MIRA INFORM REPORT

 

 

Report Date :

28.03.2014

 

IDENTIFICATION DETAILS

 

Name :                  

LIC NOMURA MUTUAL FUND ASSET MANAGEMENT COMPANY LIMITED

 

 

Registered Office :

Industrial Assurance Building, 4th Floor, Opposite Churchgate Station, Mumbai – 400020, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

2011-2012

 

 

Date of Incorporation :

20.04.1994

 

 

Com. Reg. No.:

11-077858

 

 

Capital Investment / Paid-up Capital :

Rs.1100.000 Millions

 

 

CIN No.:

[Company Identification No.]

U67190MH1994PLC077858

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMJ04150G

 

 

PAN No.:

[Permanent Account No.]

AAACJ1166H

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Subject is engaged in the business of mutual fund.

 

 

No. of Employees :

Information declined by the management

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Aa (81)

 

RATING

STATUS

PROPOSED CREDIT LINE

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

Large

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a joint venture between LIC Mutual Fund Trustee Company Limited and Nomura Asset Management Strategic Investments Private Limited.

 

It is an established company having fine track record.

 

The company has performed well and managed assets of Rs.79760.000 Millions during Q2 FY. 2014.

 

Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitment.

 

The company can be considered good for normal business dealings at usual trade terms and conditions.

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

INDIAN ECONOMIC OVERVIEW

 

India’s current account deficit for the fiscal third quarter ended September 2013 narrowed to $4.2 billion or 0.9 % of the gross domestic product from $31.9 billion or 6.5 % of GDP a year earlier, thanks to a pick-up in exports and moderation in gold imports. Manufacturing activity and new orders in India showed their strongest growth in a year in February. The news comes as a relief after data showed Asia’s third largest economy grew by a slower-than-expected 4.7 % annually in the three months through December. The HSBC Manufacturing Purchasing Managers’ Index which gauges the business activity of India’s factories but not its’ utilities, rose to 52.5 in February, its highest in a year from 51.4 in January. Overall new orders for factory goods which rose to a one-year high of 54.9 contributed to the surge. China has emerged as India’s biggest trading partner in the current financial year replacing the United Arab Emirates and pushing it to the third spot. India-China trade has reached $49.5 billion with a 8.7 % share in India’s total trade. The US comes second at $46 billion with 8.1 % share during the first nine months of the current financial year.

 

The Reserve Bank of India has granted an additional nine months to the public to exchange currency notes printed before 2005 including Rs 500 and Rs 1,000 denominations, pushing the deadline to January 1, 2015. A day before dates for the Lok Sabha polls were announced, the government decided to hike interest rates on fixed deposit schemes offered by post offices up to 0.2 per cent. The new rates will be effective April, 1. The Supreme Court will resume hearing on March, 11 Nokia’s appeal against a ruling over transferring ownership of its local mobile phones plant which is the subject of a tax dispute to Microsoft Corp.

 

In the last days of the current Government, another scam has surfaced. The defence ministry has ordered a probe into Hindustan Aeronautics Limited’s contracts from Britain’s Rolls-Royce Holdings worth at least $ 1.2 billion. The Central Bureau of Investigation will look into allegations that over $80 million was paid in kickbacks in a deal signed in 2011. India has asked Boeing Co. to find a solution for problems with state-owned Air India’s 787 Dreamliners. The aircraft has experienced a series of malfunctions since its debut in 2011.

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

ICRA

Rating

AAAmfs (LIC Nomura MF Bond Fund)

Rating Explanation

Have the highest degree of safety and timely receipt of payments from the investments that they have made.

Date

October 2013

 

 

Rating Agency Name

ICRA

Rating

A1+mfs (LIC Nomura MF Liquid Fund)

Rating Explanation

Have very strong degree of safety.

