Andhra Bank to distribute Tata MF products

Andhra Bank has entered into an alliance for third party distribution of products with Tata Asset Management, which manages the Tata Mutual Funds.

Announcing this in Hyderabad on Wednesday, the Andhra Bank chairman and managing director, TS Narayanasami, told newspersons that the bank has set an ambitious target of selling mutual fund products worth Rs 500 crore during the current fiscal.

The bank, which tied up with Principal Mutual Fund and SBI Mutual Fund recently, sold over 8,900 mutual fund products worth over Rs 48 crore in just over a month. According to Narayanasami, the bank plans to achieve Rs 50 crore turnover from selling the products of Tata Mutual Fund alone in the second half of the current fiscal.

The Andhra Bank executive director, R Balakrishnan said that in view of the emerging opportunities in the fee-based income stream, the bank is training its officers and staff for selling the products of Mutual Fund and Insurance companies. In less than two months time, 242 officers of the bank obtained the AMFI certification, while 236 officers were successfully certified by the Insurance Regulatory and Development Authority (IRDA), he said.

The Tata AMC chief executive officer, Ved Prakash Chaturvedi, said the company has set a target of achieving at least 100 per cent growth in assets under management (AUM) to Rs 8,000 crore by the current fiscal-end.