to have 30 data points to call it a large sample, 14 more quarters to go. Excluding the impact of fair value gains on the ESOP expense and the related tax effects for FY '26, our total revenue grew by 22%, and we ended the year at 1,198 crores with a PAT growth of 28% for the year, ending at 386 crores against the 375 guided.

We have given FY '27 revenue guidance of 1,415 crores and a PAT guidance of 460 crores. Again, going with the principles which Rakesh Sir, Rawal, and Rathi Ji has always taught, and every elder in the company has taught us, that undercommit, overdeliver.

Under the same principle, we're guiding you 11 1,415 and 460 for PAT, and 1,20,000 crores of AUM for the year ending FY '27 is our guidance. Then coming to the net flow of last year grew by 7% only.

13,457 crores is what we collected new, thanks to our clients who have been very generous to give us more money during bad times. In our flagship wealth management business, in the last 12 months, we have added 1,600 new client families on a net basis, bringing our total number to 13,395 individual families.

Client attrition rate in terms of AUM lost for FY '26 is 0.54% for the full year. Of course, there should be hardly any attrition, and we always aspire to have not even a single client family to be upset with us to leave, but 0.54 is a number which we want to see at zero.

Digital wealth business, which is a B2B2C business, registered an AUM growth of 22% year-on-year to 22,118 crores, and the number of clients increased by 17 17% to 7,106. The OFA business, Omni Financial Advisor business, which is a SaaS platform, has 6,906 subscribers with a platform assets of 1.47 lakh crores for the year ended 31st March 2026.

Here I stop my monologue and invite our Group CFO sir, Mr. Jugal Mantri, to take this conference forward.

Jugal Sir? Yeah.

Thank you, and good afternoon, everyone. Let me give you all brief about Q4 FY '26 consolidated financial performance followed by full-year FY '26 financial numbers.

Excluding fair value gain on investment, ESOP expenses, and related tax effects, our consolidated total revenue for the Q4 FY '26 stood at ₹302 crores compared to ₹241 crores for Q4 FY '25, registering a 25% Y-o-Y growth. Profit after tax stood at ₹92 crores, depicting a 25% Y-o-Y growth compared to ₹74 crores in Q4 FY '25.

Profit after tax margin remained flat at 30.5% for Q4 FY '26, which was at the same level in Q4 FY '25, too. The reported numbers, that is including fair value gains on investments of ₹54.6 crores, ESOP expenses of ₹39.3 crores, and the related combined net tax effect of ₹3.8 crores, total revenue for Q4 FY '26 was ₹356 crores, showing a growth of 47.6%, and PAT was ₹103 crores, showing a growth of 40%.

Now let me give you all brief about full-year FY '26 financial numbers. Excluding fair value gain on investment, ESOP expenses, and related tax effects, total revenue for FY '26 stood at ₹1,198 crores compared to ₹980 crores in FY '25, registering a 22% year-on-year growth.

Mutual fund distribution revenue also grew by 22% Y-o-Y to ₹494 crores in FY '26. Profit after tax also grew by 28% Y-o-Y to ₹3--

Profit after tax margin improved from 30.7% in FY '25 to 32.2% for FY '26. Return on equity on an annualized basis stood at best in industry at 46.74% for FY '26.

Reported numbers that include fair value gains on investment of ₹54.6 crores, ESOP expenses of ₹39.3 crores, and the related combined tax effect of ₹3.8 crores, total revenue for FY '26 was reported at ₹1,253 crores, showing a growth of 28%, and PAT was shown at ₹397 crores, depicting a growth of 32%. That is the update on the financial numbers.

Over to you, Mr. Renju, to open the floor for a question and answer.

Hi, can you hear me?

Perfect. A couple of questions.

One, I think in the statutory results, there is some discussion around subscription to ARGISL shares. Want to just understand what is the quantum and how much stake do we have now, what valuation this transaction is happening at because I understand this is a group company which is unlisted.

Part B is can you just explain what is the asset sale that is leading to profit being recognized in other income? Third is ESOP at fair value.