Date

October 2013

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

INFORMATION DENIED

 

Management Non-Cooperative (91-22-22851661)

 

 

LOCATIONS

 

Registered Office/ Corporate Office :

Industrial Assurance Building, 4th Floor, Opposite Churchgate Station, Mumbai – 400020, Maharashtra, India

Tel. No.:

91-22-22851661

Fax No.:

91-22-22880633 

E-Mail :

service@licnomuramf.com

cs.co@licnomuramf.com

licmf_accts@licnomuramf.com

srinivas@licnomuramf.com

corp.office@licnomuramf.com

Website :

http://www.licnomuramf.com

 

 

MANAGEMENT

 

Name :

Mr.  M Raghavendra

Designation :

Trustee Directors

Date of Birth/Age :

69 Years

Qualification :

B.Com., LLB

Experience :

He holds Bachelor Degree in Commerce and Law from Mumbai University. He was General Manager in GIC wherein he was in charge of Finance and Accounts, Personnel, HRD and Office Services, Crop Insurance and Foreign Operations and Information Technology Departments. He has also worked in various capacities in Reinsurance Accounts, Reinsurance Underwriting, Investment Operations and Accounts and Financial Advisor's Department of GIC. He was an ex-officio director on the Board of United India Insurance Company Limited, and also represented GIC as its Nominee Director on the Boards of reputed corporate bodies. He was a Director and first Chief Executive of Agriculture Insurance Co. Limited, New Delhi. He has participated as a member in various committees in the industry from time to time.

 

 

Name :

Mr. T C Venkat Subramanian

Designation :

Trustee Directors

Date of Birth/Age :

64 Years

Qualification :

B.E.,CAIIB

Experience :
  • Executive Director/COO in Export –Import Bank of India (EXIM Bank) from June 1996 to April 2001
  • Managing Director/CEO of EXIM Bank from May 2001 to Dec. 2003
  • Chairman and Managing Director/CEO of Exim Bank from Dec 2003 to Oct 2009

 

 

Name :

Mr. Kasthuri Rangan Raghavachary

Designation :

Trustee Directors

Date of Birth/Age :

51 Years

Qualification :

B. Com.

Experience :
  • AXA Business Services Private Limited – Overall responsibility to provide strategic leadership, identify business opportunities from Nov. 2000 to Dec. 2000
  • Prudential Process Management Services Limited – Overall responsibility to provide direction, management and development, including formulation of business strategy and planning – From Jan 2003 to June 2005

 

 

Name :

Mr. Homi R Khusrokhan

Designation :

Trustee Directors

Date of Birth/Age :

70 Years

Qualification :

B.Com (Hons.), F.C.A, M.Sc (Econ.)

Experience :
  • Glaxo India Limited – MD, General Management from 1995 to 2000
  • Tata Tea Limited –General Management – MD, General Management from 2001 to 2004
  • Tata Chemicals Limited – General Management from 2004 to 2008
  • Appointment as the President of Bombay Natural History Society (BNHS) w.e.f. 07.01.2012

 

 

Name :

Mr. Nityanath Ghanekar

Designation :

Trustee Directors

Date of Birth/Age :

67 Years

Qualification :

B.Com., LLB., Chartered Accountant

Experience :
  • Pricewaterhouse Coopers – Executive Director from 2000 – 2004
  • Ernst and Young – Director from 2004 – 2007
  • J M Financial Asset Mgt Private. Limited – Managing Director from 2007 - 2009

 

 

Name :

Mr. H N Motiwala

Designation :

Trustee Directors

Date of Birth/Age :

69 Years

Qualification :

B.Com, LLB, F.C.A, D.I.S.A (ICAI)

Experience :

Sr. Partner in M/s. H N Motiwalla and Company from 1970 onwards

 

 

Name :

Mr. T S Vishwanath

Designation :

AMC Directors

Date of Birth/Age :

65 Years

Qualification :

B.Com, [Hons.] FCA

Experience :

Past President, ICAI and South Asian Federation of Accountants. Past Chairman of Northern India Regional Council of the Institute of Chartered Accountants of India, Indo-UK Accountancy Task Force-India side, India Member -International Accounting Standard Board of International Accounting Standards Committee. Participated in various seminars, workshops and conferences organized by the ICAI. Member of various committees constituted by ICAI, IRDA, Govt. of India, RBI and SEBI. Director (past and present) on the boards of large public company including listed companies. Practising Chartered Accountant for the last 36 years.

