CEO Speak

Mr. Sandeep Shrikhande (CEO)
In a country of 125 crore people where there is no “Social Security, “Retirement Planning” is not just essential but a must for survival. According to Life Expectancy data released recently, the overall life expectancy of an average Indian which stood at 63.9 years in the year 2004 has increased to 66.1 years by year 2010 and by the year 2040 it is expected to be 73 years .This is one of the primary reasons why Retirement Planning should be our biggest financial goal.

If we have a better lifestyle and access to medicare as compared to average Indian, chances are we can live upto 80-85 years which implies that will have to accumulate enough money which can last at least 20 to 25 years after retirement. Longer life in future will mean more money required after retirement as compared to today”.

In the early 1970s we could have safely assumed that we will be spending our golden retirement years with our sons and playing with grandchildren, but today as highlighted in the Hindi film “Baghbaan” it is better to depend on self than on children.

With access to modern lifestyle and high class urban facilities, I am sure all of us would like to maintain the same lifestyle post retirement, as compared to the present and all this would entail building up a sufficient retirement corpus.

For employees of Indian Corporate Sector both Private and Public the EPFO is the only means of Social Security and a vast majority of them depend on the PF accumulations post retirement. NPS will supplement this along with other retirement options like Gratuity and Pension (Superannuation)

As per latest PFRDA data the total members enrolled in NPS is around 45 lacs and total AUM is Rs. 28,493 crore which reflects the growing popularity of the scheme and its widespread acceptance .The performance of the various schemes managed by Pension Fund Managers has been encouraging and the annual returns are superior to comparable options like EPFO and Private Superannuation Trusts. There is even a flexibility to deposit contributions on a monthly basis and avail of the benefits of “Systematic Investing”.

Union Budget 2011 has made Employer’s contribution to NPS unto 10% of basic plus DA allowable as a deduction under Section 80 CCD (2) of the Income Tax Act ,1961 (with no limit specified). For salaried tax payers in the highest tax bracket this results in an effective tax saving of 3.09 % (10 % of 30.9 %) of basic salary.

In this backdrop, NPS is going to emerge as the “most preferred retirement option” with its low cost, high flexibility backed by investment performance as well.

With best wishes
Mr.Sandeep Shrikhande (CEO – Kotak Mahindra Pension Fund)

Board of Directors

Mr. Balan Wasudeo (Director) (65 years), B.Sc. from the University of Madras and PGDBA from the Indian Institute of Management, Ahmedabad, has over 37 year’s experience in the areas of Treasury, Finance, Projects, Strategic Planning, Risk Management and General Management. His significant achievements include financing large organic and inorganic growth through various debt and capital market instruments in India and abroad. Mr. Balan’s career spans a unique combination of Multinational Companies, Public Sector Company and Family Owned Companies. It also involves developing sound relationships with International Multilateral agencies, International Commercial banks and Financial Institutions and banks in India. Mr. Balan is presently a consulting CFO. He was Chief Financial Officer of Great Eastern Shipping Company Ltd. He has also received the Best Performing CFO Award in Logistics Sector from CNBC TV18 in 2006. He is on board of Kotak Mahindra Trustee Company Ltd and Kotak Mahindra Pension fund Ltd.

Mr. Sudhakar (Director) (49 Years), Chief Investment Officer - Kotak Mahindra Old Mutual Life Insurance responsible for managing company’s investments within the overall framework laid down by the investment committee and the IRDA. Sudhakar also plays a vital role in developing and managing investment structures, processes and practices to enable customers reap benefits in accordance with their investment objectives and risk appetite. He has been part of Kotak Mahindra Group in varying capacities for over two decades. Prior to Kotak Life Insurance, Sudhakar was a part of the Treasury team at Kotak Mahindra Bank. He has also been an integral part of the Kotak Mahindra Prime team for 11 years, serving first as a Chief Financial Officer and then taking over as Chief Operating Officer. A qualified Chartered Accountant and a widely quoted knowledge leader in the investment domain, Sudhakar comes with close to two and a half decades of work experience.

Nilesh Shah (Director) (46 years), CA and Cost Accountant, he is a gold medalist chartered accountant and a merit ranked cost accountant. He last held the position of Managing Director and CEO at Axis Capital Limited. During his tenure Axis capital emerged as market leader for equity capital raise in CY 14. Axis Capital also maintained its position as one of the largest distributor of Mutual Funds to institutional investors. During his four year stint with Axis Bank Nilesh guided bank's foray in online trading and retail Broking through Axis Securities Limited, Non-banking financial services through Axis Finance Limited and managed private banking. Before Axis bank, he was Deputy Managing Director and Chief Investment Officer at ICICI Prudential Mutual Fund. During his seven year stint with ICICI Prudential Mutual Fund he was responsible for overall funds management across mutual fund, portfolio management and offshore advisory across debt, equity and real estate. Before that, Nilesh was Chief Investment Officer - Debt of Franklin Templeton Mutual Fund. He was one of the founding member of the Franklin Templeton Debt team. During his seven year stint with Franklin Templeton he was responsible for managing debt funds. He received inaugural business standard fund manager of the year for debt award in 2004. Before that he worked with ICICI.

Mr. Tushar Mavani (Director) (49 years), is a partner with Amarchand & Mangaldas & Suresh A. Shroff & Co., Advocates & Solicitors and has been in practice since 1991. He is also on board of Kotak Mahindra Pension Fund Ltd. Prior to joining Amarchand, Mr. Mavani was a partner with Mulla & Mulla & Craigie Blunt & Caroe, Advocates & Solicitors. Mr. Mavani is a graduate in Commerce and Law from Mumbai University.

Fund Manager

Mr Vinod A N : Having a 15 years experience in the Banking industry, Mr. A.N.Vinod started his career as Probationary Officer in State Bank of India , joined the Treasury Front Office of the Bank in 2002 and held key assignments for the next three years responsible for fund deployment as Dealer in Money Markets, Fixed Income markets & Corporate Bonds and another two years as Dealer in Equity Market investments handling the Equities & Mutual Funds Investment and Trading Book of the largest bank in the country. Subsequently, joined Kotak Mahindra Bank as Associate Vice President in December, 2007 and was responsible for managing the Equity Proprietary Investments & Trading Book of the Kotak Group before joining Kotak Mahindra Pension Fund as Fund Manager. His academic and professional qualifications include Bachelor of Science, M.A in History, Masters in Financial Management (JBIMS,Mumbai), CAIIB and Diploma In Treasury Investments & Risk Management. In the span of last eight years in Indian Financial Markets, his experience covers in Equities, Money and Fixed Income Markets.