Axis AMC Acquires Axis Securities' Portfolio Management Services Business; Combined AUM to Exceed ₹15,000 Crore
Key Takeaways
- •Axis AMC has acquired the Portfolio Management Services business of its group subsidiary Axis Securities, resulting in combined PMS assets under management exceeding ₹15,000 crore.
- •The acquisition is aimed at expanding Axis AMC's presence in the HNI and UHNI wealth management segments, where competition among Indian asset managers is increasing.
- •Naveen Kulkarni has been appointed Chief Investment Officer for the PMS business at Axis AMC and will oversee the integrated portfolio management operations.
- •In India, Portfolio Management Services are regulated by SEBI and require a minimum investment threshold of ₹50 lakh.
- •The consolidation follows a broader industry trend of bank-backed asset managers unifying their wealth management and advisory offerings under a single operational and regulatory framework.
Axis AMC Acquires Axis Securities' Portfolio Management Services Business; Combined AUM to Exceed ₹15,000 Crore
Axis Asset Management Company (Axis AMC), the fund management arm of Axis Bank, has acquired the Portfolio Management Services (PMS) business of Axis Securities, its group brokerage subsidiary. The transaction brings Axis AMC's combined PMS assets under management (AUM) to over ₹15,000 crore.
The acquisition marks Axis AMC's strategic expansion into the high-net-worth-individual (HNI) and ultra-high-net-worth-individual (UHNI) wealth management segments, an area that has seen increasing competition among India's top asset managers as the country's affluent investor base grows. In India, PMS is a regulated professional service offered by SEBI-registered portfolio managers who construct and manage customized investment portfolios on behalf of clients, subject to a minimum investment threshold of ₹50 lakh.
As part of the reorganization, Naveen Kulkarni has been appointed Chief Investment Officer (CIO) for the PMS business at Axis AMC. He will oversee the combined portfolio management operations following the integration of the two entities' PMS offerings.
The consolidation aligns the PMS business under Axis AMC's asset management platform, which already manages a range of mutual fund products. The move follows a broader industry pattern in which Indian bank-backed asset managers have sought to unify their wealth management and advisory offerings under a single regulatory and operational roof. Axis Securities, the broking and distribution arm of the Axis Bank group, had previously operated its PMS division separately.
The deal was reported by CNBC-TV18 Markets.
Source: CNBC-TV18
