State Bank of India, the country's largest commercial bank, would soon enter seven new business streams including pension funds to tap emerging opportunities.
The bank will float a subsidiary to manage pension funds under the New Pension Scheme (NPS) for government employees, SBI Chairman OP Bhatt told the 52nd Annual General Meeting of the state-run bank.
"The Bank has been shortlisted by PFRDA as one of the four players," Bhatt said adding, pension funds was a huge business opportunity as only 11 per cent of the current workforce of 450 million were covered under retirement benefits.
The bank also proposes to launch financial planning and advisory services given the growing affluent class. This would be upgraded to wealth management at a later stage, Bhatt said.
With expanding investments in securities market from domestic and overseas investors, there was a demand for full range of custodial services. A separate custodial services company will be floated shortly, he said.
In addition to the life insurance business, the bank, with its large branch network, is looking into the general insurance business, he said.