Tata Invest buys Waterhouse stake in securities firm
Business Standard — December 22, 2004

Tata Investment Corporation has acquired TD Waterhouse group’s 49.9 per cent stake in Tata TD Waterhouse Securities (TTDWS) for an undisclosed sum. The balance 50.1 per cent is held by two other Tata group companies. The divestment also marks Toronto Dominion Bank Financial Group’s exit from India. The name of the company is being changed to reflect the exit of TD Waterhouse group, making it a 100 per cent Tata group company, TTDWS said in a media statement.

Tata TD Waterhouse recently initiated insurance advisory business as a corporate agent of Tata AIG Life Insurance. Tata AIG Life is a joint venture between Tata Sons, the holding company of the Tata group and American International Group. TTDWS continues to be engaged in investment advisory services related to mutual funds and fixed-income securities. The company caters to institutional clients and high net worth individuals.The company has over 30,000 investors with assets more than Rs 6,000 crore (as on November 30, 2004) under it’s administration.

In July 2003, The Tata group and TD Bank Financial group had announced that they were exiting the Indian stock brokerage business, which was under the Tata TD Waterhouse brand name citing reasons that the returns in the equity broking business did not meet shareholder goals. Meanwhile, Tata group had also increased its equity stake to 100 per cent in Tata TD Asset Management, manager of Tata Mutuals.

At that time, TD Bank Financial Group had said that it’s global strategy is to focus on its main markets—North Amercia and the United Kingdom. The Toronto Dominion Bank and its subsidiaries are collectively known as TD Bank Financial group. TD Bank Financial Group focuses on personal and commercial banking, wealth management and wholesale banking among others. TD Bank Financial Group also ranks among the world’s leading online financial services firms.