A lot of companies issue ESOPs at a discount to CMP, not at fair value, there is a big gap. I want to understand is this ESOP concentrated in KMPs?

Is this spread across the company? Those were the three questions.

Super. I'll take the first part, and then give the valuation part to Jugal Sir.

Okay.

Manas, the 40 crore rights issue subscription of ARGISL from AR Wealth Limited is a rights issue where Feroze as an individual has participated with 94 crores, Rakesh Sir has participated with 56 crores, and the holding company has participated with 270 crores, and the rest of the other group entities might have participated to a sum total of 500 crores. That's the total amount which has been subscribed as equity capital in ARGISL.

Since there was a rights issue, and I think we own close to about 8%, valuation was ₹500 a share. I think I'll leave the rest to Jugal Sir to answer.

Manas, as correctly said by Feroze Bhai, that the company has come up with a rights issue, the NBFC, Anand Rathi Global Finance Limited. Anand Rathi Wealth Limited is holding about 8% in Anand Rathi Global Finance Limited, and it has only subscribed to its entitlement.

The total issue size, it was ₹512 crores. Eight about 8% of that, that was 40 about ₹40 crores, that has been subscribed by Anand Rathi Wealth Limited just to continue to hold its holding in the NBFC at a price of ₹500.

Since it is a closely held company, the whole issue got subscribed by the promoter and the KMPs in the group companies as named by Feroze Bhai. Now coming to the revaluation of the assets, so as the company continue to hold stake in Anand Rathi Global Finance Limited, but every year, there is a accretion in the net worth of the company as well as the book value is also going up.

To be at conservatism, the stake value has gone up of whatever holding which Anand Rathi Wealth has in Anand Rathi Global Finance Limited, and the value has gone up by ₹54.6 crores. That is the amount which has been booked under fair value change.

Now coming to the ESOP, the company do not follow any practice of issuing ESOPs at the discount value, discount to the market price. In fact, the ESOPs have been issued the grant as well as the vesting will happen at the market price only.

Still we will have to take the hit, and that is why on account of that, in this Q4 FY '26, the company has taken a hit of ₹39.3 crores. Employee cost has gone up by that amount.

This is the explanation to all the three questions which has been put by you, Mr. Manas.

If you need any further detail, you can get in touch with Rajesh or Vishal. They will give you the exact last digit number on these three things.

Manas,

go on,

go on. One little clarification.

It gets issued at face value like we have in the previous couple of instances. We generally don't follow a policy of ESOP.

If you look at the 2018 ESOP policy, you will get a full judgment of what's our practice. That's consistent with what we had done in 2018.

Understand that. Understand that.

Typically unlisted companies do issue at face value. My question was a lot of listed companies issue closer to CMP.

That's okay, I'll look at it, and I'll discuss offline. On the profit--

One second, Manas. One little clarification to each potential or a current shareholder, we don't do anything because it is popular to do as a matter of principle.

Okay? We generally follow a de novo policy on all our HR practices.

For example, on our HR practices, we have several of our RM's children joining us, okay, spouses joining us. There could be several listed companies who have a policy that one of you have to resign if you fall in love at work.

Anything we do is not because these are popular practices. Whatever is compliantly right, we generally do as per our HR policies.

At best you will find some inspiration from HUL because Rakesh Sir used to work there.

Understood. Just one more thing, the revaluation gain that we've booked, we've not sold ARGISL shares, this is just mark-to-market, is that accurate?

Yes, that is accurate.

Okay. Okay.

Hello, everyone.

Mr. Mathur, please go ahead.

Sure. Congratulations, everyone, for a fantastic result.

My question is specifically for Feroze. I was just going through the investors presentation, the latest one, and I came across this slide which talks about credibility marathon.

If you could just throw some light on that, I think would help me understand it better.

Yes, Naveen. Yes, we have included one interesting slide emanating from a few questions which came when I was speaking to a few industry CEOs who want to potentially someday build a very strong wealth management franchise.

We said why don't we make that public information of what has been our learning so far of what we learned from our mistakes. The slide will say it is not a capital race, it's a credibility marathon.

