Kochi, Jan. 25
KOTAK Mahindra Mutual Fund has entered into a strategic tie-up with Federal Bank for distribution of Kotak Mahindra MF schemes.
An agreement in this regard has been signed between Mr Sandesh Kirkire, CEO of Kotak Mutual Fund, and Mr M.M. Antony, General Manager (Planning), Federal Bank, here on Wednesday. Under this agreement, the Federal Bank will offer the entire bouquet of Kotak Mahindra Mutual Fund schemes across its 456 branches in 23 states in the country.
Speaking on the occasion, Mr Kirkire said that banks are one of the most important distributors of mutual funds in the country and are best poised to expand the market. However, he pointed out that Kerala's exposure to capital market is less than Rs 1,000 crore compared with Rs 2 lakh crore of the entire country.
The State, he said, is financially illiterate and there is a huge potential for providing various kinds of financial services in the State. As per the figures available, he said that only less than 5 per cent of the population in India has the exposure in the capital market. On the other hand, they have Rs 20 lakh crore deposits in banks and Rs 5 lakh crore in post office savings, he added.