Federal Bank announced the launch of its wealth management platform ‘Fed Wealth’ and the inauguration of its first Wealth Hub, marking the next phase of the Bank’s strategic expansion in the wealth management business. Building on the trust developed over the legacy of more than 90 years, the Bank continues its customer centric focus and will provide in depth market research and a wide range of products aligned with customer risk profiles. A curated suite of investment solutions will include fixed income, equities, mutual funds, alternatives and opportunities through GIFT City.
The Bank will establish dedicated Wealth Hubs across key locations. These specialised centres will provide clients with a private, premium environment to engage with relationship managers and portfolio counsellors, review investment strategies, and access research insights across asset classes through both in-person and virtual consultations.
As part of this strategic expansion, and to align with the Bank’s evolving product and service architecture for affluent and UHNI clients, the existing arrangement between Federal Bank and Equirus Capital Private Limited (“Equirus”) for wealth management services will be restructured. Customers who currently avail wealth management services through the existing arrangement with Equirus will continue to do so without disruption under the current framework.
The wealth management business will be led by Virendra Somwanshi, who brings extensive experience in building and scaling wealth management franchises within the banking sector.
Federal Bank continues to hold 8.69% percent stake in Equirus. The Bank and Equirus will continue to collaborate to fulfil the investment needs of UHNI category customers by offering select products and services from the Equirus wealth management suite.
K V S Manian, MD & CEO, Federal Bank, said, “The Equirus partnership enabled the Bank to establish a strong foundation in the wealth management business. In the next phase of growth, we would like to invest more and create our own franchise in this space. We value our association with Equirus and look forward to continued collaboration in areas of mutual strength”.
Mr. Ajay Garg, MD Equirus Capital, said, “As envisaged in the partnership, we had entered into the wealth management business 7 years ago and have been able to establish ourselves as one of the top 10 players in the wealth management business with presence across 23 cities. Federal Bank has been a valued partner and we are keen to support their desire to broaden their wealth presence and working closely with them on technology and business build out to facilitate the same."