Quite a few wealth management outfits are wanting to be built and have been in the past every couple of years there's somebody who's wanting to build a wealth management business very quickly. There are six learnings which I've put on that slide.

I'll just explain briefly. Wealth management is not a capital business.

A relationship manager cannot handle thousands of clients. The business is actually a linear business, not an exponential business.

It's not a capital business, and quite a few think otherwise. Second important learning we had in our journey is it's not a business of speed.

You can't build this business so fast. It's about patience and time rather than speed.

Third, ideally, manufacturing mistakes are very, very scarring to a franchise. Quite a few people build a wealth management business starting manufacturing on the day zero.

We believe this is a backward integration business. You have to be very careful in terms of manufacturing after building ability.

The third point there is wealth management is a business of backward integration. Distribution is first, manufacturing later.

Transparency with clients, this is some place where if your client doesn't know how much you earn, that's not a brand franchise which is very easy to protect. That's our judgment.

Now there are quite a few wealth management outfits who tell clients that we do advisory, but then when you see their distribution incomes are substantially large, 10 times more than advisory income. You have to be able to tell them that, for example, we earn 1.09% approximately on mutual funds post GST.

On structured products, we earn 1.17 1.8% yield if we have to do the same accounting as mutual funds, and we account that up front. That's transparency.

Relationship managers do not scale like startups. People have this misconception that you hire people at obscene salaries and they will scale up.

If you see, this year 45 RM increase, 78% are people whom we trained from colleges and made them RMs. Lateral hires cannot be a substantive portion of your strategy.

Every leader, this is the toughest part which Rakesh Sir has taken 18 years or 19 years being in this company. Every leader in the company has to be an RM first.

Very tough to achieve, easy to speak. CEO is an RM, Joint CEO is an RM, unit heads RM, team leader is an RM.

Even support functions, product team at least 15, 20 people out of the 163 will be RMs. That's one.

That's what this slide is all about. If anybody wishes to build a wealth management business, these are our six learnings for them to see if they are relevant to them.

That's why we added this slide. Thank you.

Sir, Naveen Sir, does it answer?

Yeah. Thank you.

Thank you, Feroze Sir. That helps.

Thank you for this opportunity. Congratulations on a five-digit AUM number.

I have a few questions. First is this quarter, we saw an ESOP cost of 39.3 crores.

Can you help us understand how ESOP cost could trend over the next few years? Sir,

how I would like to look at it is 460 crore ki jo projection

hai na,

that is incorporating all my projections. Undercommit, overdeliver is the principle.

Do we go too much in detailing? Of course, you can write to Vishal Ji.

I have always on this call said, if you wish to understand the total number, I can give you. 460 is the guidance, right?

Yeah.

That does not include ESOP. Vishal Sir corrects me.

Should we guide that as well? Yes, how is the projection?

I don't know the projection, but yeah, we can give you that specific projection. Hold on.

Is it okay if you can be patient?

Jugal Ji,

if you have any projections, we can give. Yeah, 460 is our PAT guidance before any of those adjustments.

As we have been reporting the number excluding the exceptional item like ESOP as well as on fair value changes, the guidance has been given excluding these provisions.

Got it. Thank you.

I have another question on issuance. Can you help us what was the primary and the secondary issuances for this quarter in MLD?

Jugal Sir, you might have those numbers.

See, the gross issuances in this quarter was ₹1,895 crores compared to ₹1,815 crores in Q3 FY '26.

Got it. Secondary one?

Secondary was ₹1,101 crores in Q4 FY '26 compared to ₹716 in Q3 FY '26.

Got it. Thank you.

Just last question, a few quarters back, you highlighted that we have been selling third-party products on our platform, can you help us understand how much for this quarter we got from third party?

In Q4, it was ₹168 crores.

Yeah.

For Q3, it was ₹213 crores.

Thank you. That's it from my side.

Okay. Thank you for your question, sir.

Thank you, sir, for giving the opportunity. Sir, I just wanted to ask two questions.

