Kotak Mahindra Unit Pioneers Retail Fund Access in UAE, Marking a Historic First for Indian AMCs

In a groundbreaking move, Kotak Mahindra Asset Management Company (AMC) Limited's wholly-owned subsidiary in the UAE has secured a coveted Category 3C licence from the Dubai Financial Services Authority (DFSA). This pivotal achievement empowers Kotak Mahindra (International) Limited to offer and market Indian-domiciled funds directly to retail investors within the Dubai International Financial Centre (DIFC) and across the broader United Arab Emirates.

This isn't just another licence; it's a significant milestone. Kotak AMC is now the trailblazing Indian asset management company to obtain such a licence, unlocking unprecedented access for individual investors in the region to the burgeoning opportunities within India's financial markets. Previously holding a Category 4 licence, which allowed them to deal with wholesale clients, this new authorization dramatically expands their reach and deepens their engagement with the affluent and diverse investor base in the GCC countries.

The strategic importance of this development cannot be overstated, particularly for the vast Indian diaspora residing in the UAE. Non-Resident Indian (NRI) investors will now find it significantly easier to invest in a wide array of Indian-domiciled funds, offering them a direct pathway to participate in India's economic growth story. This move provides a crucial alternative to traditionally popular international funds, allowing NRIs to diversify their portfolios with instruments more closely tied to their home country's robust performance.

Nilesh Shah, Managing Director of Kotak Mahindra AMC, articulated the company's ambitious vision, stating, "Our endeavour is to offer relevant Indian investment solutions and services to our international investors, leveraging India's talented workforce and growing economy. This licence further strengthens our commitment to serving NRIs and other investor segments in the UAE." His words underscore the company's global aspirations and its commitment to bridging the gap between Indian financial products and overseas investors.

Echoing this sentiment, Abhishek Shah, CEO, International Business, Kotak Mahindra AMC, emphasized the importance of the new authorization: "This Category 3C licence allows us to deepen our engagement with a broader spectrum of investors in the UAE. We are excited to offer our diverse range of Indian-domiciled funds to retail investors, providing them with quality investment solutions backed by India's robust regulatory framework and economic dynamism."

This expansion by Kotak AMC is a testament to the increasing sophistication and global reach of India's financial services sector. It positions India not just as a recipient of foreign investment, but as a proactive exporter of financial expertise and investment opportunities. For investors in the UAE, it signifies enhanced choice, easier access, and a direct conduit to participate in one of the world's fastest-growing major economies. This landmark achievement solidifies Kotak AMC's leadership in the international arena and sets a precedent for other Indian financial institutions eyeing global expansion.