New Delhi: Private sector Yes Bank Tuesday said it is open to evaluating acquisitions for setting up of mutual fund business.
"...As part of the setting up of an AMC, the bank will be open to evaluating acquisition (mutual fund business space) as well," Yes Bank said in a statement.
The board of the bank in its meeting held on January 14 had approved the proposal to seek approval from regulators for setting up asset management business, it said.
"There is no development of material consequence on any acquisition plans in any business as on date," it said.
This will allow the bank to build a holistic wealth management proposition for its customers and enable the bank to strengthen traction witnessed in building retail market share on the back of its savings account proposition.
The company has earmarked Rs 50 crore for the business.
At present, there are 45 mutual fund houses in the country with asset under management about Rs 12 lakh crore.
The fund houses had an average AUM of Rs 11,81,356 crore at the end of January 31, up from Rs 10,51,343 crore in December-end.
In November, mutual funds assets base stood at Rs 10.90 lakh crore.
Mutual fund is an investment vehicle that is made up of a pool of funds collected from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments and similar assets.
Meanwhile, Yes Bank Managing Director and CEO was felicitated for his contribution towards promoting Indo-Canada bilateral relations.
