Indian financial service firm Bajaj Finserv has received final approval from the Securities and Exchange Board of India (SEBI) to commence its mutual fund business.

The new business, which secured an in-principal approval from SEBI in August 2021, will operate under the name of Bajaj Finserv Mutual Fund.

Besides, Bajaj Finserv Asset Management (BFAML) has also been approved to serve as an asset manager for the new mutual fund arm.

Former head of equities at Canara Robeco AMC Nimesh Chandan will lead the investment management activities of BFAM, while Ganesh Mohan has been appointed as CEO of BFAML.

Once operational, Bajaj Finserv Mutual Fund will provide investors with various mutual fund solutions, such as equity, debt and hybrid funds in both active and passive segments.

Bajaj Finserv chairman and managing director Sanjiv Bajaj said: “A resurgent India, rising investor confidence and digital access to financial services are leading to high adoption of mutual funds.

“The approval from SEBI is strategically important for Bajaj Finserv as it enables the company to complete its suite of financial solutions for retail customers.

“With Ganesh Mohan at the helm, our mutual fund business will inspire a new approach to investing and sustained, long-term wealth creation.”

Mohan said: “With greater awareness among investors to stay invested over the longer term, it is an opportune time for the Group to build its mutual fund offering for investors.

“The mutual fund business will align with the Group’s philosophy of being future-focussed and tech-driven.”