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Sunday, October 28, 2007
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Mutual Fund News
Oct 23 2007 9:12AM
Union Bank plans mutual fund sortie
Union Bank of India is looking to enter the mutual fund business and is likely to announce a partner by the end of this fiscal. The partner is likely to be a foreign partner, but the shareholding pattern is yet to be finalised, said Mr M.V. Nair, Chairman and Managing Director.

Details of the banks joint venture for life insurance with Bank of India and Dai Ichi Mutual Life Insurance would also be announced in less than a month, he added. About the need to raise further capital, Mr Nair said the bank has headroom to raise Rs 400 crore of Tier-I capital through perpetual debt, but has not decided if it would do so this fiscal. The bank will take a decision depending on the interest rate environment.

Mr Nair was speaking at the launch of Union Super Salary Account, a savings account for salaried employees. This product offers facilities such as anywhere anytime banking through ATMs.

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