The Indian operation of South Korea’s Mirae Asset Global Investments Co. has drawn nearly 61 billion rupees ($915 million) since 2006 when it first branched out to the country, thanks to growing investment by not only affluent young Indian customers but also low-income families backed by the country’s rapidly expanding economy.

Mirae Asset Global Investments said on Wednesday that its Indian operation’s asset under management reached 60.9 billion rupees as of October 4. The Korean company set up its Indian operation in November 2006 and the branch is the only asset management company in India that independently managed by a foreign fund.

The Indian operation that sells its own fund products specifically designed to target local customers has been rapidly grown. So far this year, it has attracted more than 500 billion won ($444.6 million) from local investors. Mirae Asset Global Investments has made all-out efforts to expand its presence in the country with expectations for an increase in consumption of young Indian people on the rise of middle-class and a further growth in the government’s infrastructure spending.

The Indian fund market is estimated at 266 trillion won, far smaller than the Korean one, but has been rapidly growing by more than 25 percent every year since 2014.

With more and more in the low-income bracket participating in economic activities, the number of retail investors is on the rise in the Indian fund market.

Reflecting such a trend, equity funds account for 96 percent of all assets in Mirae Asset’s Indian operation. Three-year and five-year return rates of its Mirae Asset Emerging Bluechip Fund recorded 203 percent and 268 percent, respectively, as of late September. Three-year and five-year return rates of Mirae Asset India Opportunities Fund reached 105 percent and 158 percent, respectively.

Starting with the Hong Kong operation in 2003, Mirae Asset Global Investments has established its foreign operations in 12 countries including the U.S., Canada, China and Brazil. Combined assets under management by its foreign operations surpassed 12 trillion won in late August, while the company’s total assets are estimated at 10.9 trillion won.

By Kim Hye-soon

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