F&C Management has sold its Indian mutual fund business to Principal Mutual Fund, a subsidiary of US fund manager Principal Financial Group, as part of its strategy to concentrate on Europe.

F&C's Indian business, Sun F&C Mutual Fund, was a joint venture between F&C Emerging Markets, a wholly-owned subsidiary of F&C Management, and Sun Group, an international industrial and investment group controlled by the Khemka family. The joint venture has $100m (€87.3m) in assets under management from 75,000 Indian investors. Neither party disclosed the financial terms or details of the agreement, which is still subject to Indian regulatory approval.