 

 

Name :

Mr. V K Sharma

Designation :

Trustee Directors

Date of Birth/Age :

54 Years

Qualification :

MSC

Experience :

Experience in LIC of India:-

  • SDM, Karnal - From May 2000-April 2003
  • Regional Manager (P and GS) NZO, Delhi from May 2003 to April 2004
  • Regional Manager (Mktg.), EZO, Kolkata from May 2004 to April 2006
  • Regional Manager (Mktg.) , WZO, Mumbai from May 2006 to April 2007
  • Executive Director (P and GS), Central Office, Mumbai from May 2007 to April 2009
  • Zonal Manager in charge, SZO, Chennai from May 2009 to Nov 2010

 

 

Name :

Mr. S K Mitra

Designation :

Trustee Directors

Date of Birth/Age :

65 Years

Qualification :

M.Sc (Mathematics), Master of Management Science, USA

Experience :
  • Bank Of India – Set up the Merchant Banking Department in 1977. Dealt with Capital Market, Banking and Institutional lenders.
  • Standard Chartered Bank - Set up the Merchant Banking Department in 1978. Dealt with Capital Market, Banking and Institutional lenders, including overseas players.
  • 3. American Express Bank - (1985 – 88) As Country Head, Investment and Corporate Banking dealt extensively with wide range of banking and capital market activities.
  • As Managing Director, GIC Asset Management Company was one of the early successful players in the asset management industry. Was pioneer in tying up joint venture and setting up offshore fund.
  • 5. As the Group Director, Financial Services, Aditya Birla Group, (1990- 2007), set up the very successful asset management company, ran it personally at various stages.

 

 

Name :

Mr. Takashi Saruta

Designation :

Trustee Directors

Date of Birth/Age :

51 Years

Qualification :

B.Com from Keio University

Experience :
  • The Sumitomo Trust and Banking Company Limited- Chief Investment Officer of Asset Management Dep. From Oct 2000-May 2003
  • The Sumitomo Trust and Banking Company Limited- Deputy General Manager of Asset Management Dep. From June 2003-May 2004
  • The Sumitomo Trust and Banking Company Limited- Deputy General Manager of Asset Management Planning Dep. From June 2004-Oct 2004
  • Nomura Asset Management Company Limited (Tokyo) – Senior Manager of Institutional Client Service Dep. From Nov 2004- Mar 2005
  • Nomura Asset Management Company Limited (Tokyo) – Managing Director of Institutional Business Planning Dep. From Apr 2005- Nov 2007
  • Nomura Asset Management Singapore Limited. (Singapore) – Managing Director From Dec 2007- Mar 2010
  • Nomura Asset Management Company Limited (Tokyo) – Senior Managing Director From Apr 2010- Mar 2013

 

 

Name :

Prof. Marti G Subrahmanyam

Designation :

Trustee Directors

Date of Birth/Age :

66 Years

Qualification :

B-Tech, Post Graduate Diploma in Business, Administration, Finance and Accounting Doctor of Philosophy, Finance and Economics.

Experience :

He has been a visiting Professor at leading academic Institutions in Australia, England, France, Germany, India, Italy and Singapore including ESSEC and INSEAD, in France the Indian Institute of Technology, Madras and the Indian Institute of Management, Ahmedabad University Guido Carli LUISS in Rome, Italy, University of Konstanz, Germany, Singapore Management University and Churchill College, Cambridge University.

 

 

Name :

Mr. Hajime Kurozu

Designation :

Trustee Directors

Date of Birth/Age :

55 Years

Qualification :

Bachelor of Business Administration, Meiji University, CMA (Chartered Member of the Securities Analysts Association of Japan

Experience :
  • Head of Automobile and Machinery Industry Investment Banking Dept 1 , Nomura Securities Company Limited Tokya, Japan from April 2000 – March 2003
  • Managing Director of Investment Banking Dept 1, Nomura Securities Company Limited, Tokyo, Japan – From April 2003 – July 2006
  • Managing Director of Osaka Investment Banking Dept. 1, Nomura Securities Company Limited Osaka, Japan - From Aug 2006 to Sept 2007
  • Chief Account Manager of Investment Solution Dept., Nomura Asset Management Company, Limited, Tokyo, Japan - From Oct 2007 – March 2009
  • Managing Director of Business Development Dept, Nomura Asset Management Company, Limited, Tokyo, Japan - From April 2009 to Dec 2010
  • Managing Director of Executive Administration, Nomura Structured Finance Services Private Limited, Mumbai, India - From Jan 2011 – Jan 2012

