Business OpportunitiesIndia Infoline to start MF ops in Q1FY11: Jain
Financial services firm India Infoline today said it plans to begin mutual funds operations in the first quarter of the next fiscal, after securing final approval from capital market regulator Sebi.
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"We have received the in-principle approval from Sebi (to set up the asset management company). The final approval is expected in the next 2-3 months," IIFL Chairman Nirmal Jain told reporters here.
IIFL plans to start AMC operations on its own but may look at the option of partnering with any existing player in the future, Jain said.
At present, IIFL has operations in equity and derivative brokerage and investment management amongst others. The company is operating from 1,500 locations.
It plans to increase the current branch strength, around 500 by 25-30 per cent over the next one year, while the number of franchise now at 1,000, will be doubled during the period.
Commenting on its mortgage business, Jain said the company has grown its mortgage business to a loan-book size of Rs 600 crore.
"We now have a loan-book of Rs 600 crore. We are currently offering the loan products from 20 centres, which would be scaled to 40 over the next 3-4 months," Jain said.
India Infoline has also received approval from the National Housing Bank to start a housing finance company, and expects to commence operations in the near future.
Moving ahead, IIFL also plans to scale up its operations in Singapore and has applied for a "securities licence" in the UK, Jain said.
This would enable its clients to access the London equity market. The company also has operations in Dubai and US.
India Infoline today tied up with Yes Bank to offer brokerage services to the latter"s customers. The agreement will give Yes Bank customers multiple options for trading in equity shares, online or off-line, on the premier bourses--BSE and NSE--in the cash and derivatives segments.
The offering will be a three-in-one account, where the bank account and depository account will be with Yes Bank while the broking account will be with India Infoline.
The customers will be able to transfer funds from their Yes bank account for investments into capital markets.