After its acquisition of 75% stake in the Reliance Nippon Life AMC, the Japanese insurer has rechristened the company’s name to Nippon India Mutual Fund with a new logo.
Hiroshi Shimizu, President, Nippon Life Insurance Company, said that he is confident about the long-term prospects of the Indian mutual fund industry which is in line with the company’s goal. He said there will be no change in the management team of the new AMC.
Nippon Life Insurance is a 130-year-old financial services firm and manages over Rs 49 lakh crore worth assets, double the size of the Indian mutual fund industry.
Of late, Nippon India MF has lost market share by slipping to fifth position in the AUM pecking order. Sundeep Sikka, ED & CEO, Nippon India MF said that they are working towards regaining the market share. He noted that while the fund house has lost institutional business in the recent past, its retail investor base continues to grow. The fund house will bring its global best practices on risk management in India to provide a better experience to investors, said Sikka.
Nippon Life had acquired 26% in Reliance AMC in 2012. Nippon Life has invested Rs 7,800 crore to acquire 75% stake in the fund house.
In Japan, about 1 out of 12 is a policyholder of Nippon Life Insurance and they have similar vision in India for their mutual fund business.
