Reliance Nippon Life Asset Management has received approval from Department of Investment and Public Asset Management (DIPAM) to manage the government’s central public sector enterprise exchange-traded fund (CPSE) ETF.
While the fund house has already received SEBI and Competition Commission of India (CCI) nod to acquire Goldman Sachs AMC, it was waiting for DIPAM approval for managing CPSE ETF.
“We have received approval from DIPAM to manage CPSE ETF. The integration process is already underway,” said Himanshu Vyapak, Deputy CEO, Reliance MF.
As on July 2016, CPSE ETF had assets under management of Rs. 2,136 crore. Goldman Sachs has 12 schemes and the merger will add Rs. 6,500 crore AUM to Reliance Nippon MF’s kitty. A Reliance spokesperson said that the fund house will start managing CPSE in October.
Goldman Sachs will provide an exit option without any exit load to unitholders of Goldman Sachs from September 15 till October 14.
Reliance Nippon Life MF manages AUM of Rs. 1.67 lakh crore as on June 2016.
