The total Assets Under Management (AUM) of the Indian mutual fund industry as of December 31, 2023, stood at a staggering ₹50.78 trillion (US$640 billion). This is a significant milestone, marking over a six-fold increase compared to the ₹8.26 trillion (US$100 billion) recorded in December 2013.[2]
According to SEBI, during FY 2022–23, 73% of mutual fund units were redeemed within 2 years of investment. Only investments in 3% of the units continued for more than 5 years.[3][4]
According to the S&P SPIVA Report FY2022, over a 10-year period, approximate 68% of the large-cap actively managed funds failed to beat their respective benchmarks, and over 50% failed to beat their benchmarks in the mid- and small-cap segments.[11] Within the ELSS funds category, over 60% failed to beat their respective benchmarks over 10 year period.[11] Globally, over long periods of time, passively managed funds consistently outperform actively managed funds.[12][13][14]
In April 2020, Franklin Templeton India unexpectedly wound up six credit funds with assets of close to $4 billion, citing a lack of liquidity amid the coronavirus pandemic. These funds had large exposure to higher-yielding, lower-rated credit securities. The Securities and Exchange Board of India (SEBI) conducted a probe into this sudden closure and found “serious lapses and violations”. As a result, in June 2021, SEBI barred Franklin Templeton Mutual Fund from launching any new debt schemes for two years. The regulator also ordered the fund house to refund investment and advisory fees, along with interest, of more than 5 billion rupees, and fined the global giant another 50 million rupees.[18][19][20][21]
Franklin Templeton said it strongly disagreed with the SEBI’s order and planned to appeal against it. The decision to wind up the schemes “was taken with the sole objective of preserving value for unitholders”, a spokesperson said. However, the closure of these funds sparked panic withdrawals from other Franklin Templeton schemes as well as credit funds of other asset managers, leading to a storm on social media and court cases by distraught investors.[21][18][20]
Market segmentedit
Despite being available in the market,[22] a recent report on Mutual Fund Investments in India published by research and analytics firm, Boston Analytics, suggests investors are holding back from putting their money into mutual funds due to their perceived high risk and a lack of information on how mutual funds work.[23] There are 46 Mutual Funds as of June 2013.[24] In 2019, Asset under management (AUM) of the mutual fund industry rose by 13% to 24 trillion in 2018 by November[25] The total assets under management (AUM) has surged by around 23.43% in 2023. The Assets base in January 2023 was Rs.40.70lakh crores, which rose to Rs.50.24 lakh crore in Nov, 23.[26]
Average assets under managementedit
Assets under management (AUM) is a financial term denoting the market value of all the funds being managed by a financial institution (a mutual fund, hedge fund, private equity firm, venture capital firm, or brokerage house) on behalf of its clients, investors, partners, depositors, etc. The average assets under management of all mutual funds in India for the quarter Dec 2015 to Mar 2016(in ₹ Lakh) is given below:[27][28] or [29]
^"Mutual Funds That Consistently Beat the Market? Not One of 2,132". New York Times. 2 December 2022. Retrieved 21 August 2023.
^Choi, James J. (2022). "Popular Personal Financial Advice versus the Professors". Journal of Economic Perspectives. 36 (4): 167–192. doi:10.1257/jep.36.4.167. ISSN 0895-3309.
^Malkiel, Burton G. (2013). "Asset Management Fees and the Growth of Finance". Journal of Economic Perspectives. 27 (2): 97–108. doi:10.1257/jep.27.2.97. ISSN 0895-3309.
^Khanna, Surbhi (20 December 2023). "Equity mutual fund AUM increases 35% in 2023". The Economic Times. ISSN 0013-0389. Retrieved 19 April 2024.
^"Which hybrid mutual funds contribute the maximum to category AUM? - Category AUM". The Economic Times. Retrieved 19 April 2024.
^"Reserve Bank of India - RBI Bulletin". www.rbi.org.in. Retrieved 19 April 2024.
^"Association of Mutual Funds, India". Retrieved 4 September 2013.
^. Archived from the original on 29 July 2012. Retrieved 4 September 2013.
^"Average AUM - Fund-wise". June 2013. Retrieved 4 September 2013.
^PTI, Shilpi Pandey (24 December 2018). "2019 bright for mutual funds as AUMs rise ₹3 in 2018". mint. Retrieved 15 March 2021.
^Khanna, Surbhi (8 January 2024). "Mutual fund AUM surges by 23.43% in 2023; WhiteOak Mutual Fund AUM increase over 200%". The Economic Times. ISSN 0013-0389. Retrieved 20 March 2024.
