Top 3 factors powering Groww's dominance in retail broking; find out here

Groww has cemented its position as India’s largest retail broker, commanding a 26.3 per cent market share in active clients as of September 2025. 

 

According to Nuvama Institutional Equities, the fintech platform’s remarkable rise has been driven by a potent mix of scale, efficiency, and product expansion – three factors that continue to power its leadership in the online broking landscape.

 

Leading retail broker: Fast-growing client base, volume share

 

Groww’s active client base has grown at a remarkable FY21-25 compound annual growth rate (CAGR) of 101.7 per cent, sharply outpacing the industry’s 27 per cent and AngelOne’s 48.3 per cent. 

 

As of September 2025, Groww commanded 11.9 million active clients with a 26.3 per cent market share – an expansion of over 2,200 basis points (bps) since FY21.

 

Nuvama noted that Groww accounted for 51 per cent and 40 per cent of incremental NSE active clients in FY24 and FY25, respectively, well ahead of AngelOne’s 22.6 per cent and 17.4 per cent. 

 

In the cash segment, its active clients rose 47.7 per cent during FY24-Q1FY26 to 10.3 million, pushing its retail average trading daily volume (ADTV) share up 1,048 bps to 23.1 per cent. Even with a 25.9 per cent fall in F&O active clients, Groww’s derivative ADTV share surged 684 bps to 14.4 per cent, highlighting deeper engagement among active users.

 

Revenue anchored in core broking; margins resilient to F&O slowdown

 

Groww continues to derive the bulk of its revenue from its core broking operations – 84.6 per cent in FY25 and 79.6 per cent in Q1FY26 – higher than AngelOne’s 63 per cent and 60.4 per cent. The company’s granularity in transactions is visible through its lower order intensity (0.6 per client per day in FY25 versus AngelOne’s 0.9), which reflects more retail-oriented, diversified participation.

 

Notably, Groww’s F&O revenue share dropped from 90.2 per cent in FY24 to 62 per cent in Q1FY26, indicating a lower reliance on high-risk derivatives. Nuvama estimates that a 5 per cent drop in F&O orders would impact Groww’s revenue, Ebdat, and APAT by only 2.5 per cent, 4.8 per cent, and 4.4 per cent, respectively – less severe than AngelOne’s 2.3 per cent, 10 per cent, and 5.2 per cent.

 

Low client acquisition cost boosts profitability

 

Groww’s disciplined marketing spend and high organic reach underpin its strong margins, analysts noted. The company spent just 12-12.5 per cent of revenue on marketing in FY25-Q1FY26 versus AngelOne’s 20-22.6 per cent. Despite this, its activation rate exceeded 33 per cent, outpacing AngelOne’s 22.5–27.5 per cent.

 

Customer acquisition cost per client fell to ₹616 in FY25 (₹807 in FY24), compared with AngelOne’s ₹1,014. Even on an activated-client basis, Groww’s CAC was only ₹1,441 versus AngelOne’s ₹6,076. These efficiencies have driven Ebdat margins to a robust 59.7 per cent and a superior FY25 RoE of 49.5 per cent.

 

That said, Groww’s dominance stems from its scale-driven client growth, resilient revenue model, and disciplined cost structure. While new verticals like lending, asset management, and insurance are yet to scale, they provide optionality for future growth – cementing Groww’s leadership in India’s retail investing boom.