FY 2021 was a rewarding year for individual distributors, at least for those who have assets under advisory (AUA) of over Rs 1 crore. Data released by IDFC MF shows that 90% of such distributors together registered a 61% rise in equity AUA in the last financial year.
Among them, MFDs in the lowest AUA bracket (Rs 1-5 crore AUA) reported the highest growth in assets. Of the 17,034 MFDs who come in this bracket, 15,193 saw a growth in assets under advisory. The average growth was 76%.
The report is based on CAMS-MFDEx data, which captures 96% of the industry’s total AUM.
The second highest AUA growth was seen in the 'Rs 5-10 crore AUM' bracket. Their aggregate AUA (excluding MFDs who saw a decline in AUA) went up 76% in FY 2021. Top MFDs, who have AUA in the range of Rs 500 to Rs 1,000 crore witnessed 25% growth in AUA.
Overall (including equity and debt), there are 33,055 MFDs with AUA of over Rs.1 crore. Of this, 88% registered a 53% growth in AUA on an aggregate basis. Similar to the equity AUA, the highest growth in overall assets was registered by distributors in the Rs.1-5 crore bracket. The aggregate AUM of 88% of these distributors rose 77% in the last financial year.
The situation was not that rosy in the debt space. Almost half of the distributors (with over Rs 1 crore assets) saw a decline in their AUA. However, the overall growth was in the higher range. 53% of the distributors who saw an increase in AUA together registered a 61% increase in assets.
