Blom Bank-Egypt is working on establishing an asset management company called “Blom Egypt for Financial Investments”, which would compete in investment funds management and financial portfolios in the Egyptian market.
Sources associated with the new company said that Blom Bank Egypt is now working to complete the procedures of obtaining a funds management licence from the Egyptian Financial Supervisory Authority (EFSA).
The sources expected to complete the establishment procedures by the end of this month or next month, as it depends on the potential requests of EFSA. The sources refused to disclose the paid-up capital of the new company.
The sources added that Blom Bank Egypt aims to expand its non-banking financial services. Blom Bank Egypt owns Blom Egypt Securities with a capital of EGP 50m, and offers custodian bank services.
The custodian is one of the basic activities in the stocks and bonds trading operations, and it is responsible for safeguarding documents that indicate ownership of stocks and bonds after the purchase, selling and settlement operations through Misr for Central Clearing, Depository and Registry (MCDR).
Blom Egypt Securities ranks 21st among brokerages in terms of processes values at the Egyptian Exchange during the first 10 months of 2016. The company has carried out purchase and selling orders valued at EGP 2.787bn during this period, claiming a market share of 1.1% in the trading market.
The value of transactions carried out by the company during this period, is estimated at EGP 100m, claiming 0.32% of the transactions market.