 

 

Name :

Mr. Kailash Kumar Bang

Designation :

Trustee Directors

Date of Birth/Age :

47 Years

Qualification :

B.Com., FCA, DISA (ICAI)

Experience :

Partner in Trivedi and Bang, Chartered Accountants, Hyderabad for the last 23 years, in the field of Audit and Taxation

 

 

Name :

Mr. Nilesh B. Sathe

Designation :

Trustee Directors

Date of Birth/Age :

56 Years

Qualification :

 M.Com, CAIIB (Finance and Accounts)

Experience :

Experience in LIC of India as Zonal Manager in Northern Zone and in charge of various Divisional Offices

Experience as Head of Marketing Channel, Business Group in LIC of India

 

 

KEY EXECUTIVES

 

Name :

Mr. Nilesh B. Sathe

Designation :

Whole Time Director and Chief Executive Officer

Date of Birth/Age :

56 Years

Qualification :

M.Com., CAIIB (Finance and Accounts)

Experience :
  • In charge of Divisions, LIC of India – 2000 - 2004
  • Head of Business Group, LIC of India – 2004 - 2008
  • Head of Marketing Channel, LIC of India – 2008 - 2011
  • Zonal Manager, Northern Zone, LIC of India – 2011 - 2012
  • Presently Whole Time Director and Chief Executive Officer of LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. Anutosh Bose

Designation :

Chief Operations Officer

Date of Birth/Age :

43 Years

Qualification :

B.Sc.(Hons.), Physics, CAIIB (UTI Exam), PGD Mktg and Sales Mgt.(Delhi), PGDCA, Oracle Financials, MBA (Finance).

Experience :
  • Various functions at different point of time, UTI AMC Limited – 1993 – 2003 including DOIT during 2002-2003
  • Operations Tech and MF Infrastructure Support, JM Financial AMC Limited – 2003 – 2006
  • COO, JP Morgan Asset Management India Private. Limited – 2006 – 2012
  • Presently Chief Operations Officer at LIC Nomura Mutual Fund AMC Limited

 

 

Name :

Mr. Ranbir Datt

Designation :

Chief Marketing Officer

Date of Birth/Age :

54 Years

Qualification :

Masters in Economics and PGDMM

Experience :
  • Manager (IT and Claims Dept), LIC of India, DO Srinagar
  • Area Manager – LIC Housing Finance Limited, Chandigarh
  • Sr. Divisional Manager, Nagpur and Karnal
  • Regional Manager (Marketing) and
  • Regional Manager (EandOS), LIC of India, Hyderabad
  • Chief Marketing Officer at LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. Nobutaka Kitajima

Designation :

Chief Investment Officer (Equity) and fund manager

Date of Birth/Age :

47 Years

Qualification :

MBA, Bachelor of International Economics

Experience :
  • Nomura Asset Management Company, Limited – 1988 – 2004
  • Senior Portfolio Manager, Nomura Asset Management USA Inc., – 2004 – 2005
  • Senior Portfolio Manager, Nomura Asset Management UK. Limited – 2005 – 2011
  • Product Management for Global Equity related products, Nomura Asset Management Company, Limited – 2011 – 2012
  • Presently Chief Investment Officer (Equity) at LIC  NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. S Ramasamy

Designation :

Chief Investment Officer (Debt)

Date of Birth/Age :

53 Years

Qualification :

B.Com, CA

Experience :
  • Manager - JBS AMC Limited - 1989-94
  • Fund Manager- LIC of India – 1994-2009
  • Fund Manager- LIC Nomura MF AMC Limited – 2009-2011
  • Head of Southern Regional Office- LIC Housing Finance Limited – 2011-2013
  • Presently Chief Investment Officer (Debt) at LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. B K Unhelkar

Designation :

Company Secretary and Compliance Officer

Date of Birth/Age :

