Calcutta, Oct. 18: Peerless General Finance and Investment Company, the largest residuary non-banking finance company, has decided to carry on with the business of Peerless Securities and also expand it.
Peerless Securities will enter equity brokerage and retail debt market trading in a big way.
The company plans to offer these services, which includes depository facilities, equity brokerage and retail debt market trading facilities, apart from financial product distribution, company officials said.
“We will retain Peerless Securities. It is doing well and we are looking at various possibilities for expanding its business,” chairman D. . Ghosh said.
The company also plans to expand its branch network. It has recently opened a branch in Calcutta and hopes to open another in Siliguri.
“The company is one of the prominent intermediaries in the debt market. It will continue to capitalise on this positive market perception and widen its presence through the offices in Mumbai and Calcutta,” officials said. At present, the company earns most of its revenues from brokerage and commissions. This business has grown at the rate of 10 per cent in 2002-03 compared with the previous year.
However, according to the current guidelines and accounting norms, the company made a total provision of Rs 23.5 lakh in 2002-03 on account of leave encashment as well as provision for diminution in value of investments.
“Despite a sluggish business environment, the company was able to maintain stable operative results,” the officials added.