^"Average AUM". Association of Mutual Funds in India. Retrieved 6 April 2016.
^"Average AUM by AMC". Morningstar India. Retrieved 11 July 2021.
^"AMC wise Quarterly Average AUM". ICRA Limited. Retrieved 11 July 2021.
^Bazaz, Shivani (14 October 2019). "Reliance Mutual Fund is Nippon India Mutual Fund now. Should you exit?". The Economic Times.
External linksedit
AUM Data
S&P SPIVA® India Scorecard
January 01, 1970
mutual, funds, india, first, introduction, mutual, fund, india, occurred, 1963, when, government, india, launched, unit, trust, india, mutual, funds, broadly, categorised, into, three, segments, equity, funds, hybrid, funds, debt, funds, contents, mutual, fund. The first introduction of a mutual fund in India occurred in 1963 when the Government of India launched the Unit Trust of India UTI 1 Mutual funds are broadly categorised into three segments equity funds hybrid funds and debt funds Contents 1 Mutual fund statistics 2 Mutual fund category breakup 3 2021 liquidity crisis and regulatory actions 4 Market segment 5 Average assets under management 6 Mutual Fund Acquisitions 7 See also 8 References 9 External linksMutual fund statistics editThe total Assets Under Management AUM of the Indian mutual fund industry as of December 31 2023 stood at a staggering 50 78 trillion US 640 billion This is a significant milestone marking over a six fold increase compared to the 8 26 trillion US 100 billion recorded in December 2013 2 According to SEBI during FY 2022 23 73 of mutual fund units were redeemed within 2 years of investment Only investments in 3 of the units continued for more than 5 years 3 4 According to the Reserve Bank of India report mutual funds attracted 6 of household savings in FY2023 and less than 1 went into direct equities 5 6 7 Almost 95 of household savings in India park their money in bank deposits including fixed deposit provident fund PPF life insurance and various small savings schemes 8 9 10 According to the S amp P SPIVA Report FY2022 over a 10 year period approximate 68 of the large cap actively managed funds failed to beat their respective benchmarks and over 50 failed to beat their benchmarks in the mid and small cap segments 11 Within the ELSS funds category over 60 failed to beat their respective benchmarks over 10 year period 11 Globally over long periods of time passively managed funds consistently outperform actively managed funds 12 13 14 Mutual Fund Units Redeemed Data 3 4 Holding Period Units redeemed in FY22 Units redeemed in FY23 0 1 years 56 83 50 11 1 2 years 15 14 23 04 2 3 years 5 03 9 81 3 5 years 20 41 13 96 More than 5 years 2 59 3 09 Mutual fund category breakup editAUM of Equity funds 20 33 lakh crore US 250 billion November 2023 15 AUM of Hybrid funds 6 90 lakh crore US 86 billion January 2024 16 AUM of Debt funds 11 97 trillion US 150 billion March 2020 17 2021 liquidity crisis and regulatory actions editIn April 2020 Franklin Templeton India unexpectedly wound up six credit funds with assets of close to 4 billion citing a lack of liquidity amid the coronavirus pandemic These funds had large exposure to higher yielding lower rated credit securities The Securities and Exchange Board of India SEBI conducted a probe into this sudden closure and found serious lapses and violations As a result in June 2021 SEBI barred Franklin Templeton Mutual Fund from launching any new debt schemes for two years The regulator also ordered the fund house to refund investment and advisory fees along with interest of more than 5 billion rupees and fined the global giant another 50 million rupees 18 19 20 21 Franklin Templeton said it strongly disagreed with the SEBI s order and planned to appeal against it The decision to wind up the schemes was taken with the sole objective of preserving value for unitholders a spokesperson said However the closure of these funds sparked panic withdrawals from other Franklin Templeton schemes as well as credit funds of other asset managers leading to a storm on social media and court cases by distraught investors 21 18 20 Market segment editDespite being available in the market 22 a recent report on Mutual Fund Investments in India published by research and analytics firm Boston Analytics suggests investors