BoB, BNP Paribas announce MF JV with Suresh Soni as CEO

Bank of Baroda and BNP Paribas on Monday announced a joint venture to form ‘Baroda BNP Paribas Mutual Fund’.

Bank of Baroda will have a 50.1 per cent stake in the asset management company (AMC), while BNP Paribas Asset Management will hold the remaining 49.9 per cent stake.

Suresh Soni has been appointed the CEO of the merged entity.

The new entity will leverage on the strengths that each partner has developed, to offer products specifically designed for retail and institutional clients in India.

In 2019, Bank of Baroda had announced the merger of Baroda Asset Management India with BNP Paribas Asset Management India and there was no cash consideration in the proposed transaction.

David Vaillant, global head of finance, strategy & participations at BNP Paribas Asset Management said, “This strategic partnership will enable us to expand in terms of scale and client outreach, as well as to grow our distribution network, and will provide Baroda BNP Paribas Mutual Fund with our global experience in managing assets across more than 30 markets. The joint venture aims to build on the strengths of both partners to create greater synergies and operational efficiencies, as well as bringing a wider range of first-class investment solutions to Indian investors.”

Baroda BNP Paribas Mutual Fund will offer 28 schemes across equity, hybrid, debt and overseas fund of fund categories. With touch points in 90 towns and cities across India, it is expected to serve over 1 million investor folios and more than 10,000 distributors. The joint venture AMC will also provide offshore advisory services and has combined assets under management and advisory of Rs 22,522 crore as on March 14, 2022.

Suresh Soni, CEO of the merged entity, said, “This joint venture combines the complementary strengths of two partners - massive local reach and in-depth knowledge of the Indian market of Bank of Baroda with the global expertise of BNP Paribas Asset Management. Our aim is to deliver strong performance, by offering diverse and innovative investment solutions, combined with impeccable service to our investors to help fulfil their financial goals.”