Grab Financial adds micro-investments, consumer loans and pay later solutions to portfolio

FILE PHOTO - People wait for the start of ride-hailing company Grab's fifth anniversary news conference in Singapore June 6, 2017. REUTERS/Edgar Su/File Photo

Grab Financial Group (GFG) is expanding its products to include a micro-investment service, a third-party loan platform and a “buy-now-pay-later” offering for e-commerce sites, the Southeast Asian fintech said Tuesday.

Grab Financial is part of the Grab “super app,” which includes food and package delivery and ride-hailing services, along with mobile payments.

“By offering innovative micro-transaction-based financial services, convenient financial management tools and access to products from leading global financial institutions, we hope to unlock the tremendous potential in financial services in the region in ways that serve all Southeast Asians,” Reuben Lai, senior managing director at GFG, said in the statement.

The micro-investment service, called AutoInvest, aims to tap into the mass-market demand for financial services in Southeast Asia by letting users invest small sums while spending in the Grab platform, Grab said in press release.

Singapore users of AutoInvest can make an investment for each Grab transaction, starting with as little as $1, with returns estimated at 1.8 per cent a year, GFG said, adding returns can be paid into users’ GrabPay e-wallets.

AutoInvest funds are invested into fixed-income funds from Fullerton Fund Management and UOB Asset Management, it said.

Consumer loans will be offered via a third-party platform connecting borrowers with financing from partners, with bank partners and GFG integrating via APIs for secure applications, Grab said.

The platform will be started in Singapore before expanding to Malaysia, Grab said.

The “buy-now-pay-later” instalment service will set up payment plans for select e-commerce websites in Singapore and Malaysia in October, it added.

The online merchants set to offer the service include a “handful” of beauty, fashion and furniture retailers, with plans to have more than 100 merchants by end-year, the statement said without disclosing the companies.

Users will be able to set up monthly instalments under the PayLater Instalments product, or defer payment for a month in the PayLater Postpaid product, GFG said.

Last year, GFG launched a consumer insurance business which has issued more than 13 million policies since April 2019, making it one of the largest digital insurance distributors in Southeast Asia for insurer Chubb, the statement said.

GFG said it also offers small- and medium-sized enterprise lending in four countries.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.