AMFI Chairman sees MF industry assets touching Rs 95 lakh cr by 2025
The assets under management of the mutual fund industry is expected to touch Rs 95 lakh crore by 2025, said Association of Mutual Funds of India Chairman A. Balasubramanian. "Even if the industry grows at a 5-year average growth rate, it will easily touch this milestone. By doing simple math, the industry will reach 95 lakh core at a CAGR rate of 23 percent, we are confident that the industry has a potential to grow at this rate going forward," he said. He further said that MF industry AUM has already touched Rs 20 lakh crore a few days ago. As on May end, the AUM of the 43-player MF industry stood at 19.3 lakh core. Speaking on MF folios, Balasubramanian said that the industry will have 13.3 crore folios by 2025. Currently, the total folios of the industry is 5.60 lakh crore.
SBI Mutual Fund completes 30 years of operations
SBI Mutual Fund, the fifth largest (by AUM) asset management company, is completing three decades of operations today, making it the oldest entity in the country. With an AUM of over Rs 1,57,860 crore (excluding domestic fund of funds) as on March 2017, SBI MF was also the first banksponsored MF to have been registered with Sebi.
Mutual Fund schemes that invest in Pharma stocks outperform
The mutual fund schemes that invest in Pharma companies are seen outperforming the broader markets over the one week period. Reliance Pharma fund has delivered over 2.95% returns over one week’s time even as the benchmark index BSE Healthcare has gained 3.37% over similar time-frame. UTI Pharma & Healthcare Fund (G) is another fund that invests primarily in the pharma stocks that has shown outperformance by gaining 2.85% returns in the past one week. This out-performance reflects buying interest in the pharma stocks at lower levels. For the past one month, the Reliance Pharma Fund has generated negative 2.41% returns whereas the benchmark index has inched up by 2.19 % over the same period. Pharma funds have been underperforming for over one year now owing to declining stock prices of pharma stocks. Nifty Pharma index that tracks the performance pf pharma companies is down by over 10% in the one year period. Investors betting on pharma stocks would be relieved to see the outperformance in the near term.
MFs companies file papers for 15 new funds
Keeping in view the growing demand of mutual funds (Mfs), asset management companies filed offer documents for 15 new schemes with the market regulator SEBI in May 2017. The companies have filed documents for equity, debt, balanced and Fixed Maturity Plans (FMPs). Fund houses that have filed the documents include MF bigwigs such as Reliance MF, DSP BlackRock MF, Birla Sun Life MF, HDFC MF and Sundaram MF, Union MF, HSBC MF, Indiabulls MF, L&T MF and Franklin Templeton MF. The recent fund launches have recorded good response from the retail investors, whereas the markets also witnessed a launch of hybrid funds. This is for the first time since 2007 that the mutual funds market is brimming with new schemes.
HDFC MF seeks SEBI nod for close-ended equity scheme
HDFC Mutual Fund has asked for an approval from the market regulator SEBI to launch HDFC Equity Opportunities Fund-Series 3, according to the market regulator.
In the scheme, the HDFC MF has proposed to offer three plans of tenure ranging from 24 to 66 months. However, the duration of the plans have not yet been decided and is likely to be announced at the time of its launch. The scheme will operate with an objective to invest in equityrelated instruments across different sectors which will benefit from the growth in the broader economy. About 80% of the corpus of the closeended equity scheme will be invested in equity and equity-related instruments, whereas, up to 20% of the scheme will be invested in debt and money market instruments.
SBI Mutual Fund revise the minimum redemption provision of SBI Savings Fund
SBI Mutual Fund has decided to revise the minimum redemption provision of SBI Savings Fund. Accordingly, revised minimum redemption provision will be Rs. 500 or 50 units instead of Rs. 1000 or 100 units as earlier.
DSP BlackRock Mutual Fund to merge DSP BlackRock Technology.com Fund with DSP BlackRock Opportunities Fund.
DSP BlackRock Mutual Fund has decided to merge DSP BlackRock Technology.com Fund with DSP BlackRock Opportunities Fund. The merger will become effective from Jul 28, 2017.
Edelweiss Mutual Fund the face value of Edelweiss Liquid Fund and Edelweiss Treasury Fund
Click here to read the full report
Edelweiss Mutual Fund has changed the face value of Edelweiss Liquid Fund and Edelweiss Treasury Fund from Rs. 10 to Rs. 1,000. For Edelweiss Liquid Fund, the change will be effective from Jul 1, 2017, while for Edelweiss Treasury Fund, the change will be effective from Jul 3, 2017.