Asset Manager 360 One WAM and Investment Bank UBS has entered a special strategic cooperation, aims to take advantage of their respective strength – 360 someone’s local insight and customer network, and global and regional expertise of UBS.
Mihir Doshi, Managing Director, Country Head -India, UBS Securities India, told Mint“I think it is actually about cultures and about the meeting of the mind.”
“If cultures are aligned, this (cooperation) works”.
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Global Wealth Management Asia Pacific’s co-head in UBS, Jin Yung explained that both UBS and 360 are aligned as to how they contact customer service and how they take care of their customers. According to him, this shared mindset and ability to engage at the same level is an important factor in cooperation.
With this strategic alliance, ready to contribute around UBS 27,000 crores, 360 under management to bring a total assets of one WAM According to 6 trillion, Karan Bhagat, the founder, managing director (MD) and 360 one Chief Executive Officer (CEO).
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Bhagat said, “UBS is expected to be brought into around 250-300 customers, although their widespread base is large, an average customer base of about $ 5-6 million per customer is a customer base.”
As part of the agreement, 360 forests will acquire UBS’s onshore wealth management business in India through its subsidiaries. In turn, UBS will buy warrant which is converted into a 4.95% stake in 360 one. Both firms indicated Mint that this stake could increase over time based on the success and progress of cooperation.
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Young stated that this is a 4.95% stake initial step and a committee has actually been established to detect and identify opportunities to move forward. But, “It all depends on how to come up,” he said.
“We can increase the stake or we can find other ways to deepen and widen our cooperation. So there are many ways, and the growing stake is definitely something on the plate. But we are not yet there …”
Commenting on India’s position in Global Wealth Landscape, Young said that India ranks as the second largest market in the Asia-Pacific region when it comes to creation, topping with China.
In the last one year, the Nifty 50 has increased by more than 8%, as compared to China’s CSI 300 index, which has increased by 7%, according to it. Bloomberg data.
Although some markets may offer selective opportunities, the strong speed of India’s wealth creation and its expansion base of rich individuals is firmly established as a major driver in the region. Market experts have repeatedly highlighted India’s growing importance in the widespread Asia-Pacific Money scenario.
Jeffer’s Chris Wood has doubled on India, by increasing the firm’s Asia Pacific East-Japan Portfolio by two percent points, now it is marking it as overweight. This change financed by trimming Taiwan exposure reflects India’s Jeffers’ approach as a potential macroeconomic safe haven amidst the concerns of global recession, and volatility of business policy.
Another important aspect of India is that investors get a diverse basket of areas and industries to invest, whether you see large cap, midcap or small cap, Nimesh sandalwood, Chief Investment Officer (Cio), Bajaj Finserv AMC said.
He said, “Businesses contributing to earnings lead to less volatility in earnings due to a fairly diverse set. And that is why India has been kept better than other emerging markets and even some developed markets.”