51 Years

Qualification :

M.Com, ACWA, ACS, Passed three papers of Institute of Actuaries of India (IAI)

Experience :
  • Asst. Secy (Personnel / Employee Relations), LIC Central Office – 6 Years
  • Marketing Manager, Indore Division, LIC of India – 3 Years
  • Marketing Manager, Thane Division, LIC of India – 1 Year
  • Director and Chief Executive Officer, LIC (Nepal) Kathmandu, Nepal – May 2006 to March 2008
  • Joint General Manager/ Company Secretary, LIC Pension Fund Limited, Mumbai ,since inception ( March 2008 to July 2010)
  • Presently Company Secretary/Joint General Manager at LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Ms. Shefali B Suri

Designation :

Head – (Human Resources)

Date of Birth/Age :

39 Years

Qualification :

BA (Economics Honours), PGDM

Experience :
  • SBI Mutual Fund, Human Resource Management – 2000-2005
  • Lehman Brothers, Human Resource Management – 2005-2006
  • Kellog India Private Limited, Human Resource Management – 2006-2008
  • Mirae Asset Management Company, Human Resource Management – 2008-2010
  • Presently Head – Human Resource Management at LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. Parameswar M.A.

Designation :

In-charge (PMS)

Date of Birth/Age :

40 Years

Qualification :

B.Com, MBA

Experience :
  • Whole Time director- Prime Broking Company (India) Limited – 1997-2004
  • Regional Head Director – Shreyas Stocks Private Limited – 2004-2011
  • Senior Manager (Branch Head) – Religare Securities Limited – 2011-2012
  • Presently DGM Finance at LIC NOMURA Mutual Fund AMC Limited 

 

 

Name :

Mr. Killol Pandya

Designation :

Senior Debt Fund Manager

Date of Birth/Age :

37 Years

Qualification :

MMS (Finance), K.J. Somaiya Institute of Management Studies and Research, Mumbai

DPCM, ICFAI

B.Com, N.M College of Commerce and Economics, Mumbai.

Experience :
  • Fund Manager, SBI Mutual Fund, Jun 2003-Apr 2008.
  • Head - Fixed Income, Daiwa Asset Management (India) Private. Limited, April 2008-March 2013.
  • Presently Senior Debt Fund Manger in LIC NOMURA Mutual Fund AMC

 

 

Name :

Mr. Surendra Jalani

Designation :

Fund Manager

Date of Birth/Age :

41 Years

Qualification :

B.Com (Hons.), FCA and Passed 8 Modules of NSE Certification in Financial Management.(NCFM)

Experience :
  • Asst. Administrative Officer (FandA), LIC of India – September 1996 to April 2003
  • Administrative Officer (Investment), LIC of India – May 2003 to April 2010
  • Assistant Secretary (Investment), LIC of India – May 2010 to April 2012
  • Presently Asst. General Manager (Finance) at LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. Y D Prasanna

Designation :

Fund Manager

Date of Birth/Age :

44 Years

Qualification :

B.Sc, Fellow of Insurance Institute of India, PGDM in Sys Mgmt (NIIT), Completed 1 year Post Graduate Executive Program under the aegis of LIC of India and IIM - Ahmedabad

Experience :
  • Asst. Manager, Mktg and Administration, LIC MF AMC Limited – October 2001 to April 2008
  • Area Manager, LICMF AMC Limited from April 2008 to May 2010
  • Admn. Officer – LIC of India, - On Training (PGEP Course) from May 2010 to May 2011
  • Presently Manager (Finance) at LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. Sachin Relekar

Designation :

Co-Fund Manager

Date of Birth/Age :

39 Years

Qualification :

MMS (Finance) , Jamnalal Bajaj Institute of Management Studies, Mumbai B.E. (Mech), K. E. S. College of Engineering, Islampur

Experience :
  • Equity Research (Buy Side), Tata AMC , Sept 2007- Nov 2012.
  • Equity Research (Sell Side), C D Equity Research Private. Limited, Aug 2005-Sept’2007.
  • Strategy consulting, Innovision Consulting June 2004-July 2005.
  • Business Development (IT Products), Tech Pacific India Private. Limited, June 2003-Feb 2004.
  • Presently Fund Manager in LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. Ramnath Venkateswaran

