Federal Bank bets big on Wealth Management, launches premium wealth hub

Building on the trust earned over more than 90 years, the bank said it will continue its customer-centric approach, offering in-depth market research and a wide range of investment products aligned with customers’ risk profiles. The curated suite of investment solutions will include fixed income, equities, mutual funds, alternative investments, and opportunities through GIFT City.

As part of its expansion strategy, Federal Bank plans to establish dedicated Wealth Hubs across key locations. These specialised centres will provide clients with a private and premium environment where they can interact with relationship managers and portfolio counsellors, review investment strategies, and access research insights across various asset classes through both in-person and virtual consultations.

In line with this strategic move and to align with the bank’s evolving product and service architecture for affluent and ultra-high-net-worth individual (UHNI) clients, the existing arrangement between Federal Bank and Equirus Capital Private Limited for wealth management services will be restructured. However, customers currently availing wealth management services through the arrangement with Equirus will continue to do so without disruption under the existing framework.

The wealth management business will be led by Virendra Somwanshi, who brings extensive experience in building and scaling wealth management franchises in the banking sector.

Federal Bank continues to hold an 8.69 percent stake in Equirus. The bank and Equirus will maintain their collaboration to cater to the investment needs of UHNI clients, offering select products and services from the Equirus wealth management suite.

K V S Manian, Managing Director and CEO of Federal Bank, said the partnership with Equirus helped the bank establish a strong foundation in the wealth management business.

“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,” he said.

Meanwhile, Ajay Garg, Managing Director of Equirus Capital, said the partnership has been successful over the years.

“As envisaged in the partnership, we entered the wealth management business seven years ago and have established ourselves as one of the top 10 players in the wealth management space, with presence across 23 cities. Federal Bank has been a valued partner, and we are keen to support their efforts to broaden their wealth management presence while working closely with them on technology and business build-out,” Garg said.