EPFO has already missed a deadline of 31st March this year, the day on which the term of four fund managers including ICICI Pru, HSBC AMC, Reliance Capital and SBI expired. It had planned to appoint new fund managers for next three financial years beginning 1st April but since EPFO could not appoint new AMCs well in time, it was decided that SBI would manage its entire corpus for a three month period ending 30th June
New Delhi: “It is proposed that the time line for selection of fund managers be extended by another two months to 31 August 2011 or till the selection whichever is earlier,” as per the Employees Provident Fund Organisation (EPFO) proposal listed in the agenda of the CBT meeting scheduled on 24th June, reports PTI.
“It is also proposed that till the appointment of new fund managers, State Bank of India (SBI) may be allowed to continue as the fund manager of EPFO corpus,” it further said.
EPFO has already missed a deadline of 31st March this year, the day on which the term of four fund managers including ICICI Pru, HSBC AMC, Reliance Capital and SBI expired. It had planned to appoint new fund managers for next three financial years beginning 1st April.
Since EPFO could not appoint new AMCs well in time, the Central Board of Trustees (CBT) in its meeting on 30th March this year decided that SBI would manage its entire corpus for a three month period ending 30th June as an interim arrangement.
On 6th June, giving reasonable time for submitting technical and financial bids, EPFO had asked the 10 AMCs who had earlier evinced interest in managing its funds, to meet 24th June deadline for the purpose.
While the technical bids would be opened on 24th June, the financial tenders would be opened on 8th July. Therefore, the appointment of AMCs by EPFO is not possible by this month-end.
Besides, four AMCs who had managed EPFO corpus, seven new firms, including Kotak Securities, Securities Trading Corporation of India, UTI Securities and ICICI Securities, have expressed interest in managing the retirement fund.
EPFO had appointed the four multiple fund managers for the first time in July 2008 with an objective of providing better rate of return on deposits to its 4.72 crore subscribers.
Prior to this, SBI was the sole fund manager for it since its inception in 1952.
The retirement fund body EPFO will appoint the multiple asset management companies by 31st August to manage its huge corpus of over Rs3.5 lakh crore but till then, SBI would continue to be its sole fund manager.
EPFO had to appoint multiple AMCs by 30th June, so that the newly appointed managers could take over its fund by 1st July for a three-year period as desired by its apex decision making body CBT headed by the labour minister.
“There have been many testing periods during my career at the central bank. But I always enjoyed such situations, because our responsibility is to ensure that the public confidence in the system is not shaken,” RBI deputy governor Shyamala Gopinath said
Mumbai: The deputy governor of the Reserve Bank of India (RBI) Shyamala Gopinath, who retired today from the Mint Road office after 39 years of service, says she never felt that she was disadvantaged or advantaged for being a woman, and that there is no glass ceiling at the central bank, reports PTI.
“I don't think a glass ceiling operates for the governor (of the RBI) or for that matter, for any of its officers. At the RBI, all officers are treated as officers and not as women or men. I am an RBI officer like any other.
Because of one’s gender one would not be able to climb up the ladder here,” Ms Gopinath told PTI in her last interview as the deputy governor here yesterday.
“In my 39 years of life at RBI, never ever I felt that I should be treated differently for being a woman. Being women does not help or places one at a disadvantageous position at RBI,” she explained.
When asked about the highs and lows of her four decades-old career, Ms Gopinath said she enjoyed managing many a crisis situation during her long years of service.
“There have been many testing periods during my career at the central bank. But I always enjoyed such situations, because our responsibility is to ensure that the public confidence in the system is not shaken,” Ms Gopinath who joined RBI in April 1972, says adding since she has handled so many areas, does not feel that she has spent so many years.
Elaborating on the tough tasks that RBI has to handle, she says government borrowing is always a tough job, especially during a crisis. “See, managing liquidity is a big challenge.
Managing government borrowing means ensuring that the confidence in the system is not shaken and also ensuring that there is enough liquidity in the system.”
During the last crisis even the economy itself was in bad shape. So were the banks, with very low credit offtake.
Therefore, liquidity management was the biggest challenge for us, she recalls and reels out the list of serious crises as the Asian currency meltdown of 1997, the Kargil conflict of 1999, the Harshad Mehta stock scam of 1992, and ensuring liquidity during the India Millennium Bond maturity of 2000.
Ms Gopinath, who loves classical music, says she wants to give some time to herself before starting anything new. But she would like to continue to contribute to public policy and the financial sector one way or other. During the interim, Ms Gopinath, who said she does not have any particular hobbies, would like to listen to and learn some classical music.
Haling from Karnataka, Ms Gopinath has been handling the departments of internal debt management, foreign exchange, government and bank accounts, non-banking supervision, external investments and operations, financial markets, communication and legal, at the time of hanging up her boots.
Appointed as deputy governor on 20 September 2004 for five years, Ms Gopinath was given an extension till 20 June 2011.
Significantly, her previous colleague Usha Thorat was denied an extension after her five-year stint that ended on 4 November 2010, which raised many eyebrows. And so was the fate of V Leeladhar who was appointed on the same day along with Gopinath in 2004.
Citi India total assets grew 17% to Rs1,11,586 crore as of 31 March 2011
American banking major Citi has reported a 78% jump in its profit after tax from its India operations to Rs1,859 crore in 2010-11.
The jump in profit came on the back of improvement in all key ratios, including net non-performing assets, which narrowed to 1.2% from 2.1% in the previous fiscal, Citi India said in a statement.
Its total assets grew 17% to Rs1,11,586 crore as of 31 March 2011 and were driven more by lending to corporates and small and medium enterprises, which grew 33% and 35%, respectively, it said.
Share of the cheaper CASA (current and savings account) deposits also went up to 56% from 51%, the release said.
During the fiscal, Citi helped Indian clients raise close to $16 billion of equity and debt capital which gives it a 14% share in the capital raising advisory business. Citi India’s total capital adequacy stood at 17.3%.
The total number of automated teller machines (ATMs) in the country also went up to 658 from 457. The bank operates 42 branches in 30 Indian cities.