Non-Bank Financials (NBFC)

Bajaj Finance Ltd. Bajaj Finance was up for a fifth straight session on Oct 9, showing strong investor interest and momentum. Why it matters: NBFCs like

are major consumer credit players — they grow faster than banks in specific segments (consumer loans, EMI cards) but can be more cyclical. Beginner insight: For NBFCs focus on capital adequacy, asset quality (stage-3 loans) and cost of funds. Rapid growth is good but must come with disciplined underwriting. Actionable takeaway: Use NBFCs for higher-growth financial exposure but size allocation conservatively; pair with a stable bank holding. Risk note: Higher leverage and sensitivity to wholesale funding costs raise risk during stress.