ABN Amro on Launching Realty Arm

February 26, 2007	(1 votes, average: 5 out of 5)  Loading ...
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Indian investors will soon find their access on global market prices. ABN Amro Mutual Funds has filed with the capital market regulator, Securities & Exchange Board of India (Sebi), for a scheme that will fund in construction companies and property developers worldwide.

The ABN-Amro Global Property (India) Equity Fund is just waiting for the final nod from the regulators. The realty fund will invest in foreign equity and equity related securities through ABN Amro’s Luxembourg based ABN Amro Global Equity Fund.

With the launch of its realty arm, ABN Amro bank cements a new link supporting it to set a substantial presence in India. Indian market offers great scope for growth and is good from profit perspective.  The bank will add “best practice” fund management skills and a truly client focused approach to it, says, Huibert Boumeester, Global Chief Executive Officer of ABN AMRO Asset Management.

The market regulators have liberalized their rules the last year, according to which, they allow mutual funds to launch schemes that will invest in overseas equity or equity oriented schemes. The shift has been taken to improve the market scenario for Indian retail investors. This encouraged principal PNB mutual redraft its existing schemes that would partly invest in overseas equity. However, no fund took initiative to launch a scheme for overseas with Sebi’s own plan allowing India-registered mutual funds to launch real estate funds.

As per the norms laid by Reserve Bank of India (RBI), Indians are allowed to invest $50,000 per annum overseas. Experts said, the ABN-Amro scheme was aimed at this segment.

News Published Under:   Banking and Finance |

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