Nippon Life India AMC has successfully concluded its postal ballot exercise on January 9, 2026, with shareholders demonstrating overwhelming support for key corporate resolutions. The asset management company announced the results of two critical resolutions that will shape its leadership structure and employee incentive framework.

Leadership Appointment Receives Strong Mandate

The appointment of Mr. Sundeep Sikka (DIN: 02553654) as Managing Director & Chief Executive Officer received resounding shareholder approval. The voting results demonstrate strong confidence in the leadership choice:

The resolution attracted participation from 1,036 members through the e-voting platform, with only 87 members voting against the proposal. Promoter and promoter group shareholders provided unanimous support with 100% of their 459,028,095 shares voted in favor.

ESOP Amendment Gains Overwhelming Support

Shareholders also approved the special resolution for amendments to the 'Reliance Nippon Life Asset Management Limited – Employee Stock Option Plan 2019' with equally strong support:

This special resolution saw participation from 1,035 members, with 938 members voting in favor and only 83 voting against the proposal.

Comprehensive Voting Participation

The postal ballot exercise demonstrated robust shareholder engagement across different categories. Public institutional investors showed strong participation with over 90% of their shareholding participating in the voting process. The company had a total of 2,26,987 shareholders on the record date of December 5, 2025.

Regulatory Compliance and Process

The postal ballot was conducted in accordance with Sections 108 and 110 of the Companies Act, 2013, and Regulation 44 of SEBI Listing Regulations. M/s. M. Siroya and Company, Practicing Company Secretaries, served as the scrutinizer for the voting process. The e-voting period concluded at 5:00 p.m. on January 9, 2026, with KFin Technologies Limited providing the e-voting platform.

The company sent email notifications to 2,14,548 members who had registered their email addresses, following MCA circulars that eliminated the requirement for physical postal ballot forms. The scrutinizer confirmed that both resolutions were passed with the requisite majority, validating the company's strategic decisions through proper shareholder approval.

India's holdings of US Treasury securities experienced a significant decline in 2025, falling by approximately 21% over the year to October 31, according to data compiled from Bloomberg. This marks the first annual reduction in four years, signaling a notable shift in the country's foreign exchange reserve management strategy.

Treasury Holdings Decline Despite Attractive Yields

The data reveals India's stock of US government bonds decreased substantially during the period under review:

This reduction occurred even as US bond yields remained appealing to foreign investors. The 10-year Treasury yield moved between 4% and 4.8% during the period, typically a range that supports foreign inflows and makes US debt securities attractive to international holders.

Strategic Reserve Diversification

Economists suggest the drop in Treasury holdings reflects a strategic rebalancing of India's foreign exchange reserves rather than being driven purely by returns on US bonds. This move aligns with broader efforts to diversify reserve assets amid evolving global economic and geopolitical uncertainties.

Dipanwita Mazumdar, an economist at Bank of Baroda, explained that the reduction signals India's intent to reduce reliance on dollar-denominated securities at a time when the US dollar index has shown signs of softening bias. She noted that this points to India's approach towards diversification and marks a shift in its forex strategy.

Factors Driving the Strategic Shift

Several key factors appear to be influencing India's reserve allocation strategy:

• A weaker dollar outlook and expectations of eventual US Federal Reserve rate cuts
• Reduced attractiveness of long-duration dollar assets
• Rising geopolitical risks and fragmentation in global trade and finance
• Need for enhanced portfolio diversification

These developments have prompted central banks, including the Reserve Bank of India, to review their reserve allocations and adopt more diversified approaches to reserve management.

Alternative Reserve Assets Gaining Favor

Market participants believe India is shifting part of its reserves toward alternative assets, including gold, non-dollar currencies, and other sovereign bonds. Gold has regained favor as a hedge against currency swings, inflation, and geopolitical uncertainty.

Mazumdar indicated that in the current volatile global political landscape, higher gold holdings by the RBI may be expected, adding that such a move would align with the broader global trend of central banks increasing their gold reserves.

Broader Global Trend

India's changing reserve strategy mirrors a wider shift among emerging markets toward balancing safety, liquidity, and returns while reducing over-reliance on dollar assets. Even as the US dollar remains the dominant reserve currency, India's actions signal a more measured and diversified approach to reserve management in response to evolving global economic conditions.