Designation :

Co-Fund Manager

Date of Birth/Age :

34 Years

Qualification :

PGDM, IIM Calcutta B Tech (Hons), IIT Kharagpur

Experience :
  • Senior Research Analyst, Birla SunLife Insurance, Mar 2010-Nov 2012.
  • Research Analyst, Kotak Institutional Equities, Nov 2005-Feb 2010.
  • Manager Research, Edelweiss Capital, Nov 2004-Oct 2005.
  • Business Analyst, Tata Consultancy Services, June 2003- Oct 2004
  • Presently Fund Manager in LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. Y Srinivasa Rao

Designation :

DGM – Accounts

Date of Birth/Age :

50 Years

Qualification :

 B.Com., A.C.A, Grad. C.W.A

Experience :
  • Admn. Officer – Equity Research, LIC of India – 8 Years.
  • Asst. Secy (F and A) – LIC of India – 5 Years
  • Presently DGM Accounts at LIC NOMURA Mutual Fund AMC Limited

 

 

Name :

Mr. Ketan Paryekar

Designation :

Dealer

Date of Birth/Age :

30 Years

Qualification :

BBA, MBA

Experience :
  • Asst. Manager (Finance), LIC Mutual Fund AMC Limited
  • Asst. Manager (Finance), LIC NOMURA Mutual Fund AMC Limited
  • Presently Dealer in LIC NOMURA Mutual Fund AMC Limited

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

- Life Insurance Corporation of India (including 7 nominee shareholders) : 45%

- Nomura Asset Management Strategic Investments Private Limited : 35%

- LIC Housing Finance Limited : 20%

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is engaged in the business of mutual fund.

 

 

GENERAL INFORMATION

 

No. of Employees :

Information declined by the management

 

 

Bankers :

Not Divulged

 

 

Facilities :

--

 

 

 

Banking Relations :

--

 

 

Statutory Auditor :

 

Name :

S.R. Batliboi and Company LLP

Chartered Accountants

Address :

14th Floor, The Ruby, 29 Senapati Bapat Marg, Dadar (West), Mumbai – 400 028, Maharashtra, India 

 

 

Legal Counsel :

 

Name :

Pandian and Associates

Address :

20-B, Vatsa House (RPI House), 3rd Floor, Janmabhoomi Marg, Fort, Mumbai – 400 001, Maharashtra, India 

 

 

Associate Companies  :
  • LIC Housing Finance Limited
  • LIC Pension Fund Limited
  • LIC International (E.C) Behrain
  • LICHFL Care Homes Limited
  • LIC (Nepal) Limited
  • LIC (Lanka) Limited
  • LIC (Singapore) Pte. Limited
  • Kenindia Assurance Company Limited
  • LIC Cards Services Limited
  • LICHFL Financial Services Limited
  • LICHFL Trustee Company Pvt. Limited
  • LICHFL Asset Management Company Limited

 

 

CAPITAL STRUCTURE

 

Authorised Capital : Rs.2500.000 Millions

 

Issued, Subscribed & Paid-up Capital : Rs.1100.000 Millions

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

LIC of India, incorporated in 1956 under the LIC Act is in the principal business of providing life insurance. The brief financial position of LIC, is as under

 

Particulars

For financial years (Rs. in Millions)

 

2009-10

2010-11

2011-2012

TOTAL INCOME

2987215.500

2992726.300

2873153.800

TOTAL OUTGO (INCLUDING TAXES, TRANSFER TO RESERVES & 5% OF VALUATION SURPLUS PAID TO CENTRAL GOVT)

1087283.700

1475896.400

1545483.800

EXCESS OF INCOME OVER OUTGO ADDED TO FUND

1899931.800

1516829.900

1327670.000

LIFE FUND AT THE END OF THE YEAR

9995175.900

11512005.800

12839907.200

CAPITAL PROVIDED BY CENTRAL GOVT.

