ICICI Prudential and Reliance record highest AUM growth in Dec quarter

ICICI Prudential received inflows of Rs. 12017 crore followed by Reliance which received of Rs. 9238 crore.

Mutual Fund industry’s assets went up by 8% or Rs. 67437 crore to Rs. 8.75 lakh crore during the October-December quarter from Rs. 8.08 lakh crore in September. Industry officials attributed the growth in assets due to inflows in debt funds.

Among the top fund houses, ICICI Prudential and Reliance recorded the highest growth in their assets at Rs. 12017 crore and Rs. 9238 crore respectively. The two fund houses recorded growth in AUM due to new fund launches and inflows in debt funds. However, in percentage terms, BOI Axa, Baroda Pioneer, LIC Nomura, Peerless and Axis recorded the highest growth in their assets.

Reliance breached the Rs. 1 lakh crore mark AUM while HDFC’s AUM went up to Rs. 1.08 lakh crore. All the top 10 fund houses saw their AUM grow. The top 10 manage 78% of industry’s Rs. 8.75 lakh crore assets.

On the other hand, 10 fund houses recorded a decline in their assets.

Daiwa Mutual Fund sold its schemes to SBI Mutual Fund in November while Chennai-based Shriram Mutual Fund re-entered the industry. After the exit of Morgan Stanley, the number of mutual fund players will come down to 43.  

AAUM of top 10 AMCs

While the industry is seeing reasonable traction in debt funds, equity funds continue to be out of favor among investors.

The equity markets have remained flat since October 2013. Investors have continued to cash out of equity funds as the market touched the psychological level of 21000. The industry is seeing redemptions at every peak which has caused a loss of more than 29 lakh folios in equity funds since April 2013.