Peerless Starts Mutual Fund (Peerless Funds Management Company) Operations
Peerless Funds Management Company Ltd (PFMCL) has announced the commencement of its mutual fund operations.
PFMCL is a wholly-owned subsidiary of Kolkata-based Peerless General Finance & Investment Company, which is a leading non-banking financial company (NBFC) with branches across India.
PFMCL is the first financial services company in Eastern India to have received the Securities and Exchange Board of India’s (SEBI) approval to set up its Asset Management Company.
A.C. Chakrabortti, Chairman, PFMC, said, “Organized mutual fund business is still highly concentrated in metros and considerable opportunities still exist in Tier II, Tier III cities and semi-urban markets. We are optimistic to meet the needs of such evolving Indian investors through our extensive network of branches, product bouquets and customized service.”
S.K Roy, Managing Director, PGFI, on the launch of the new venture said, “The asset management industry in India is amongst the fastest growing financial services businesses across the globe with a growth rate of over 30 per cent CAGR during the last 6 years.”
The mutual fund industry in India has a low penetration of about 3-4 per cent across Indian households and Jayanta Roy, Director (Financial Products Distribution), PGFI indicated that the company would be looking to move aggressively on this by saying, “We will persist with our focus on the common man.”
Akshay Gupta, the CEO, PFCML, said “The asset management industry in India is amongst the fastest growing financial services businesses but with low penetration levels. It promises an interesting and tremendous opportunity for Peerless to leverage the expertise in managing customers’ money and offering investors, a wide array of financial solutions to fulfill diverse financial needs.”.
He said that both debt and equity products will be introduced for institutional and retail products. The fund house has received SEBI approval for two retail products.
The company, which has 148 branches across the country, has been selling mutual fund products of other asset management companies. It has a base of 50,000 agents and plans to add 30,000 this year. The company, which has so far specialized in raising deposits, has mobilized funds from and serviced over 4 crore depositors till date.
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Category: Mutualfund News
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