Groww vs Zerodha for Mutual fund & Stock investment – Which is better?

As we move towards a more digitally connected world, many of the traditional activities that we engage in have moved online from offline. One such conventional activity is how we invest our hard-earned money into mutual funds and the stock market.

Traditionally, we have invested in mutual funds via banks, advisors, and brokers, and continue to do so for the convenience of not having to change the way we invest. Today, that convenience, guidance, and safety offered by these traditional channels have been replicated and moved online via trading platforms such as Groww, Paytm Money, Zerodha, ETMONEY, etc.

In this article, we will compare two of the most well-known names in the market – Groww and Zerodha. Groww acts as an aggregator platform that provides the user with one-stop access to various mutual fund schemes managed by different asset management companies. Zerodha, on the other hand, is a brokerage firm moving online to adapt to the changing digital ecosystem.

(Note: In this article, we will be comparing the Groww app with the Zerodha Coin app – which focuses on mutual funds and stocks. Zerodha also has a Zerodha Kite app, which does not allow users to invest in mutual funds and hence, is not covered in this article.)

The following are some key aspects on which we will compare the two:

Groww vs Zerodha – Features

Groww and Zerodha Coin are both great apps and offer a robust set of features for their users. While the Zerodha Coin allows users to search and invest in 40 different asset management companies, the Groww app offers better features, some of which are described below:

Recommended basket of mutual funds (collections): A key feature that is missing in the Zerodha Coin app, the collections feature, offers selections of mutual funds such as “High return”, “Better than FD”, and “Top companies”. This is helpful for users who do not have much knowledge of investing. It guides users to these groups of mutual funds based on their investment goals.

Mutual fund comparison: Another important feature for any user who does not have an idea on which mutual fund he or she should invest in is the fund comparison feature. This feature allows you to compare returns over a period of time and lets you add up to three different funds in an instant.

Dashboards and analytics: Groww has invested well in a team of analysts who provide good infographics on the various options to invest in. The dashboards provide users a historical analysis of their funds’ performances and returns on investments.

Xperts: If users still can’t seem to make a decision, then the Xperts section on the Groww app is helpful to get an expert’s guidance on how to invest. This section contains tips and tricks from some of the biggest names in the industry, enabling users to make a well-informed decision.

Tracking external investments: The Groww app also lets users combine the tracking of external investments along with their current investments. This enables the user to track and monitor all their funds from a single space using the Groww platform. Zerodha Coin, however, does not have this feature as it requires users to create a Demat account with Zerodha, thus limiting the view on the app to just the investments made using that Demat account.

Overall, the Groww app offers a lot more to the users through its analytics and value-added services as compared to the Zerodha Coin app.

Verdict: Groww wins

Groww vs Zerodha – Ease of use

Both Groww and Zerodha offer a simplistic UI that enables users to navigate freely on the app. The Groww app, however, provides some added benefits:

Registration: The biggest differentiator between the two apps is that the Groww app does not need a user to have a Demat account and just needs a user to complete their KYC on the app. Zerodha, however, requires a user to have a Demat account, offering an extra hurdle for users to register and start using the app.

Fingerprint scanner login: Another cool feature on the Groww app is that it allows users to quickly login to the app using the phone’s fingerprint scanner, making it not only secure but also easy to access.

The features mentioned above definitely give the Groww app a slight edge over the Zerodha Coin app.

Verdict: Groww wins

Groww vs Zerodha – Customer support

The Groww app does not have a call center number for users to dial into in case of any issues that users need to resolve. However, the app provides a detailed set of descriptions of the features and a robust FAQ section to resolve issues directly. Any further unresolved problems can be addressed by emailing the support team.

Zerodha, on the other hand, has calling support, and users can immediately have their issues addressed by talking to a customer care executive, giving Zerodha the advantage of customer support.

Verdict: Zerodha wins

The bottom line

Despite its better customer support system, the Zerodha coin app is rated much lower (3.7) than the Groww app (4.6) on the Play Store, backing the Groww app to have a better set of features and a smoother interface.

The Zerodha app may be helpful for users who are experienced with investments and know precisely what they want to do. Still, the Groww app offers a lot more value to a user – experienced and inexperienced alike, making it a better investment platform.