Cosmea Financial Holdings gets SEBI approval to launch Mutual Fund business
Cosmea Financial Holdings, Sam Ghosh’s promoted group of companies, gets the nod of the Securities and Exchange Board of India (SEBI) for sponsoring a mutual fund. After filing the proposal with SEBI in May this year, it is now being considered one of the important steps from the house for the group by entering the India’s booming financial market. The company would now be completed with all registration formalities, under the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996 with six months of time.
The development marks Cosmea’s diversification step into furthering its footprint in India’s financial services space. The company plans to invest Rs.200 crore in its new asset management company, which would focus on Quant and Smart Beta strategies that help address the needs of Indian investors who are fast changing. In another development, Cosmea has entered into a distribution agreement with WisdomTree, a global leader in ETF and ETP sponsorship, with assets under management exceeding USD 100 billion.
Presently, Cosmea manages and advises assets of Rs.1,000 crore across all the segments of the capital markets in broking, distribution, wealth management, and advisory services. The company has also furthered its expansion through acquiring a CAT III Alternate Investment Fund license and a fund management entity license in GIFT City, thus broadening its portfolio of financial services.
The future for Cosmea has an ambitious AUM target of Rs.15,000 crore within the next three years. For this to be achieved, Cosmea is planning on utilizing its technology-driven growth strategy through its SuperApp, the comprehensive physical distribution network, and strategic partnerships.
Apart from its asset management business, Cosmea functions under its holding company, Cosmea Investment Private Limited (CIPL), which manages its capital market, asset management, and insurance businesses. The firm’s services vary from broking, distribution, wealth management, and advisory through the capital markets vertical. Its newly launched technology-based SuperApp enables smooth investment solutions for investors through digital access to a broad range of financial products.
Cosmea’s asset management division is already managing Rs.170 crore in Portfolio Management Services (PMS). The company is now looking at launching both domestic and offshore businesses in the next 6-9 months with a digital-first approach. Cosmea is also entering the insurance sector as it has applied for a General Insurance License in partnership with Qatar Insurance Company (QIC) and other investors. The company plans to make its mark in the insurance industry through its wide-reaching distribution network and management expertise.
Cosmea Financial Holdings is in a good position to exploit the vast growth opportunities in India’s financial markets, with diversified offerings, experienced leadership, and a focus on technology-driven innovation. With its expanded services, the company is poised to play a significant role in reshaping India’s financial landscape in the years to come.
