IL&FS Investsmart to discontinue insurance broking business
January 6, 2010
Financial services provider HSBC InvestDirect (India) on Wednesday said that its subsidiary IL&FS Investsmart Insurance Brokers Ltd (IIIBL) will discontinue the insurance broking business, reports PTI.
The board of directors at their meeting held on 5th January have approved to discontinue the insurance broking business by IIIBL, HSBC InvestDirect (India) said in a filing to the Bombay Stock Exchange.
The company would surrender its insurance broker licence to the Insurance Regulatory and Development Authority (IRDA).
HSBC InvestDirect (previously known as IL&FS Investsmart Ltd), owns 45% in IIIBL. "This is with a view to align the business with the long-term strategy of HSBC InvestDirect," the company said.
HSBC InvestDirect (India) provides varied range of services through its subsidiaries to individual and corporate customers.
In 2008, HSBC had acquired a 73.2% stake in IL&FS Investsmart, a leading retail brokerage house in India.