'My salary is...': Cred Founder Kunal Shah takes dig at Zerodha Founder Nithin Kamath

After reports of Zerodha promoters drawing an annual salary of Rs 100 crore each surfaced, co-founder Nithin Kamath revealed that the promoters will not be drawing the massive salaries. However, the news had already created enough buzz ahead of Kamath's statement. Meanwhile, Cred Founder Kunal Shah also took a dig at Zerodha founder. Taking to Twitter, Kunal Shah stated that his salary is Rs 3 lakh per annum. Further taking a jibe at the Zerodha founder, Shah opined that he too should have started a discount stock broking company in order to earn more salary. The Cred founder also tagged Nithin Kamath in his tweet.

Zerodha CEO busts rumours on 'promoters earning ₹100 Crores'

Taking to Twitter, Nithin Kamath stated that he was surprised by the buzz around the salary news of Zerodha's Nikhil Kamath, Seema Kamath and himself. He stated that the headlines surrounding the news are 'misleading' and that his firm is a private company. Further, Kamath informed that the reported figure of ₹100 Crores is not the actual salary, but an enabling resolution that allows them to draw salaries up to the number in case of liquidity requirements. Kamath further made note of the fluctuating market and spoke about liquidity, in which case the promoters are enabled to draw the given salary, as it helps in supporting the brokerage firm's personal investments in small businesses and social causes.

In addition, he also stated that the broking business is riskier as most revenue comes from active traders. he pointed out that these active traders with leveraged positions carry the risks. Moreover, he also remarked that one event can cause major loss to businesses. The Zerodha co-founder said that the brokerage company is enabling de-risking for the entire team through its ESOP buyback. Kamath revealed that Zerodha allocated Rs 200 crores out of its Rs 1,000 crore profit after tax earned during FY 2020-2021.