STOCK MARKET BSE NSE

DSP Group to buy out stake of US-based BlackRock in joint venture

DSP BlackRock Investment Managers is a 60:40 joint venture between DSP Group and BlackRock.

Published: 08th May 2018 06:35 AM  |   Last Updated: 08th May 2018 06:35 AM   |  A+A-

By Express News Service

CHENNAI : India financial services firm DSP Group said it would buy the 40 per cent stake of its mutual fund joint venture, DSP BlackRock Investment Managers, owned by US-based BlackRock, on Monday.
The firm, fully owned by DSP, is proposed to be known as DSP Investment Managers Pvt. Ltd., and DSP BlackRock Mutual Fund is proposed to become DSP Mutual Fund, subject to regulatory approvals, the company said in a statement.

DSP BlackRock Investment Managers is a 60:40 joint venture between DSP Group and BlackRock. As of March 31, 2018, DSP BlackRock Investment Managers managed assets worth Rs 86,325 crore.

“The Indian asset management industry is evolving rapidly and calls for unique approaches that play to the various strengths of BlackRock and The DSP Group,” said Ryan Stork, Chairman of BlackRock Asia Pacific.

Foreign players exiting

The news comes at a time when foreign players such as Deutsche Bank, Morgan Stanley, ING and Nomura are exiting the asset management sector in India due to strict restrictions imposed by the Securities and Exchange Board of India that prohibit asset managers from charging a fee from investors who buy into schemes.“Though we will not be partners with regards to shareholding, DSP has tremendous respect for BlackRockand its principles,” said Hemendra Kothari, Chairman, DSP BlackRock Investment Managers Pvt. Ltd.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp