Angel One gets nod for MF biz; Axis AMC settles matter with regulator

Angel One gets nod for mutual fund business 

 

Angel One Asset Management Company (AMC) has received the approval from the Securities and Exchange Board of India (Sebi) to start its mutual fund business, the company announced on Tuesday. The fund house will only offer passive products. “Angel One AMC plans to leverage the existing digital infrastructure and wide distribution network of its parent and other partners to ensure seamless access to these investment products,” the company said. Its entry  takes the count of mutual fund players to 46. Angel One's share ended with nearly 5 per cent gains on Tuesday.

 

 

Sebi brings uniformity in valuation of MFs’ repo deals 

 

The Securities and Exchange Board of India (Sebi) has made it mandatory for mutual funds to value repurchase (repo) transactions on a mark-to-market basis. It said the move was aimed at bringing uniformity in valuation of such assets and address the unintended regulatory arbitrage that may arise due to different valuation methodologies. “It has been decided that the valuation of repo transactions including TREPS (Treasury Bills Repurchase) with tenor of upto 30 days shall also be valued at mark to market basis,” it said in a circular, which will come into effect from January 1.

 

Axis AMC settles matter with regulator for Rs 16.57 lakh

 

Axis Asset Management Company and Axis Mutual Fund Trustee have settled a matter with the Sebi by paying Rs 16.57 lakh. The matter pertained to the alleged practice of charging total expense ratio (TER) on the books on the AMC. Sebi had issued the show-cause in the matter in March and the AMC filed for settlement in June. A panel of whole-time members approved the settlement based on the recommendations by a committee. TER refers to the total charges for investing in a scheme. Sebi mandates that the charges should not be charged to the books of the AMC as it gives the bigger AMCs competitive advantage. TER is an important aspect for investors while choosing a fund and a lower TER makes the scheme more attractive.  Enviro Infra booked  89.9 times on last day 

The initial public offering (IPO) of sewage treatment solutions provider Enviro Infra Engineers was subscribed 89.90 times on the closing day of bidding on Tuesday. 

The initial share sale rece­ived bids for 2.76 billion shares against 30.79 million shares on offer, according to NSE data. The portion for qua­lified institutional buyers fetched 157.05 times subscription while the category for non-institutional investors got subscribed 153.80 times. The retail individual investors part attracted 24.48 times subscription. 

Enviro Infra Engineers on Thursday collected about Rs 195 crore from anchor investors. 

The Rs 650-crore initial share sale is in the price range of Rs 140-148 apiece. The firm’s IPO is a combination of a fresh issue of  38.7 million equity shares and an offer for sale (OFS) component of  5.26 million shares by promoters. Proceeds from the fresh issue to the tune of Rs 181 crore will be used to meet the working capital requirements. 

    Adani group stocks settle in red  Shares of all Adani group firms ended lower on Tuesday, with Adani Green Energy tumbling 7 per cent. The stock of Adani Green Energy Ltd (AGEL) slumped 7.05 per cent on the BSE. Shares of Adani Enterprises tumbled 4.78 per cent, and Adani Energy Solutions dropped 3.79 per cent. The stock of Adani Total Gas tanked 3.50 per cent, Adani Ports declined 3.23 per cent, Adani Wilmar went lower by 2.44 per cent, and Ambuja Cements dropped 2.30 per cent.