Road to listing: Asset manager UTI MF still faces bumps along the way

UTI MF's equity assets, for instance, have grown 117% in the past six years

Despite the change in guidelines limiting crossholding in mutual funds (MFs) to up to 10 per cent, listing may not be a given for UTI MF, the country's sixth largest asset manager.

Three out of the four government shareholders - State Bank of India (SBI), Life Insurance Corporation of India (LIC) and Bank of Baroda (BoB) --- will have to compulsorily dilute their stake in the asset management company (AMC) besides vacating their seats on the UTI Board. Each of these entities is a sponsor of other mutual funds.

The trio along with Punjab National Bank (PNB) currently own 18.29 per cent