are holding back from putting their money into mutual funds due to their perceived high risk and a lack of information on how mutual funds work 23 There are 46 Mutual Funds as of June 2013 24 In 2019 Asset under management AUM of the mutual fund industry rose by 13 to 24 trillion in 2018 by November 25 The total assets under management AUM has surged by around 23 43 in 2023 The Assets base in January 2023 was Rs 40 70lakh crores which rose to Rs 50 24 lakh crore in Nov 23 26 Average assets under management editAssets under management AUM is a financial term denoting the market value of all the funds being managed by a financial institution a mutual fund hedge fund private equity firm venture capital firm or brokerage house on behalf of its clients investors partners depositors etc The average assets under management of all mutual funds in India for the quarter Dec 2015 to Mar 2016 in Lakh is given below 27 28 or 29 Mutual Fund Name Total Schemes QAAUM AUM Lakh Prev QAAUM Lakh Inc Dec Lakh Percentage Axis Asset Management Company 263 3776454 37 3456348 88 320105 9 Baroda Pioneer Asset Management Company 111 965630 33 925542 12 40132 4 Birla Sun Life Asset Management Company 806 13678510 7 13684493 34 5312 0 BNP Paribas Asset Management Company 114 509706 79 500795 21 9209 2 BOI AXA Asset Management Company 76 238501 41 242767 91 2887 1 Canara Robeco Asset Management Company 142 804326 86 751779 86 52627 7 Pramerica Investment Management 8 27698 17194 10504 61 DHFL Pramerica Asset Management Company 491 2598683 24 216345 80979 37 DSP Asset Management Company 398 4015131 25 3918267 17 96865 2 Edelweiss Asset Management Company 70 167774 29 163236 28 4538 3 Escorts Asset Management Company 60 28559 18 29222 27 663 2 Franklin Templeton Asset Management Company 200 6784076 49 7172216 54 384257 5 Goldman Sachs Asset Management Company 18 610139 99 685179 35 75039 11 HDFC Asset Management Company 1173 17608456 44 17866622 24 256390 1 HSBC Global Asset Management Company 155 790382 19 837762 82 47151 6 ICICI Prudential Asset Management Company 1529 17596397 6 17223699 390751 2 IDBI Asset Management Company 92 689266 37 756428 17 67162 9 IDFC Asset Management Company 453 5228379 46 5486421 83 249600 5 IIFCL Asset Management Asset 1 35797 56 34293 89 1504 4 360 ONE Asset Management Limited 18 48543 76 42203 84 6340 15 IL amp FS Infra Asset Management Company 12 92296 34 90029 5 2267 3 Indiabulls Asset Management Company 56 528955 04 491675 45 37279 8 JM Financial Asset Management 179 1616090 42 1586776 74 29313 2 Kotak Mahindra Asset Management Company 431 5873108 27 5513383 02 362464 7 L amp T Asset Management Company 246 2594480 1 2505850 82 89990 4 LIC Nomura Mutual Fund Asset Management Company 176 1315562 4 1238408 04 92942 8 Mirae Asset Management Company 55 313272 14 280239 04 33101 12 Nippon India Mutual Fund 1015 15936949 34 15787817 36 152561 1 Motilal Oswal Asset Management Company 31 468921 13 455222 64 14103 3 Peerless Asset Management Company 57 98524 1 102441 7 3917 4 PPFAS Asset Management Company 1 61357 1 62931 88 1575 3 Principal Asset Management Company 123 528106 02 587875 66 59770 10 Quantum Asset Management Company 15 66093 04 65531 63 561 1 Religare Global Asset Management Company 267 1959617 91 1988459 31 28622 1 Sahara Asset Management Company 68 9929 16 11002 32 758 7 SBI Asset Management Company 652 10732737 36 10058453 69 672760 7 Shriram Asset Management Company 4 3716 98 3711 53 5 0 Sundaram Asset Management Company 479 2366370 94 2187696 57 185302 8 Tata Asset Management Company 324 3186223 17 3155590 09 26752 1 Taurus Asset Management Company 65 394858 04 350334 19 44524 13 Union KBC Asset Management Company 60 290228 21 273213 25 17015 6 UTI Asset Management Company 1220 10630921 82 10612903 52 16124 0 Gross 11856 135912187 2 132170477 1Mutual Fund Acquisitions editSeller Acquired By Year Pioneer ITI MF 0 0 0 Franklin Templeton 0 2002 Zurich India AMC 0 0 0 HDFC MF 0 2003 Alliance Capital MF 0 0 0 Birla Sunlife 0 2005 Standard Chartered 0 0 0 IDFC 0 2008 AIG Global Investment Group MF 0 0 0 PineBridge MF 0 2011 Benchmark Mutual Fund 0 0 0 Goldman Sachs 0 2011 Fidelity 0 0 0 L amp T Finance 0 2012 Morgan Stanley s MF 0 0 0 HDFC MF 0 2013 PineBridge MF 