Tata Mutual may seek tie-ups to tap QFI

Tata Mutual Fund may go in for strategic tie-ups that will offer opportunity to qualified foreign investors (QFIs) to tap the Indian market.

In order to promote the portfolio investment route, the Government last month allowed QFIs -- individual, group or association -- to invest up to USD 13 billion in equity and debt schemes of mutual funds in the infrastructure sector.

Besides, with an aim to further liberalise the capital market, the Government is contemplating to allow foreign individuals to buy equities directly in stock markets.

"We are looking at strategic partnership and at ways to have access to newer markets," Tata Asset Management president and chief executive officer Sanjay Sachdev said.

"It will happen ... it is a matter of time. We are working on that," Sachdev said on the sidelines of launch of 'Tata Retirement Savings Fund' -- an open-ended scheme.

Sebi had recently said that efforts were being made to sort out a few concerns including KYC issues to make QFI entry into Indian mutual funds a reality.

Asset under management of the Tata Mutual house was Rs 23,000 crore as on September, and offshore AUM Rs 2,800 crore.

Speaking about the mutual fund industry, Sachdev said it was expected to grow 20 per cent in next five years and welcomed combined Know Your Customer (KYC) norms planned by the capital market regulator Sebi.

On the new Retirement Saving Fund, Sachdev said the number of senior citizens had gone up from 71 million in 2007 to 100 million in 2011 and there was need for a fund to meet retirement goals.

The NFO of the fund was open and would remain so till October 21.

Source: http://www.moneycontrol.com/news/mf-news/tata-mutual-may-seek-tie-ups-to-tap-qfi_600721.html