Thursday, April 30, 2009

DSP BlackRock to shut down part of Portfolio business in India

Leading asset manager, DSP BlackRock Investment Managers has decided to close down a part of its portfolio management services (PMS) business in India by June end. DSP BlackRock decided to scrap the segment primarily owing to a stagnant growth seen in the division in last 12 months and taking into account the small size of the portfolio, a company official said.

"The growth in PMS segment has been stagnant in the last 12 months. Besides, the segment's contribution to the total business is not significant. Hence we decided to shut down the unit," the official said.

DSP BlackRock's PMS portfolio comprises Rs 60 crore in discretionary assets and Rs 188 crore structured products. While the Rs 60 crore discretionary assets will be liquidated in the next four to six weeks, the company would retain the structured product asset part, the official said.
"DSP BlackRock will go ahead with our expansion plans, primarily increasing our presence in the country by opening new branches," the official said.

(Source: Economic Times)

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