Bajaj Finserv will enter asset management business: Sanjiv Bajaj

Bajaj Finserv will enter asset management business: Sanjiv Bajaj
Share This :


Bajaj Finserv will enter asset management business: Sanjiv Bajaj Bajaj Finserv reported a 31.5% year-on-year drop in consolidated profit after tax for Q1FY22 to Rs 833 crore while total income was down 1.7% YoY to Rs 13,949 crore.

Bajaj Finserv will enter the asset management business, Sanjiv Bajaj- chairman and managing director, Bajaj Finserv, said on Wednesday at the company’s annual general meeting. The company has applied for a licence to start an asset management company and is awaiting approval from the Securities and Exchange Board of India. Through this, they would first launch mutual funds and later, portfolio management services business, Bajaj said. The business would leverage the digital platform to provide low-cost, but high-value services, he said.

The MD is looking forward to be a market player offering all financial services, and deliver them seamlessly through an app-based platform. The company at present has three main businesses — finance and two insurance ventures. The company added housing finance business and also entered retail stock broking services with demat, broking and margin trade financing. It has forayed into healthtech with Bajaj Finserv Health that combines technology, healthcare and financial services for corporate and individual customers.

Bajaj said the two insurance joint ventures with Allianz, the Bajaj Allianz Life and Bajaj Allianz General Insurance, were completing 20 years this year and both had built solid businesses with combined gross premium of Rs 24,000 crore and assets under management of around Rs 1,00,000 crore as on March 31, 2021. The partners have no plans of going public and listing these insurance companies, Bajaj said.

Announcing the Q1FY22 results, Bajaj said during Q1FY22 the performance of Bajaj Finance was muted because of lockdowns, but the company had made higher provisions to stay solid as a company. The current quarter would be better than the last. The general insurance business saw significant increase in claims because of Covid-19 while the life insurance business grew 45% in the first quarter and started the year very strong, Bajaj said.

Bajaj Finserv reported a 31.5% year-on-year drop in consolidated profit after tax for Q1FY22 to Rs 833 crore while total income was down 1.7% YoY to Rs 13,949 crore. The drop in PAT was largely attributed to mark-to-market changes. The consolidated results of Bajaj Finserv included the results of its wholly owned subsidiaries Bajaj Finance, Bajaj Allianz General Insurance and Bajaj Allianz Life Insurance Company. Bajaj Finance profits were at Rs 1,002 crore while the general insurance PAT was at Rs 362 crore and life insurance shareholders’ PAT was Rs 84 crore during Q1FY22.

Loan losses and provisions for Bajaj Finance in Q1FY22, including expected credit loss, was Rs 1,750 crore as against Rs 1,686 crore in Q1FY21. The Covid-19 claims in the general insurance business had gone up to Rs 238 crore during the quarter compared to Rs 14 crore in Q1FY21. The life insurance business, too, saw Covid-19 claims of Rs 288 crore during the quarter compared to Rs 1 crore in Q1FY21.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

, Bajaj Finserv will enter asset management business: Sanjiv Bajaj, Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.





Source link

Share This :

Leave a Reply