The Hindu Business Line : UTI asset co launches `Axel'

Mr M. Damodaran, Chairman & Managing Director, UTI AMC Pvt Ltd, with Mr. Ashish Ranawade, Fund Manager and Head of Axel, at a press conference in Mumbai on Thursday. — Shashi Ashiwal

Mumbai , May 6

UTI Asset Management Company today launched a portfolio management service for high net worth individuals and corporates.

The wealth management division, named `Axel' would offer investment services and execution of transactions across equity and fixed income securities market.

The minimum investment limit for availing this service is Rs 25 lakh. In the initial stages, Axel would offer only discretionary portfolio services. This indicates that the portfolio manager would make the investment decisions and the investor has no choice in deciding where his money should be invested.

"There are two options for investors. One is to avail the fixed fee service, which would charge a flat 2.5 per cent of the portfolio. The second option is to pay a fixed fee of 1.5 per cent and a variable fee of 10 per cent of the annual returns of the portfolio," said Mr Ashish Ranawade, Fund Manager and Head of Axel.

"There has been significant growth in wealth creation within India in the last few years, leading to sizeable and growing demand for wealth management services. We believe that we have the width and depth of fund management to cater to these needs," said Mr M. Damodaran, Chairman, UTI. The service would follow four-step method of portfolio management including classification, allocation, modification and order generation of the investments from the portfolio.

This would be backed by the research team that actively tracks over 150 companies, according to Mr Ranawade.

Axel estimates the current market between Rs 2000 crore and Rs 4000 crore and has set a target of 100 customers and 15% market share for the first year.

The company is also expected non-discretionary portfolio management and advisory services shortly, according to Mr Ashutosh Bishnoi, Chief Marketing Officer, UTI Asset Management Company.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Will investors favour gold securities?

Assam Co aims for NSE listing

Bulls prevail

Poll forecast lifts Sensex by 71 points

Paper stocks gain from rise in global prices

Focus on ALFL, Reliance cap stocks

Buoyed by big bank interest

GAIL: Outlook positive, buy May futures

UTI asset co launches `Axel'

PHDCCI wants SEBI to set up panel to examine, approve delisting cases

Bears exit on poll projections

TCS public offer by June-end?

Investors baffled by allotment largesse

Syndicate Bank plans second public issue — Net profit rises 26 per cent