On the first one, we make around 1.09% yield on mutual funds, right? With the new SEBI TER structure by SEBI which is effective from 1st April, will this yield be impacted?

That is the first question. The second question maybe on similar lines if you look at the mutual fund industry, maybe top five or top 10 AMCs, how much they account for in our total mutual fund AUM portfolio and have they come for any negotiations regarding the distributor payout?

These are the broader questions, sir.

Sir, I missed your name. Can I know your name again so that I

Niranjan, sir.

Niranjan. Niranjan Sir.

Do AMCs come for negotiation? The answer is yes.

Do I see any material change in 1.09? Not significant.

Like we've guided, we are at the fag end of any cycle. Like 2016, we went all trail before SEBI made it mandatory in 2018.

That's something which I take pride in till date because we were the first one who voluntarily said, "Mujhe upfront income chahiye hi nahi." That's one.

If you ask my personal opinion, where are we in the cycle of change, because there is also a direct, right? The squeeze jo hona tha, ho chuka.

Ab squeeze agar hoga, do char panch paise ka ho sakta hai, kabhi bhi ho sakta hai. Utna to Trump Sahab kar dete hain hamare liye kamal, market move karke.

Right? It's not going to be materially different, is the point being made in terms of trail incomes.

Yes, to answer your question, do large AMCs come for a negotiation? That jugalbandi is a permanent affair for Shweta Madam Rajani, who's the mutual fund head for long periods of time for Anand Rathi Wealth.

Does it answer, Niranjan Sir?

Sir, got it. Just to confirm, there will be an impact of 2 to 4 basis points.

Did I get it right or because of this TER structure or you are telling it will be maybe on

Sir, for an AMC, it might be very important to see what percentage bips change. For a wealth management outfit, 2, 3, 4%, I don't know the change in bips or will there be any.

Right? Will it be significant?

No, because if an AMC is making 25 bips, 3 paisa is 12% of their revenue. Right?

If this is one portion of my revenue, in that if it is on a base of 1.09, it's even smaller. 3 paisa on 1.09 is 3%.

3 paisa on 30 bips is 10%. If 40% of my revenue comes as trail, then it is 3% of that 40%.

Do you understand the two level base effect is what I'm trying to say, it is not significant enough for me to be worried about my PAT growth for the next 4, 5 years. Does it answer, sir?

Got it, sir. Thank you.

Thank you so much.

Let it be 2 bips, 3 bips. I think Shweta Rajani is a very strong lady, and I've worked with her for 20 years.

Yeah. Am I audible?

Good afternoon, everyone. My name is Shubham, and I want to start by congratulating the entire management team and Anand Rathi Wealth team on a truly consistent performance this year.

I have two questions, Feroze Sir. Firstly, on the guidance.

The company has consistently guided and delivered around 20 to 25% long-term

PAT growth.

You have beaten your own guidance every year. For the financial year '27, the PAT guidance of around 460 crores roughly is around 18-19%, which is a bit lower than the stated range, like 25%.

Is there a specific reason management is being more conservative this year? Or is it more around the market conditions, global uncertainty, or perhaps the base effect getting larger?

Second question is more around the net inflows. The 13,450 crores of net inflows, I think, grew in the 7% year-on-year basis.

How does management think about the inflow growth in financial year '27?

Is On last year guidance, 375, then it'll come into that range of 22%. Rakesh Sir has guided for long periods of time the 20 to 25% range, unless God has other plans.

This seems intact, and we work on a plan of not 2026, we work on a plan of 2031, which is 5 years hence, because most of our structured products have a roll over option now. So 99% of our business comes with a rollover ka pravdhaan.

That implies agar client saab ko agar paise nahi chahiye, to wo roll hote hain. Coming back to your question, we will, of course, always keep that principle in mind with the sadbuddhi which has been given to us that we will undercommit, try our best to undercommit and deliver.

You're absolutely right, 18-19, that was a round figure to do 460. On a 375 base, you will still be in that range of 20-25.

That's one. The second question is net flow.

