Prudential ICICI in expansion mode
Prudential ICICI AMC is in talks with Bank of Maharashtra (BoM) to distribute its mutual fund products.
By TNN |
Prudential ICICI AMC is in talks with Bank of Maharashtra (BoM) to distribute its mutual fund products, even as it is targetting the growing investor class in Tier II cities such as Pune to expand its customer base. The company has a tie-up already with 14 banks including a few state-owned banks for selling its mutual fund products, reports Our Bureau in Pune.
With retail banking growing at over 30%, such tie-ups will help banks augment their fee-based income. Mutual funds gain as they can leverage on the existing customer base of banks to sell their products. Prudential ICICI AMC is the investment manager to the Prudential ICICI Mutual Fund. It has a customer base of over one million investor folios across the country and manages assets to the tune of Rs 30,142 crore (as on June 2006).
It’s customer base in Pune and rest of Maharashtra (excluding Mumbai) is around 40,000 to 50,000. The target is to double this number by March ‘07.“We are looking at the untapped population segment including the burgeoning middle class, HNIs and corporates to sell our mutual fund products, said Akshay Gupta, head of sales and distribution Prudential ICICI AMC.
Although the company has an established distribution network in Pune, it is now beefing up its infrastructure in the city to reach out to investors more efficiently and effectively. Besides Pune, it is also looking at expanding its customer base in Kohlapur and Nasik.
The company offers a range of products to investors seeking varying risk return profiles. The volatality in the stock markets has prompted the company to consider product offerings that are less risky and more tax efficient for investors. The company plans to expand its reach from 74 locations across the country to over 100 locations by March 2007 — which will give presence in 88 cities.
With retail banking growing at over 30%, such tie-ups will help banks augment their fee-based income. Mutual funds gain as they can leverage on the existing customer base of banks to sell their products. Prudential ICICI AMC is the investment manager to the Prudential ICICI Mutual Fund. It has a customer base of over one million investor folios across the country and manages assets to the tune of Rs 30,142 crore (as on June 2006).
It’s customer base in Pune and rest of Maharashtra (excluding Mumbai) is around 40,000 to 50,000. The target is to double this number by March ‘07.“We are looking at the untapped population segment including the burgeoning middle class, HNIs and corporates to sell our mutual fund products, said Akshay Gupta, head of sales and distribution Prudential ICICI AMC.
Although the company has an established distribution network in Pune, it is now beefing up its infrastructure in the city to reach out to investors more efficiently and effectively. Besides Pune, it is also looking at expanding its customer base in Kohlapur and Nasik.
The company offers a range of products to investors seeking varying risk return profiles. The volatality in the stock markets has prompted the company to consider product offerings that are less risky and more tax efficient for investors. The company plans to expand its reach from 74 locations across the country to over 100 locations by March 2007 — which will give presence in 88 cities.
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