0 0 0 Kotak MF 0 2014 ING Mutual Fund 0 0 0 Birla Sunlife 0 2014 Daiwa AMC 0 0 0 SBI MF 0 2013 Goldman Sachs 0 0 0 Reliance MF 0 2015 Deutsche 0 0 0 Pramerica 0 2015 JP Morgan 0 0 0 Edelweiss 0 2016 Peerless 0 0 0 Essel 0 2017 Escorts 0 0 0 Quant 0 2018 Religare Invesco 0 0 0 Invesco AMC 0 2018 Reliance MF 0 0 0 Nippon India 30 0 2019 Principal 0 0 0 Sundaram 0 2021 Essel 0 0 0 Navi MF 0 2021 L amp T Asset Management Company 0 0 0 HSBC Global Asset Management Company 0 2022 IDFC Asset Management Company 0 0 0 Bandhan Financial Holdings Limited 0 2023 India Bulls Asset Management Company 0 0 0 Groww MF 0 2023 IDBI Asset Management Company 0 0 0 LIC Nomura Mutual Fund Asset Management Company 0 2023See also editRisk management Financial risk management 2020 stock market crash Satyam scandal Great Recession 2007 2008 financial crisis 2000 Dot com bubble 1992 Indian stock market scam 401 k Roth IRA Bombay Stock Exchange National Stock Exchange of IndiaReferences edit MF History http www amfiindia com research information mf history Association of Mutual Funds of India a href Template Cite web html title Template Cite web cite web a External link in code class cs1 code title code help https www amfiindia com indian mutual a b SEBI Annual Report 2021 22 a b Agarwal Nikhil 24 May 2023 50 mutual funds get redeemed within a year Is long term investing dead The Economic Times Reserve Bank of India RBI Bulletin https www business standard com markets mutual fund mutual funds attract 6 of household savings in fy23 shows rbi data 123092000972 1 html Reserve Bank of India Household Financial Savings Reserve Bank of India RBI Bulletin https www business standard com markets mutual fund mutual funds attract 6 of household savings in fy23 shows rbi data 123092000972 1 html Reserve Bank of India Household Financial Savings a b https www spglobal com spdji en documents spiva spiva india scorecard year end 2022 pdf Mutual Funds That Consistently Beat the Market Not One of 2 132 New York Times 2 December 2022 Retrieved 21 August 2023 Choi James J 2022 Popular Personal Financial Advice versus the Professors Journal of Economic Perspectives 36 4 167 192 doi 10 1257 jep 36 4 167 ISSN 0895 3309 Malkiel Burton G 2013 Asset Management Fees and the Growth of Finance Journal of Economic Perspectives 27 2 97 108 doi 10 1257 jep 27 2 97 ISSN 0895 3309 Khanna Surbhi 20 December 2023 Equity mutual fund AUM increases 35 in 2023 The Economic Times ISSN 0013 0389 Retrieved 19 April 2024 Which hybrid mutual funds contribute the maximum to category AUM Category AUM The Economic Times Retrieved 19 April 2024 Reserve Bank of India RBI Bulletin www rbi org in Retrieved 19 April 2024 a b https www reuters com business finance indian regulator bans new franklin templeton debt funds two years 2021 06 07 All Assets In Closed Franklin Templeton MF Schemes Liquidated SBI Funds Outlook Business amp Money 22 August 2023 Retrieved 19 April 2024 a b Franklin Templeton mess A liquidity mishap or a series of wrong aggressive bets Moneycontrol 25 April 2020 Retrieved 19 April 2024 a b https www business standard com article markets franklin templeton moves to calm indian investors after new debt fund ban 121061000043 1 html Association of Mutual Funds India Retrieved 4 September 2013 Boston Analytics India Watch Archived from the original on 29 July 2012 Retrieved 4 September 2013 Average AUM Fund wise June 2013 Retrieved 4 September 2013 PTI Shilpi Pandey 24 December 2018 2019 bright for mutual funds as AUMs rise 3 in 2018 mint Retrieved 15 March 2021 Khanna Surbhi 8 January 2024 Mutual fund AUM surges by 23 43 in 2023 WhiteOak Mutual Fund AUM increase over 200 The Economic Times ISSN 0013 0389 Retrieved 20 March 2024 Average AUM Association of Mutual Funds in India Retrieved 6 April 2016 Average AUM by AMC Morningstar India Retrieved 11 July 2021 AMC wise Quarterly Average AUM ICRA Limited Retrieved 11 July 2021 Bazaz Shivani 14 October 2019 Reliance Mutual Fund is Nippon India Mutual Fund now Should you exit The Economic Times External links editAUM Data S amp P SPIVA India Scorecard Retrieved from https en wikipedia org w index php title Mutual funds in India amp oldid 1220243945, wikipedia, wiki, book, books, library,
