Bank of India set to buy 51% in Bharti AXA MF

Public sector Bank of India (BoI) is set to re-enter the mutual fund business. It is close to buying a 51 per cent stake in Bharti AXA Investment Managers.

BoI works on a universal banking model and so wants to provide as many financial products under one roof as possible.  Bharti Axa has been looking to rope in an Indian bank as a partner for some time and was scouting for a joint venture partner, preferably a bank, to increase its distribution reach. BoI had started a mutual fund business in 1990. However, it exited in 2004. Of the six schemes launched by the fund, four were redeemed. The other two were sold to Taurus Mutual Fund in 2004 after giving an exit option to investors. crackcrack