NDB Capital Holdings counts Rs. 100 b in AUM

Thursday, 29 January 2015 00:36 - - {{hitsCtrl.values.hits}}

Largest private sector entity in terms of assets under management NDB Capital Holdings (NCAP) surpassed a major milestone in 2015 by recording an aggregate of Rs. 100 billion in Assets Under Management (AUM) within the group. This achievement solidifies NCAP’s leadership position as the entity with the largest fund base under management in the investment banking sector of Sri Lanka. The NCAP Group has been active in developing the country’s capital markets while functioning as a full service investment bank by providing investment banking through NDB Investment Bank (NDBIB), stock broking through NDB Securities (NDBS) and asset management through NDB Wealth Management (NDBWM). NCAP also manages NDB Capital Bangladesh, a bold stride made into providing investment banking services to a growing market in Bangladesh. A recent groundbreaking initiative also led to the addition of the Emerald Sri Lanka Private Equity Fund, the country’s first and largest, with participation from multilateral agencies, further bolstering the full investment banking service status, to hitherto unmatched levels in the industry.

NCAP CEO Vajira Kulatilaka commenting on this momentous achievement stated: “Surpassing Rs. 100 billion in AUM is a great achievement not just because of the sheer size but especially because it is a reflection of the trust placed by clients in the group’s capabilities.” He further stated: “While we are happy about this achievement, this also means that we are becoming bigger and better in terms of what we can offer our clients. We are in a position to offer packaged financial solutions by enhancing the value proposition with the help of group synergies.” NDBWM is currently the largest private sector asset manager in Sri Lanka with approximately Rs. 90 b in AUM. The company has been driving awareness and adoption of unit trusts as a collective investment scheme for retail investors and offers a range of mutual fund investment products to suit the diverse needs of investors. NDBWM has also been mandated to manage the assets of institutional investors such as insurance funds, pension funds and high net worth individuals. The company possesses vast capabilities in terms of research, operations and state-of-the-art systems in order to fulfil the needs of its clients. NDBIB, the investment banking entity within the group, has a long history of market leadership in both debt and equity capital markets in Sri Lanka. The company is renowned for introducing most of the innovative structures and instruments to the market and also takes credit in having managed landmark transactions in Sri Lanka. Such transactions include the two largest IPOs to take place in the Colombo Stock Exchange to date, the first to structure securitisations for leases, utilities, future tea receivables and credit card receivables, and the largest funds subscription for a listed debenture. NDBS is one of the foremost stock broking companies in Sri Lanka with strong coverage and links with institutional investors and a fast-growing base of retail investors. The company has been successful in promoting Sri Lankan equities amongst foreign investors having conducted several investor roadshows by utilising NDB Group’s strategic alliance with DBS Bank in Singapore. Pulse of Asia Conference NDBS recently participated and presented the Sri Lankan investment case at the ‘Pulse of Asia Conference 2015’, organised by DBS Vickers Securities targeting global emerging and frontier market investors based in Singapore. The newly established Emerald Sri Lanka Fund 1, jointly managed by NDB Capital Holdings and Zephyr Management LP, is funded by NDB Capital Holdings, IFC - a member of the World Bank Group, DEG of Germany and FMO - the Netherland’s Development Finance Company. This fund will be dedicated towards investing in small- and mid-sized businesses in the country, empowering them with much needed growth capital for expansion and bridging the funding gap prior to a public listing. The group’s bold initiative beyond Sri Lanka’s borders, NDB Capital Bangladesh (NCB), has built up a strong presence in Bangladesh with expertise in key thrust sectors in the economy. NCB has been mandated for several key power projects in Bangladesh and has demonstrated group synergies by executing cross border syndications with the assistance of NDBIB in Sri Lanka. The numerous awards and accolades received by companies within the NCAP Group bear testimony to the market leadership position and the pursuit of quality and innovation within the group. NDBIB has received multiple awards affirming its position as the best investment bank in Sri Lanka while NCB received similar awards for its market leadership in Bangladesh. As a result, NCAP emerged as the only investment bank of Asian origin to have been acclaimed as the ‘Best Investment Bank’ for its operations in two countries within the region by the prestigious Euromoney magazine. Furthermore, NDBWM was named the ‘Best Investment Management Company’ by Euromoney and Global Banking and Finance magazines for 2014. NCAP has maintained a strong focus on recruiting the best and brightest talent in the industry while providing on-the-job and structured training programs to train and motivate their human capital pool. The company invests in every step of its employees’ careers ensuring that their interests remain focused on the long-term and closely aligned with that of their clients. Furthermore, the corporate culture of the group is driven by the highest ethical standards with honesty and integrity as its hallmarks. It adheres to strict compliance and ethical guidelines, including the CFA’s code of conduct, a robust internal policy framework for compliance and industry best practices. Considering the increasing size of the group and its duty of utmost confidentiality to clients, NCAP has invested in setting up a separate compliance function dedicated to implementing best-in-class compliance standards within the group in order to protect the reputation of the firm and manage risk across all business areas. Bolstered by its latest achievement, NCAP is bullish on the uptick of capital market activity in Sri Lanka and looks forward to reaping further success during the year.