And for many, the starting point is their holdings in various joint ventures in the insurance sector The idea sounds good. One key reason PSU banks lagged behind is that they neglected their joint ventures that could have been a jewel in their crown. “PSBs have not learnt the art of selling third-party products.”For some banks, bad timing was also a factor behind the failure of their insurance ventures. “PSBs’ financial strength should have been assessed before allowing them to enter the highly capital-intensive life insurance business beyond their core.”Public sector bank-led insurers, in general, have been laggards. “The customer profile of a private sector bank is different to that of a public sector bank.

Source: Economic Times May 23, 2017 18:22 UTC