AVB chalks out financial services strategies

Mumbai, Jun 29 | Updated: Jul 1 2008, 05:10am hrs
Aditya Birla Financial Services Group has chalked out steps, including launching innovative products, strong branding and enhancing distribution network, to emerge as a leading player in the field.

We see tremendous opportunity in the sector as less than 5% of the countrys savings go into mutual funds, a mere 2% into general insurance and 15% into life insurance, Aditya Birla Financial Services Group chief marketing officer Ajay Kakar told PTI.

We are currently working on these areas to become a leading player in this sector, he added.

The company, which operates in life insurance and mutual fund verticals among others within the financial services business, plans to launch a new product in the life insurance business aimed at senior citizens. A mutual fund product aimed at investing in the commodities market is also in the offing, he said.

Kakar said while the mutual fund for investing in the commodities market will be launched in the next quarter, the insurance product for senior citizens would come by the end of the year. Aditya Birla Group was the first to introduce ULIPs in the market, he said.

To expand the life insurance business, in which it is already among the top five players in the country, ABFSG plans to expand its branch network to 600 by the next few months from 339 now.