Any number which can become a negative integer has to be seen very differently. I repeat, net flow can be a negative one as well.

Most numbers which come like PAT numbers could be negative. Revenue numbers can never be negative, right?

At worst, you don't make money. You don't lose money.

Revenues can't be. This number, net flow, I'm happy that it is 7%.

Of course, would I be happy if it is 10% growth? The answer is yes.

What I am happy about as a professional is that in a year or a quarter like last year, last quarter, we got monies. People lose money also, right?

Today, if you see industry's net flows ex-SIP number, today AMFI has given the number just now, 32,000 crores is the SIP number. Last month, if you remove the SIP number, the net purchase was negative in equity, three category active funds.

Coming back, is 7% something to write home about? Answers big no.

What we do at Anand Rathi is we put our own self-governance. Let me give you an example.

We had a large inflow coming off a promoter equity, which promoter said that I might consider aligning it to your strategy. That 1,000-plus crores is not counted in my net flow.

Do you understand how much of self-governance is needed to show 3,356? Is that the number, Vishal Sir?

For net flow? Right?

When we also had some reasonable transfers, but we thought we should not count them, never count the chickens. To answer your question, 7% is nothing to write home about, but I'm very happy that we bought equity in the last quarter where everybody was so depressed.

We had one of the best months, which is not given as a split. We had one of the best months in March.

I will not throw a number because they're not published. Does it answer, sir?

Yes, yes. This is helpful.

Thank you.

Thanks for the opportunity to ask again. I will again ask on the ESOP.

One part of the question was not answered, maybe missed out, I just want to check. Is the 40 crore ESOP spread out across the company, is it concentrated in KMP?

I'll clarify why I'm asking. Stock options are a retention tool, and that is why they're given at CMP usually.

There's nothing barring companies from issuing it at face value, but the gap between face value and CMP essentially is a free gift today. You ideally want to give it at CMP so that future growth in the company is shared with employees.

That's why my question is.

Yes. This is with KMP, Rakesh Sir and me, to be more specific, if I'm not wrong, and it is in the public domain already.

Understood. All of the 40-odd crore See,

these shares were are going to be ESOPs are going to be issued at the face value, okay? That is why there need to be the hit, the P&L hit is to be taken where the differential amount of the market value as well as on the face value, that hit has to be incorporated.

That is where you see the ESOP hit has been included in the employee cost, and it is as per the EGM and the resolution which is already passed in the past.

Understand the accounting. I am still not convinced on the classification as one-off, and the other thing is whether it should be at face value or not.

That is for the company to decide, it's okay. Thank you.

Thank you.

Manas is very unhappy that I got a gift.

No

worry, Manas, I'll do justice to this gift, don't worry. Relax.

Am I audible?

Hi, thanks for the opportunity. Just one question from my side.

In an increasingly competitive wealth management landscape with the banks and neo-age platforms scaling rapidly, what do you believe is your most defensible moat and how are you strengthening it over time?

What is our moat, right? Is that the question, sir?

Correct.

Everything is a moat. Like six things which I read out to Naveen are a moat.

Is there any wealth management outfit wanting to create a culture by hiring people and designing their minds to not sell products which are not good, and they don't buy it themselves, that's a moat. Second, creating a process-driven company is a moat, right?

Getting private bankers to do what is right for the client and follow the process is not an easy task. Has to be built brick by brick when Rakesh Sir hired the first Divya in 2008 and started building it.

We built it brick by brick, culture is designed, not soon. A third, we don't sell all products.

We are not a pharmacy. Pharmacies have medicines, generic medicines on the counter of any pharma company.

We first decide what will we buy and only sell that which is mathematically correct on the basis of the chronological order of Sharpe ratio. Our HR policies are entrepreneurial.

Feroze, if he's no more, God forbid, then my son can become an RM if I qualify him enough that he's ready to take the Anand Rathi wealth brand to the marketplace without compromising the delivery of the brand created by them. Everything which we do is de novo.

We are not product sellers. Aim to RMs, right?

