It's a natural diversification for a bank. India's youngest bank, Yes Bank, plans to get into retail broking business. The bank plans to capitalise on its customer base by offering a new service and thus increase its fee based income.
"Brokerage is very compelling business, it helps to garner more deposits. As and when there is transaction, the bank gets its fee," Yes Bank Managing Director and CEO Rana Kapoor has been quoted as saying by Press Trust of India.
Kapoor said that the business will be started in next few months. The bank will be targeting external talent to manage new business vertical, he added. Kapoor also said that the bank would be closing its first clean energy private equity fund - South Asia Clean Energy Fund - worth about $250 million by September. This fund is being floated in partnership with Global Environment Fund of Washington.