Reliance MF has voluntarily disclosed the total investment made by its group companies in its mutual fund schemes in a bid to increase transparency among investors.
In a press release, the fund house said that the investment of group companies stood at Rs 3,274 crore or 3.2% of total AAUM of Rs 1, 02, 487 crore as on December 31, 2013.
Reliance MF claims to be the first AMC to make such disclosures in public domain of total investments by group companies in its mutual funds. The disclosure would be made on a quarterly basis, in line with the frequency of disclosures mandated for all AMCs, said the press release.
Sundeep Sikka, CEO, Reliance MF said, “As the biggest asset manager in the country, we feel it is our responsibility to take disclosures in the mutual fund industry to the next level. Disclosing the details of total investment by Group companies in the AAUM will help the investor get a better view of the fund house and enable greater transparency. We hope the other players in the industry will also make this voluntary disclosure in the larger interest of the investors.”
“The size of the AAUM is one of the important criteria, which helps the Investors in taking an informed decision for investing in mutual funds. We need to help these investors by building their confidence with all such disclosures that can enhance their trust in the industry”, he said.
Investments from group companies include investments made by Reliance Capital Limited (Sponsor & holding company); Reliance group affiliate companies, subsidiaries and businesses including insurance, securities, power, infrastructure and communications & media etc.