I have 450 people I'm training. From 2016, '17, we're training people for 2026 promotions.

21 promotions, 4, 5 years of training, right? Is that a moat?

That's a moat. Calculating Jensen's alpha for clients, which is nothing but the extra return over risk-adjusted measures.

Jensen's alpha koi measure nahi karta. Right?

We did a survey with 6,000 client HNI families. They said, "We want risk-adjusted return."

Let this sink in to everyone who's on the call. We did a 6,000 people survey, not one or two families.

They at least own 1 lakh crores or 2 lakh crores put together. They say the first thing which we want from a wealth management industry is risk-adjusted return.

Which wealth management outfit is measuring risk-adjusted return in any of these four measures: Jensen's alpha, Treynor's, Sortino, and Sharpe? These are the four I know as a finance student.

Nobody is measuring it. Now if you ask my client, what is his Jensen's alpha?

He'll tell you 5%, 7%, 8%. I see a 1,000 crore portfolio with my competitor which has negative Jensen's alpha, and the client has not measured it, the wealth manager has not measured it.

Right? People are selling debt saying that interest rates will come down, you will make money.

Right? Interest rates went down, repo went down from 6.25 to 5.25.

10-year G-sec went from 6.8 to 7. People lost money in spite of going wrong on repo.

Finance is lacking, marketing and sales is more. That's a moat.

Right? Every step, we're trying our best to do what is right for the client.

The chronological order in which we arrange the three stakeholders: our colleagues, then client, and then comes shareholder. If colleagues are not happy, they will leave or they will be so sad that they can't make a client happy.

If the client is not happy, shareholder can't be happy. We as professionals never would want to make our shareholder directly happy.

If we have made our people happy, they can make client happy. If both of these guys are happy, the shareholder will be happy.

Most people want to make the shareholder happy directly. Right?

I'm not so bothered about what the shareholder has to say about how portfolio should be created. Quite a few people said you have only two revenue streams, you are the riskiest business to buy, but it's okay because if the client doesn't need a PMS, he doesn't need an AIF in my judgment to produce a 4-5% Jensen's alpha, which is best in class, I don't have to sell the fourth or fifth product.

Okay? All these are moats, sir.

Yeah. Thank you, sir.

That's it from my side.

Yeah. Thanks for the opportunity.

Congratulations, Feroze and entire Anand Rathi family. Thanks for a super FY '26.

Wonderful thing, sir, just the numbers, we're 400 RMs, 13,000-plus clients, and the AUM per RM about 226. All the points you mentioned about the moat are clearly there.

Now the thought which I have is the next level of growth. Sir, what I want to share here is more of a suggestion, not more of a question, is that we have a track record of delivering this kind of Jensen's alpha.

How about approaching global institutions as our client prospect? The thought which I have is because there writing a $10 million check for our kind of a track record will not be something which will be very huge for them.

For us, if we can showcase this kind of a product and try to address the global institutes, that can be a huge leg of growth for us as a company. If we can showcase ourselves in the world market as a wealth management firm delivering this kind of returns, this kind of track record of low attritions of clients, low attritions of colleagues at work, all of those, and approach them.

I'm not sure if you are doing, we have done it, or we are working or thinking about it. If you could share me something on these lines or look upon it in future.

Feroze, that was my thought to just reach out to you on this call today. Would like to hear you.

Sunil Sir, I am always grateful for the suggestions you've given in the previous earnings calls, and they're very, very invaluable to the rest of the shareholders as well. Of course, anything coming from you would be taken with utmost seriousness.

Having said which, we have had a certain thought process of saying how do we want a client segment. That's what Rakesh Sir had said that don't go to the really rich ones, go to those guys who actually will respect math.

I'm sure the foreign institutions who can cut large checks. This has to be a great, intense debate with Rakesh Sir, but this is definitely a growth opportunity which you are highlighting.

Very high growth also scares us, let me confess, because I want to consistently grow rather than grow 1 year 40% and then I have a higher base to grow. I'm just telling you the internal debates for the last 7, 8 years except the COVID year, we have not worked for the last 5, 7 days, again let me confess.

