With UTI Mutual once again offering commissions, India Post has started selling the fund house’s schemes. India Post had stopped selling UTI’s schemes after market regulator, Sebi banned entry loads in August last year.
For its efforts, India Post is getting upfront commissions between 0.75-1% on selling their products to the India Post, say UTI officials.
AS Prasad, deputy director general, Financial Services at India Post said, “UTI mutual funds have agreed to our terms and conditions and we have started selling their products. Our main aim is to reach out to the people, who are not investing in mutual funds. Apart from UTI MF, we are also in talks with other fund houses for selling their schemes.”
Before the ban on entry load, India Post was selling schemes of Franklin Templeton, Principal MF, SBI MF, UTI MF and Reliance Mutual Fund through designated post offices across India. According to officials from the India Post, in the last fiscal it earned a commission, exclusively through mutual funds, of over Rs 10 crore.
Jaideep Bhattacharya, chief marketing officer at UTI MF says, “This tie-up will bring in large number of retail investors, who are saving with post offices into the mutual funds net. We will continue to reach out to more investors across various geographies and provide them with various facilities, which will make investing simple and hassle free.”
In December 2009, UTI MF reported over one crore-investor accounts, the first fund in the industry to do so.
India Post started distributing mutual funds in January 2001, first by signing an exclusive tie-up with IDBI-Principal.
Source: http://www.financialexpress.com/news/india-post-to-again-sell-uti-mf-schemes/569302/
For its efforts, India Post is getting upfront commissions between 0.75-1% on selling their products to the India Post, say UTI officials.
AS Prasad, deputy director general, Financial Services at India Post said, “UTI mutual funds have agreed to our terms and conditions and we have started selling their products. Our main aim is to reach out to the people, who are not investing in mutual funds. Apart from UTI MF, we are also in talks with other fund houses for selling their schemes.”
Before the ban on entry load, India Post was selling schemes of Franklin Templeton, Principal MF, SBI MF, UTI MF and Reliance Mutual Fund through designated post offices across India. According to officials from the India Post, in the last fiscal it earned a commission, exclusively through mutual funds, of over Rs 10 crore.
Jaideep Bhattacharya, chief marketing officer at UTI MF says, “This tie-up will bring in large number of retail investors, who are saving with post offices into the mutual funds net. We will continue to reach out to more investors across various geographies and provide them with various facilities, which will make investing simple and hassle free.”
In December 2009, UTI MF reported over one crore-investor accounts, the first fund in the industry to do so.
India Post started distributing mutual funds in January 2001, first by signing an exclusive tie-up with IDBI-Principal.
Source: http://www.financialexpress.com/news/india-post-to-again-sell-uti-mf-schemes/569302/
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