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An analysis of AMFI data on disclosure of AUM of the top distributors shows that individual MFDs and boutique MFD firms which are backed by individuals maintain a healthy net to gross inflow ratio.
Of the top 100 MFDs in terms of net-to-gross inflows ratio, close to 98% are individual MFDs and boutique MFD firms.
This indicates that individual MFDs and boutique MFD firms create sticky assets and their clients stay invested with them. In fact, in two cases, net-to-gross ratio is 100%, which indicates that there is no redemption throughout the year. These two are individual MFDs -S Ganesh Ramakrishnan and K Chandramouli.
Interestingly, 9 MFDs including 4 individual and 5 boutique MFD firms have net-to-gross ratio of over 90%.
Of the top 103 MFDs who were shortlisted in terms of net-to-gross ratio, 56 are individual MFDs and 42 are boutique MFD.
Others who made it to the list include 2 banks – Jharkhand Gramin Bank and The South Indian Bank, 1 ND – Asset Plus and 2 stock brokers – Muthoot Securities and Niyama Management & Broking Services.
Let us look at the complete list to know more
