Angel One's AMC arm gets Sebi's approval to launch mutual fund business

Fintech player Angel One on Tuesday said its subsidiary Angel One Asset Management Company has received markets regulator Sebi's approval to begin the mutual fund operations.

With this approval, Angel One marks its foray into the asset management space, focusing exclusively on passive investment solutions.

Reacting to the announcement, shares of Angel One rallied 4.07 per cent to settle at Rs 2,909.65 apiece on the BSE.

"Pursuant to our application to sponsor a Mutual Fund, Sebi has granted a certificate of registration to Angel One Mutual Fund on November 25, 2024. Further, Angel One Asset Management Company Ltd, a wholly-owned subsidiary of Angel One Ltd, has also been accorded approval to act as an asset management company for Angel One Mutual Fund," the broking firm said in a stock exchange filing.

Angel One Mutual Fund's passive investment products -- Index Funds and ETFs -- will be designed to offer clients a low-cost, transparent and accessible pathway to wealth creation.

As passive investing continues to gain traction, Angel One Mutual Fund's commitment to this approach addresses the rising demand from clients seeking simplicity and cost-efficiency in their portfolios.

"With a robust technological infrastructure and a deep understanding of client needs, we are poised to transform the passive investing space in India. Our focus on passive investing through ETF & Index Fund products reflects our commitment to making financial products more accessible, affordable and transparent for all.

"We believe this will empower a new generation of investors and enable them to participate in India's growth story," Dinesh Thakkar, Chairman and Managing Director of Angel One, said.

Hemen Bhatia, Executive Director and CEO of Angel One Asset Management Company, said that ETFs and Index Funds are increasingly being embraced by both retail and institutional investors.

"Through our ETFs and Index Funds, we aim to offer user-friendly, easy-to-understand wealth-creating products to a growing base of retail investors across the country," he added.

Angel One is one of India's leading retail full-service broking houses. It offers a host of services, including online trading and investing, advisory, margin trading facility, algorithmic trading, smart orders, etc.

Earlier this month, Unifi Asset Management Pvt Ltd, a wholly-owned subsidiary of Unifi Capital, received approval from the Securities and Exchange Board of India (SEBI) to launch its mutual fund operations.

At present, 45 mutual fund houses operate in the country managing assets worth over Rs 66 lakh crore.