Pramerica Mutual Fund has acquired Deutsche MF business in India
Mutual Fund sector witnessed fifth exit of foreign fund house in two years from India on 7 August, as Pramerica Mutual Fund (MF) a company affiliated to US based Prudential Financial Inc. buys out German Deutsche Bank Group’s MF business in India for 400 crore rupees.
Deutsche MF with 20,720 crore rupees assets under management (AUM) is the second largest foreign fund house in India after Franklin Templeton, Whereas Pramerica MF has 2,125 crore rupees AMU and after acquisition it will rise to 23,000 crore rupees making it among the top 15 Assets Management Companies in India.
Earlier ING MF, Morgan Stanley MF, Daiwa MF and Pinebridge Investments had exited from India’s fund management business. They all were bought by Birla Sun Life MF, HDFC MF, SBI MF and Kotak MF respectively.
Recently Pramerica tied up with Dewan Housing Finance Corporation Limited (DHFL) to start up new joint venture under name DHFL Pramerica Asset Managers.
Note: There are over 40 MF entities in India that is managing assets worth Rs 13.17 lakh crore.