The Union Bank of India (UBI) would set up an asset management company in partnership with a Belgian firm early next year, a top official of the bank said on Saturday. "The process of establishing the asset management company is at an advance stage. The new company will soon be incorporated. We are working out the business plan. It might happen early next year," bank executive director S C Kalia told reporters here. Kalia said UBI would launch the second phase of its customercentric navnirman programme to become one of the top three public sector banks in the country by 2012. He said the bank was targeting to achieve Rs 2,85,000 crore business by March 2010. As on September 30, 2009, the operating profit of the bank stood at Rs 810 crore and net profit was at Rs 505 crore. The bank has an ambitious plan to open 500 more branches across the country and enhance its global footprints, he said. At present, the bank has only one overseas branch in Hong Kong.
As the name suggests, it's an electronic process through which money can be transferred from one bank account to another. According to RBI, this mode is usually used for regular payments and receipts, like distribution of dividend, interest, salary, pension etc. This mode is also used for collection of bills for telephone, electricity, water, various types of taxes, payment of EMIs , investments in mutual funds , payment of insurance premium etc. There are two types of ECS , like most other banking transactions, ECS credit and ECS debit. An ECS credit is used by a bank account holder , usually a large company or an institution for services like payment of dividend, in terest, salary, pension etc. If your mutual fund pays you dividend to your bank account, of all probability it is being paid through ECS credit.ECS debit, on the other hand, is used when a company or an institution is getting money from a large number of people. For example if you are investing in a mutual fund sc...