Today, we break down India's largest non-banking financial company, Bajaj Finance. Bajaj has a market cap of over $50 billion, which can largely be attributed to the significant growth over the past two decades. One of the headline numbers that immediately caught my attention from Bajaj is that the loan book compounded 40% from 2009 to 2022.

To break down Bajaj I'm joined by Saurabh Mukherjea, the founder and CIO of Marcellus Investment Managers. Saurabh previously joined us for a breakdown on Titan and returned to dive into this specialized lender.

Please note: Marcellus also holds shares in Microsoft and Amazon.

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For the full show notes, transcript, and links to the best content to learn more, check out the episode page here.

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Show Notes

(00:00:00) Welcome to Business Breakdowns

(00:06:00) The Innovative Lending Model of Bajaj Finance

(00:10:18) Origins and Evolution of Bajaj Finance

(00:19:33) The Competitive Edge: Technology and Culture at Bajaj

(00:27:01) Underwriting and Risk Management Strategies

(00:29:26) Exploring Bajaj Mall's Competitive Edge

(00:32:24) Geographical Expansion and Market Adaptation

(00:33:23) Leveraging Mobile Data for Digital Transformation

(00:38:12) Financial Model and Profitability Analysis

(00:40:27) Customer Retention and Business Segmentation

(00:43:23) Strategic Capital Allocation and Growth Plans

(00:48:10) Navigating Regulatory Challenges and Future Risks

(00:56:14) Key Lessons from Bajaj Finance

[Week in China] Making more sense