Two Daiwa Asset Management Co. fund managers in Singapore, who advised on investing in Indian stocks, have left the firm, said two people with knowledge of the matter.
Sudhindra Ballal and Vikas Sharda, who advised on three funds with $260 million in assets, the first of which was set up in December 2007, were asked to leave in late October, said the people, who requested anonymity as the matter is private. The advisory role moved to managers in India, they said.
The shift to India will give an additional revenue stream to Daiwa’s asset management arm in the country, a loss-making entity now, according to one of the people. The unit managed 5.4 billion rupees ($99 million) in the last quarter of 2012, according to the Association of Mutual Funds in India. Daiwa is looking to sell the unit, the Economic Times reported on Nov. 7.
Akihiro Honda, a spokesman for Tokyo-based parent company Daiwa Securities Group Inc., declined to comment.
Daiwa is trimming costs as it loses money abroad. The company on Nov. 8 increased its goal for expense cuts to 70 billion yen ($790 million) by March 2015 from 60 billion yen targeted earlier.