UTI MF draws oveseas expansion plans

UTI MF draws oveseas expansion plans
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First Published: Wed, May 16 2007. 03 25 PM IST
Updated: Wed, May 16 2007. 03 25 PM IST
Mumbai: Buoyed by the success of its foray in Japan, UTI MF plans to tap more foreign markets, by setting up a subsidiary in Singapore besides opening branches in Europe and the Gulf.
The fund house is also open to forge partnerships in Europe and Asia.
“We had a target of $100 million in Japan but within six months we garnered $ 400 million...now we plan such partnerships in Europe and Asia as well,” UTI MF chairman and managing director, U K Sinha, told PTI here.
“We will be opening a subsidiary in Singapore within two months for which we have received regulatory approvals,” Sinha said, adding the mutual fund also plans to open its branches in Dubai, Bahrain and London shortly.
The company’s foreign partnerships have all been successful so far, the UTI MF chairman claimed, highlighting the performance of its tie-up with Japan’s Shinsei Bank which collected $400 million in six months against the target of $100 million.
“We will be finalising at least two partnerships within the next 3-4 months. We are presently fine-tuning our plans in this regard,” Sinha said.
Issues such as whether the investments will be segment -based or broad-based are yet to be decided, he said.
The money raised from the proposed ventures would be used to invest in the domestic market across all segments.
UTI MF has also filed an application with Sebi for a tie-up with Boston-based Statestreet Global Associates, which envisages raising money from domestic markets for making investments abroad.
“We hope to activate this business this year,” Sinha said.
The UTI MF chairman said UTI MF’s off-shore funds, valuing at about $300 million at present, were performing well.
Its assets under management (AUM) stood at Rs36,000 crore on April end.
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First Published: Wed, May 16 2007. 03 25 PM IST
More Topics: Money Matters | Mutual Funds |