50.000

50.000

1000.000

 

 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITIES OF LONG-TERM DEBT DETAILS – NOT AVAILABLE

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

No

9]

Name of person contacted

No

10]

Designation of contact person

No

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

--

22]

Litigations that the firm / promoter involved in

--

23]

Banking Details

Yes

24]

Banking facility details

No

25]

Conduct of the banking account

--

26]

Buyer visit details

--

27]

Financials, if provided

Yes

28]

Incorporation details, if applicable

No

29]

Last accounts filed at ROC

No

30]

Major Shareholders, if available

No

31]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

No

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

Yes

 

 

A. CONSTITUTION OF THE MUTUAL FUND

 

LIC NOMURA Mutual Fund AMC Limited has been constituted as a trust on 20/04/1989 in accordance with the provisions of the Indian Trusts Act, 1882 (2 of 1882) with LIC of India as the Sponsor and the LIC NOMURA Mutual Fund Trustee Company Private Limited as the Trustee. The Trust Deed has been registered under the Indian Registration Act, 1908. The Mutual Fund was registered with SEBI on 9/5/94 vide Registration Code No.MF/012/94/5, which was issued afresh by SEBI in the name of LIC NOMURA Mutual Fund on 6/4/2011 with the same registration no. i.e. MF/012/94/5.

 

 

B. SPONSOR

 

LIC Nomura Mutual Fund AMC Limited is sponsored by LIC of India. The Sponsor is the Settler of the Mutual Fund. The Sponsor has entrusted a sum of Rs.20.000 Millions to the Trustee as the initial contribution towards the corpus of the Mutual Fund.

 

 

AMC Fees In accordance with the Investment Management Agreement and the SEBI regulations the modification in Expense Ratio of LIC Nomura Mutual Fund AMC Limited are as follows: Maximum Recurring Expenses:

 

Daily net assets

As a % of daily net assets (per annum)

Additional Total Expense Ratio as per SEBI Regulations 52 (6A) (c) @

Additional Total Expense Ratio as per SEBI Regulations 52 (6A) (b) @

First Rs. 1000.000 Millions

2.50%

0.20%

0.30%

Next Rs. 3000.000 Millions

2.25%

0.20%

0.30%

Next Rs. 3000.000 Millions

2.00%

0.20%

0.30%

Balance of assets over and above Rs. 7000.000 Millions

1.75%

0.20%

0.30%

 

 

@- In addition to the limits specified in Regulation 52 (6) of SEBI Regulations, the following costs or expenses may be charged to the Scheme under Regulation 52 (6A) of SEBI Regulations:

 

I. The AMC may charge additional expenses not exceeding 0.20 % of daily net assets of the Scheme incurred towards different heads of fees and expenses.

 

II. Additional expenses may be charged up to 30 basis points on daily net assets of the Scheme as per Regulation 52 of SEBI Regulations, if the new inflows from beyond top 15 cities are at least (a) 30% of gross new inflows in the Scheme or (b) 15% of the average assets under management (year to date) of the Scheme, whichever is higher.

 

Provided that if inflows from such cities is less than the higher of (a) or (b) above, such additional expenses on daily net assets of the Scheme shall be charged on proportionate basis. Provided further that expenses charged under this clause shall be utilized for distribution expenses incurred for bringing inflows from such cities. Provided further that amount incurred as expense on account of inflows from such cities shall be credited back to the Scheme in case the said inflows are redeemed within a period of one year from the date of investment.

 

III. Brokerage and transaction cost incurred for the purpose of execution of trade may be capitalized to the extent of 12bps and 5bps for cash market transactions and derivatives transactions respectively. Any payment towards brokerage and transaction cost, over and above the said 12 bps and 5bps for cash market transactions and derivatives transactions respectively may be charged to the scheme within the maximum limit of Total Expense Ratio (TER) as prescribed under regulation 52 of the SEBI (Mutual Funds) Regulations, 1996. Any expenditure in excess of the said prescribed limit (including brokerage and transaction cost, if any shall be borne by the AMC or by the trustee or sponsors.

 

In addition to expenses under Regulation 52 (6) and (6A) of SEBI Regulations, AMC may charge service tax on Investment Management and Advisory Fees, expenses other than Investment Management and Advisory Fees and brokerage and transaction cost as below: a. Service Tax on Investment Management and Advisory Fees: AMC may charge service tax on Investment Management and Advisory Fees of the Scheme in addition to the maximum limit of TER as per the Regulation 52(6) and (6A) of SEBI Regulations.