We have done offsites, RMs are outside like we were in Vietnam, last year we were in Thailand. One, we'll take your suggestion very seriously.

Rakesh Sir has been very, very clear and mathematical because he comes from a FMCG background. He says if you have clearly segmented your clients very well, you will be able to bring predictability in your business.

Point taken, sir. If I give any comment which is contrary to Rakesh Sir's belief on this one, I will not have a job.

Manas can save some money.

Sure. Appreciate the thought.

Just I was looking at the numbers. Now we have almost 28-29% of our clients whose average ticket size is more than 50 crores and above.

So 50 crores and above kind of a ticket size for a client is like an institution in itself. That's almost 29% of our business.

We have obviously migrated them from being an HNI to an ultra HNI for sure, but we are currently doing similar kind of work. That was the thought.

That's the only piece which I wanted to share, Feroze. Yeah.

Thanks. All the best.

Yeah. Brilliant suggestion.

Brilliant suggestion. Having known Rakesh Sir's possessiveness in the segment we operate is why I said that's beyond my even commenting capability.

That's how well he has governed that one topic. That's why of course, it's a brilliant suggestion, and I'm sure Rakesh Sir will consider that.

I was just saying that commenting there would be on record, and I would be bad thing. You're absolutely right.

Now that you've alluded to the platinum segment, and you also said that we have home-grown large clients, one thing which is changing dramatically is, I'm just telling a shareholder, now quite a few large clients are going to our website and saying, "We want to reach out to you." It is surprising that people with 400 crores are reaching out, 500.

I did one meeting in Gurgaon. We've never seen these green shoots of people who need a service of wealth management reaching out to us and uncomplicated, appealing to a large guy.

That's one thing which I should say. When we actually started this platinum segment, there were 32 clients or 33 clients when we identified this whole ballooning.

Now we have almost about 211 families. Because you have a platinum segment, quite a few people who are on the borderline are wanting to give us a little more money and come into the platinum segment, which has got a strong proposition of generating 1, 1.5, 2% extra Jensen's alpha by using more concentrated finance.

Because like you said, Jensen's alpha, we use three, four very publicly available Nobel Prize-winning formulae: the Black-Scholes pricing model, inefficient market theory, and Capital Asset Pricing Model. We use these.

That is what is producing Jensen's alpha rather than that. Platinum segment mein aur log jud rahe hain, aur jo borderline hain, koi ₹35 crore pe hai aur unke 20 crore bahar pade hue hain, wo keh rahe hain main tumhara platinum banne ke liye tayar hoon.

You will see my projection of the platinum number of clients in the next 2 years is about 450 to 500. You're so right, we're already in the segment from a size standpoint.

From behavior standpoint, people behave very differently as a corporate entity. I have gone to so many corporates and got them to redeem the liquid fund if the CXO was dealing with us, and said that, "Sir, ye corporate ka paisa hai."

We will debate that, but this will not go by the wayside, I assure you, Sunil Shah.

Thank you so much, Feroze Sir and everybody in the team. Thanks so much for doing great job.

Thank you. All the best.

Hey, Feroze. Congratulations on another great result.

It's very evident that you're a people's company. Therefore, you've really contained the attrition, but it looks like last year it's bumped up a little.

I'm just trying to understand if that has any kind of impact on the business.

Sir, I missed your name, sir.

Manav. Manav.

Okay. Manav Sir, you have identified rightly.

In FY '24-'25, we had two people leave. They had 2,000 295 crores of assets under management on the date of resignation.

One resigned on 17th March last working day was 17th March 2025, and one guy had 30th December '24. These were the only two attritions in FY '25.

We retained 203 crores out of the 295 crores, which is 69%. Why am I going back to FY '25 '24-'25?

Because that's how we see it as a department. Now in FY '25-'26, we had six people leave, and on the date of Seven people, I'm so sorry.

Vishal Sir corrects my eyesight, I'm having the sheet in front of me. Seven people left, and they on the date of resignation had 1,212.8 crores.

