The state-owned lender, Bank of India (BoI), is seriously working towards making its foray into the mutual fund business. The bank was already having its MF arm, which was sold off by it to Taurus Mutual Fund few years ago.
However, the bank has evinced its interest for the same once again in the new scenario when stock market has started performing well. Ernst & Young, the consultant appointed by the bank to find out a suitable partner for the proposed MF arm, has suggested either of the three foreign banks based in Spain, the USA and the UK for the same. But, any decision towards this effect will be taken by the bank only when its new CMD assumes office. The post is lying vacant since the retirement of its earlier CMD, TS Narayanasami on May 31. Though the notification for the post is yet to be announced by the government, the name of Oriental Bank of Commerce CMD, Alok Misra, is doing the rounds in this connection for quite some time now. It is to be noted that the FE was the first to report about the bank?s plan on its report that appeared on 03 July, 2008.
Talking to FE on condition of anonymity, a senior official of the bank said that ?We had planned for it last year itself, but we could not execute our plans as the stock market was not doing well?.