Barjeel Geojit launches MFs online for NRIs

DUBAI - Barjeel Geojit Securities, the UAE-based provider of Indian mutual funds and equity services, has launched an online service for non-resident Indians (NRI) to allow then to invest in Indian mutual funds.

It is the first independent financial intermediary to launch such a service, "designed to make the investment process paperless, hassle free and seamless," CEO Krishnan Ramachandran said at the company's launch yesterday. The process is simple and eliminates multiple paper work. Investors can purchase, redeem switch or subscribe to new fund offers online, with the click of a button.

They only have to sign a customer agreement form and comply with some basic know-your customer (KYC) forms, he said. KYC forms will come into effect from February 1 and applicable to all investments above Rs50,000. He also said the platform is fully compliant with the regulatory and banking requirements for NRI investments.

Barjeel's first offering under Mutual Funds Online is from HDFC Mutual Fund and SBI Mutual, two Indian asset management companies backed by seven banks. It plans to add all leading mutual funds to the trading platform over the next few months.

Speaking at the launch of the online service, chairman of the Association of Mutual Funds of India, AP Kurian, said: "Mutual funds are emerging as one of the best investment options." Even those funds which give a small return perform better than other investment alternatives, he said, adding: "The hard-earned money of NRIs needs a good return and India gives that return."

Kurian also said that the mutual fund industry is the fastest growing sector in the Indian economy. Assets under management increased 17 per cent between 2006 and 2007.

Barjeel Geojit is a joint venture between Sharjah-based Shaikh Sultan bin Saud Al Qasimi, major Indian brokerage Geojit BNP Paribas Financial Services Ltd, and Sharjah-based investment adviser KV Shamsudheen. The company has offices in Dubai, Abu Dhabi, Sharjah and Ras Al Khaimah and is planning two more offices in Al Ain and Fujairah "in the current year," said Ramachandran.