 

b. Service Tax on expenses other than Investment Management and Advisory Fees: AMC may charge service tax on expenses other than Investment Management and Advisory Fees of the Scheme, if any within the maximum limit of TER as per the Regulation under 52(6) and (6A) of SEBI Regulations.

 

c. Service Tax on brokerage and transaction cost: The service tax on brokerage and transaction costs which are incurred for the purpose of execution of trade, will be within the limit of prescribed under Regulation 52 of SEBI Regulations.

 

d. Service Tax on Exit Load, if any, shall be paid out of the exit load proceeds and exit load net of service tax, if any, shall be credited to the scheme with effect from October 1st 2012.

 

Any expenditure in excess of the SEBI regulatory limits shall be borne by the AMC or by the Trustee or the Sponsor.

 

The AMC shall make complete disclosures in the half yearly report of Trustees to SEBI regarding the efforts undertaken by them to increase geographical penetration of mutual funds and the details of opening of new branches, especially at locations beyond top 15 cities.

 

SERVICE PROVIDERS

 

CUSTODIANS

 

LIC Nomura Mutual Fund AMC Limited has appointed Stock Holding Corporation of India situated at Mittal Court, ‘B’ Wing, Nariman Point, Mumbai 400021, having SEBI Registration No. IN/CUS/011 as per the custodian agreement with them, signed on 22/4/94 and HDFC Bank Limited Situated at Sandoz House, Dr. Annie Besant Road, Worli, Mumbai 400 018, having SEBI Registration No. IN/CUS/001 as per the custodian agreement with them, signed on 2/12/2002. LIC Nomura Mutual Fund AMC Limited may also appoint any other Depository as the custodian for the scheme.

 

REGISTRAR and TRANSFER AGENT All the activities such as processing of applications, issuance of statement of account / unit certificate and other such activities are proposed to be carried out by our Registrar and Transfer Agent M/s. Karvy Mutual Fund Services (A division of Karvy Computershare Private Limited).. The address of the Registrar is:

 

M/s. Karvy Computershare Private Limited Unit:

LIC Nomura Mutual Fund AMC Limited,

“Karvy Plaza", H.No.8-2-596, Avenue 4, Street No.1, Banjara Hills, Hyderabad – 500 034

Phone: 91-40 – 44677131-40

Fax No. 91-40 – 23388705

Email Id: service_licmf@karvy.com 

Website: www.karvymfs.com / www.karvycomputershare.com

The SEBI Registration No. of R and TA is INR000000221

 

FUND ACCOUNTANT

 

Deutsche Bank AG, Mumbai Branch has been appointed as the fund administrator (the “Fund Administrator”) for the Scheme(s) launched by the Mutual Fund. The Fund Administrator provides fund accounting, NAV calculation, expense administration and other related services in accordance with the Fund Administration Agreement dated November 1, 2012 between the AMC and the Fund Administrator.

 

Address: Sir Hazarimal Somani Marg, Fort, Mumbai – 400 001.

 

The Fund Administrator is entitled to remuneration for its services in accordance with the terms of the Fund Administration Agreement and such remuneration will be borne by the AMC and not by the unit holders. The AMC has the right to change the Fund Administrator in certain circumstances.

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                                       None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                        None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                        None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 

 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.60.13

UK Pound

1

Rs.99.65

Euro

1

Rs.82.91

 

 

INFORMATION DETAILS

 

Information Gathered by :

NAY

 

 

Report Prepared by :

VRN

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

9

PAID-UP CAPITAL

1~10

9

OPERATING SCALE

1~10

9

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

9

--PROFITABILIRY

1~10

9

--LIQUIDITY

1~10

9

--LEVERAGE

1~10

9

--RESERVES

1~10

9

--CREDIT LINES

1~10

9

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

NO

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

 

 

 

TOTAL

 

81

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

 

 

RATING EXPLANATIONS

 

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

--

NB

                                       New Business

 

--

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.