Two IIFL subsidiaries get investment adviser licence

Financial services provider India Infoline Limited (IIFL) today said two of its group companies have received market regulator Sebi's nod to undertake investment advisory services.

India Infoline Distribution Company (IIDCL) and IIFL Investment Adviser and Trustee Services are the subsidiaries which have been granted approval, IIFL said in a statement.

"We are delighted to receive the approval from SEBI to act as investment advisers," IIFL managing director R Venkataraman said.

The advisory services platform provides opportunities for servicing the company's large client base in the new regulatory framework, he said.

IIFL also said that the ongoing group restructuring process is in the final stages and once completed, its financial services business will be segregated from lending.

"IIFL's financial services undertaking comprising broking, DP, PMS, investment banking, distribution and related business is under the process of transfer to IIDCL through a court and regulatory approvals," it said.

The process, which is in the final stages, is expected to be completed within this financial year, a company spokesperson said.

It can be noted that the company is seeking a banking license and the sector regulator Reserve Bank has expressed reservations about allowing groups in the realty and brokerage businesses in banking.