SUBSCRIBE NEWSLETTER
  • Change Language
  • English
  • Hindi
  • Marathi
  • Gujarati
  • Punjabi
  • Tamil
  • Telugu
  • Bengali
  • MF News AUM from B30 cities stands at Rs. 3.63 lakh crore in December

    AUM from B30 cities stands at Rs. 3.63 lakh crore in December

    B30 assets grew by Rs.6,000 crore last quarter.
    Shreeta Rege Jan 22, 2019

    In the last quarter, assets from B30 cities (beyond top 30 cities) grew by Rs. 6,000 crore to touch Rs. 3.63 lakh crore in December, shows the AMFI data. This was 2% quarter-on-quarter increase. Compared to the start of the financial year (April 2018), the B30 AUM of the industry grew by 7.6% (from Rs. 3.37 lakh crore in April).

    SEBI re-classified cities into T30 and B30 starting April 2018. 

    Unlike B30 assets, the total AUM of the industry contracted marginally by Rs. 22,803 crore to Rs. 24.09 lakh crore. This indicates a slowdown in T30 assets, during the quarter.  

    Overall, 15% of the industry’s AUM came from B30 locations in December 2018. If we dissect the flows further, we observe that non associate distributors are key drivers of individual investor inflows in both T30 and B30 cities. Around 70% of individual investor inflows in both T30 and B30 locations have been channelised by them.

    Individual investors include both retail and HNI investors. Non-associate distributors are distributors other than sponsors of AMCs engaged in mutual fund distribution such as IFAs, bank and NDs.

    Direct investments in T30 cities were higher (18%) compared to B30 cities (10%).

    In contrast to individual investors, the institutional segment preferred direct plans. In T30 cities, 72% of the institutional investments were direct. Even in B30 cities majority of the corporate investments were direct.  However, non associate distributors also had an significant contribution with 38% of the institutional AUM in B30 cities coming through them.

    Overall, individual investors held 53.6% of the industry’s AUM amounting to Rs. 12.91 lakh crore in December. Of this 23% came from B30 locations and the rest is from T30 cities.

    Just 6% of the Rs. 11.17 lakh crore institutional assets are contributed by B30 cities. Higher concentration of corporate offices in metro cities has contributed to this disparity.

    Unlike T30 cities where a large institutional investor base means higher allocation to debt, B30 AUM is tilted towards equities. As of December 2018, 64% of the B30 assets were invested in equities compared to 38% of the T30 assets.

    B30 and T30 AUM

    T30

     

    Individual

    Institutional

    Total

     

    Direct

    Associate Distributor

    Non Associate Distributor

    Direct

    Associate Distributor

    Non Associate Distributor

     

    Dec-18

    180581

    103531

    715558

    750171

    26159

    269695

    2045696

    Sep-18

    177820

    105313

    724479

    737692

    26635

    302400

    2074339

    Apr-18

    150385

    101645

    681219

    734758

    24939

    290627

    1983572

    Share (%)(December)

    18%

    10%

    72%

    72%

    3%

    26%

     

    Q-o-Q change

     

    -1%

    YTD change

     

    3%

     

     

    B30

     

    Individual

    Institutional

    Total

     

    Direct

    Associate Distributor

    Non Associate Distributor

    Direct

    Associate Distributor

    Non Associate Distributor

     

    Dec-18

    30097

    63416

    198074

    37892

    6295

    27068

    362842

    Sep-18

    28133

    61955

    199262

    33595

    6541

    27515

    357002

    Apr-18

    25555

    54703

    193624

    28099

    6820

    28394

    337194

    Share (%)(December)

    10%

    22%

    68%

    53%

    9%

    38%

     

    Q-o-Q change

     

    2%

    YTD change

     

    8%

     

     

     

     

       

     

    Have a query or a doubt?
    Need a clarification or more information on an issue?
    Cafemutual welcomes all mutual fund and insurance related questions. So write in to us at newsdesk@cafemutual.com

    Click to clap
    Disclaimer: Cafemutual is an industry platform of mutual fund professionals. Our visitors are requested to maintain the decorum of the platform when expressing their thoughts and commenting on articles. Viewers are advised to refrain from making defamatory allegations against individuals. Those making abusive language or defamatory allegations will be blocked from accessing the web site.
    0 Comment
    Be the first to comment.
    Login or Sign up to post comments.
    More than 2,07,000 of your industry peers are staying on top of their game by receiving daily tips, ideas and articles on growth strategies. Join them and stay updated by subscribing to Cafemutual newsletters.

    Fill in the below details or write to newsdesk@cafemutual.com and subscribe to Cafemutual Newsletter now.