Mirae to begin security business in India
MAFG, among the largest mutual funds in Asia with assets under management of $134 billion, will launch its securities business in India by the end of 2008.Updated: Jun 05, 2008 21:15 IST
South Korea-based Mirae Asset Financial Group (MAFG), among the largest mutual funds in Asia with assets under management of $134 billion (over Rs 4,60,000 crore), will launch its securities business in India by the end of 2008.
This follows its entry into the Indian mutual funds business in March. The group is also planning to take a stake in an Indian bank.
The company, which is scouting for a securities firm in India, has Rs 2,400 crore of assets under management here through three funds: one equity and two fixed income.
Speaking on the company’s plans for the Indian securities market, Hyeon Joo Park, Chairman of Mirae Asset Financial Group, said: "Mirae Asset Securities will focus on wealth management, investment banking and private equity investments. We do not want to enter into the dying brokerage business. We are also open to acquisitions in this regard."
As part of its global plans, Mirae Asset Securities will also start operations in the United Arab Emirates and Brazil. Mirae Asset Securities has a presence in Hong Kong and Vietnam, besides South Korea.
"We are not interested in banking as it is, but we are interested in Internet-based banking companies. We may just buy a stake in an Indian bank," Park said.
He however, ruled out starting life insurance operations soon, stating that the industry was a capital-intensive one.
"Our focus is to expand the asset management and securities operations. We are prepared to fight the mutual fund biggies like Fidelity," he added.
Though the group is interested in investing in real estate and infrastructure, it is waiting for further deregulation of these sectors. "India has made strides globally by deregulating its capital market. It has to take the cue from this for the development of the real estate and infrastructure sectors," Park said.