Indian private sector lender Yes Bank has secured the approval of the Securities & Exchange Board of India (SEBI) to launch its mutual fund business.
The approval, the last regulatory hurdle to commence mutual fund operations, is subsequent to the approval by the Reserve Bank of India (RBI).
The mutual fund business will be known as Yes Asset Management (India) Limited (YAMIL) and will operate from the bank’s headquarters in Mumbai.
The bank has already devised the operational set-up of YAMIL with associated technology architecture, partnerships for fund accounting and custodian services and registrar and transfer agent services.
Additionally, the bank has appointed the YAMIL management team, which will be responsible for carrying out the operations under the board of directors and trustees.
Yes Bank managing director and CEO Rana Kapoor said: “YES Asset Management (India) Limited (‘YAMIL’) will leverage Yes Bank’s Knowledge Banking expertise and relationship capital across retail, corporate and institutional investors to effectively channelise their assets in equity and debt capital markets.
“This strategic initiative will further complement Yes Bank’s retail liabilities and wealth management strategy, and also allow YAMIL to build on the Bank’s ‘DIGICAL’ distribution network to provide customers a seamless Investment and Banking experience.”
YES Asset Management (India), a wholly owned subsidiary of the lender, will introduce fund offerings across the debt and equity markets over the following six to 12 months.