Comments
HSBC Asset Management (India) Private Ltd, an indirect wholly-owned subsidiary of HSBC Holdings plc, has received the approval of Securities and Exchange Board of India (SEBI) to acquire L&T Investment Management Ltd, subject to certain conditions and approval.
Post completion of the acquisition, HSBC will merge the operations of L&T Investment Management with its existing asset management business, which has average assets under management of ₹13,620 crore as of September 2022.
L&T Investment Management is a wholly-owned subsidiary of L&T Finance Holdings Ltd and the investment manager of L&T Mutual Fund.
With average assets under management of ₹71,703 crore and over 22 lakh active folios as of September 2022, it is currently the 14th largest mutual fund management company.
Related Stories
5 top Nifty index mutual funds for all retail investors
These options are based on fund size, expense ratio and tracking error“Strengthening HSBC’s asset management business in India will add to its ability to serve the wealth needs of its customers in India as well as those of its growing non-resident Indian customer base across the world,” HSBC said in a release.
The mutual fund schemes operated by L&T Mutual Fund will be transferred, merged or consolidated with identified schemes of HSBC Mutual Fund or vice-versa. Further, the sponsorship, trusteeship, management, and administration of L&T Mutual Fund will be accordingly changed, it said.
In December 2021, HSBC Holdings Plc’s Indian asset management unit had announced buying out the mutual fund unit of L&T Finance Holdings Ltd for ₹3,191 crore to bolster its wealth management business. The proposed deal secured the approval of the Competition Commission of India (CCI) in March 2022.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.