SBI Funds Management Limited, Managing Director and CEO Debasish Mishra. File | Photo credit: ANI
SBI Fund Management Ltd. (SBFM), India’s largest asset manager, debuted at a 6% premium to its issue price as it aims to become the market leader, signaling market expansion using the bank’s distribution capacity.
The shares were listed at £613 per share, representing a 6% listing premium over the offer price of £574 per share. The shares then closed 0.6% below their opening price on 21 July 2026 at £610 per share.
Addressing the media after the ₹9,813 crore IPO ceremony, Debashish Mishra, MD and CEO of SBFM said, “Out of India’s 140 crore population, the investment portfolio is only around 10 crore and the newly listed company would like to raise another 100 million in five years in this entire investment world.”
Of SBI’s nearly 53 million customers, only 5.5 lakh invest in SBI Mutual Fund, leaving a big scope for expansion. While this is an expansion opportunity, SBI also has the potential to cross-sell mutual fund schemes to its banking clients.
India’s finance minister has continually pressed banks to stick to their core business of lending and flagged potential missteps in sales. On this occasion, Challa Srinivasulu Setty, chairman of SBI, said that the penetration rate of banking customers in (investment) products is low and “they would like to make the products available without using the core business.” However, he further added that SBI will limit itself to selling products of its subsidiaries only.
The bank also plans to expand its wealth management business to reach 14 thousand clients by 2030.
The challenge to SBFM’s expansion continues to be its small number of fund managers, and the company is looking to develop or expand its current team.
Published – Jul 21, 2026 08:14 PM EST.