Without the market movement, we have 987 crores with us of the same families whom these seven were managing. That is 987 crores is with us, 81% retention.

So 69% retention went to 81% client retention. Clients in a wealth management outfit, in my experience, leave for two reasons.

One is product failures, like in ABN AMRO, I sold a cinema fund, I lost three clients. I sold an art fund.

I sold a wine fund. Selling products sometimes which bomb, people leave.

The other is RM attrition. RM attrition could create.

We have seven, but that's not a trend. We have some of them, like I had told in the previous quarter, were cultural misfits, we had to let go.

Some of them are actual genuine regret attritions. Is it a one-off?

I guess it's a one-off, but 81% of those clients' assets are with us, RM assets are with us without the AUM movement of market.

Okay. All right.

That's far more comforting. Thanks.

Yes, am I audible? Hello?

Feroze. Just wanted to ask, because Anand Rathi Wealth has subscribed to the rights issue of ARGISL, can you tell what is the ROE and capital adequacy ratio of this NBFC?

Jugal Sir can answer that beautifully.

I don't have that P&L of Anand Rathi Global Finance entity right now. What I'll suggest is Vishal, please note down his number and the email ID and share the same with him.

Okay. Sure.

One thing I can tell you, ARGISL is now Okay, no, let me because provisional balance sheet remember. Done.

Please feel free to write to Vishal Ji.

Yeah.

Because, yeah, still not finalized the March balance sheet, I'm sure. Otherwise, Jugal Sir would have had it on fingertips.

I don't want to shoot in the dark.

Oh, sure, sir.

Hello?

Yes, Vikas

Sir? Sir, I am asking if matlab are we looking to open new branches?

In any particular geography?

We are looking at opening branches, yes. In fact, again let me tell you, Rathi Ji has very good aspiration of having a greater footprint.

If that is our guru's aspiration, should we have more footprint? Yes.

Where will we open branches? We will not open branches on the basis of opportunity only.

We will open branches in those places where we have somebody to send back. I've said this in the previous calls, I'm again saying, let's assume if I was not the Joint CEO, I could have worked from Mysore because Mysore is where my parents live.

If there are people who can go back to their towns and start units there, because Feroze needs to understand Anand Rathi Wealth. Opening an office in Mysore, I can hire few people from some banks which operate there and start an office.

We are reluctant to do that. In our 401 RMs, whoever has their aging parents living in a city or comes from that city, I can't tell you which locations.

Of course, Rajesh Bhutara Sir last time also corrected me saying that these are the other two units you opened. Rajesh Ji, have we opened any other units in this quarter?

No, sir. This quarter, no.

We are not. Ha,

last time maine bhool gaya tha, Coimbatore or koi do location. That's the principle, sir.

Vikas Sir, that's the principle on which we open. As of now, there is an office potential in most of the Tier 2, Tier 3 cities in India.

Getting 40, 50, 70 HNIs who are thinking like you, who are more mathematical about their money is not very difficult. You need to have somebody who can de novo think like Anand Rathi Wealth of not selling multiple different innovative products which are making my clients money experimentally.

Sir, do we look for a franchise partner or open on our own basis if we open a branch?

Always own, sir. Managing culture on a franchise basis is again something which we very passionately feel about.

No, at least at this point in time, as a professional, I can say I don't see a franchise model for years, if not decades.

Sir. Thank you.

Thank you, sir.

Sorry, I was on mute unintentionally. Thank you, Renju.

I'm very grateful to each one of you to join us consistently for the 18 quarters. I'm very, very grateful for the suggestions and the questions which have some learnings for us in the process.

Extremely grateful to spend a Friday afternoon with us. Vishal Sir Sanghavi is our investor relationship head, and Rajesh Bhutara is our CFO.

Rajesh Bhutara again whenever I mention Rajesh Bhutara, I like to highlight that he's finished 24, 25 years in the group. That's what the kind of understanding he has.

Please write to them to get any questions answered. Thank you for all the wishes you gave for the good result.

Please pray for us so that God is always with us and you. Thank you.