Is Reliance Mutual Fund giving up the AAUM race for profitability?

Reliance Mutual Fund  is changing its strategy of chasing the AAUM, to now focus on increasing its bottomline. The AAUM of Reliance Asset Management Company (Largest Mutual Fund Manager in India) is slowly tapering off. Does this mean it has given up its self-styled race for size to now focus on making its balance sheet stronger?

Reliance the Undisputed Leader in AAUM: Reliance held the No 1 spot in assets under its management for past many years. Its was originally Reliance’s idea to aggressively market various schemes and garner biggest chunk of new assets under its control. It launched innovative products, schemes and offered large incentives to market its funds. It redefined the Indian Assets Management business by taking a sizeable lead ahead of its rivals. With sustained efforts and aggressive posturing it reached indomitable position in the Indian Mutual Fund Industry in a very short time.

Knowledge, Products, Marketing and Timing: Reliance Group has a firm understanding of the Indian Markets. It has always kept pace with the changing demographics of its consumers. In one of the fastest growing market of the world, it is of utmost importance to connect with your investors and stay ahead of the curve. SIP for just 100, ATM Card for Mutual Fund Investors, First SIP in Gold Fund are few recent examples of innovative concepts by Reliance Capital.

Reliance Mutual Fund

Good management, excellent and timely PR, stable fund managers are a few qualities associated with Reliance Mutual Fund. It managed volatility and downtrends in markets with gusto by being in the public eye when it mattered the most. Able Fund Managers were available in public domain(effectively and efficiently doing a  Public Relations job) to calm investor’s nerves when their portfolios were bleeding. Such hand holding is often the need of the hour in volatile markets.

Rivals made it easy for Reliance: While Reliance was in race with itself, others like HDFC Mutual Fund had different ideas about the whole concept of increasing the AAUM. It regularly doubted Reliance claims of ever-increasing investors and assets. The measurement of company’s size is a difficult task in a complex Indian financial market. Absence of clear and strict guidelines to calculate various parameters of AAUM made it easier to tweak numbers. Rivals were left with playing the catch-up game to the market leader, Reliance. Many asset management companies, baring few like Quantum AMC and Benchmark AMC failed to offer a different product than the one which Reliance already had in its portfolio.

Continue reading

Advertisements

AAuM as on 30 September 2008

 

 

Sr No.

Mutual Fund Name

Average AUM For The Month

September

August

July

1

Reliance Mutual Fund

8649446

8861646

8456391

2

HDFC Mutual Fund

5199829

5385863

5075203

3

ICICI Prudential Mutual Fund

4980352

5312445

5516066

4

UTI Mutual Fund

4462319

4694732

4611991

5

Birla Sun Life Mutual Fund

3759536

3820196

3749730

6

SBI Mutual Fund

2924777

2957678

2915112

7

Franklin Templeton Mutual Fund

2856877

2793603

2444095

8

Tata Mutual Fund

2077775

2119726

2044342

9

Kotak Mahindra Mutual Fund

1906501

1867594

1878210

10

DSP Merrill Lynch Mutual Fund

1851211

1941856

1948293

11

LIC Mutual Fund

1616841

1715323

1749913

12

HSBC Mutual Fund

1553282

1690057

1638527

13

Sundaram BNP Paribas Mutual Fund

1261461

1216215

1189826

14

IDFC Mutual Fund

1187192

1227245

1174181

15

Deutsche Mutual Fund

1169367

1146505

1079246

16

JM Financial Mutual Fund

1044691

1198759

1104989

17

PRINCIPAL Mutual Fund

994428

1105854

1135923

18

ABN AMRO Mutual Fund

912347

853216

780266

19

Lotus India Mutual Fund

793707

823475

783075

20

Fidelity Mutual Fund

770613

767706

746382

21

ING Mutual Fund

663614

711353

709057

22

Canara Robeco Mutual Fund

600626

490239

457617

23

Benchmark Mutual Fund

390466

382564

297457

24

AIG Global Investment MF

302569

343938

351317

25

Morgan Stanley Mutual Fund

284485

299756

281399

26

JPMorgan Mutual Fund

240029

272281

305355

27

Mirae Asset Mutual Fund

230983

256327

254600

28

DBS Chola Mutual Fund

160341

161162

185311

29

Bharti AXA Mutual Fund

47049

40844

22911

30

Taurus Mutual Fund

40815

37399

0

31

Edelweiss Mutual Fund

30195

0

0

32

Escorts Mutual Fund

21127

17323

17673

33

Sahara Mutual Fund

18154

17900

17482

34

Quantum Mutual Fund

6943

7140

6568

35

Baroda Pioneer Mutual Fund

5564

6105

5562

36

Goldman Sachs Mutual Fund

0

0

0

37

Religare AEGON Mutual Fund

0

0

0

Grand Total

53015512

54544025

52934068

AAuM as on 31 August 2008

AAuM as on 31 August 2008

Assets Under Management (AUM) as at the end of Aug-2008 (Rs in Lakhs)

Average AUM For The Month

Mutual Fund Name                                 August     July         % Change

Reliance Mutual Fund                             8861646 8456391    4.79%

HDFC Mutual Fund                                 5385863 5075203    6.12%

ICICI Prudential Mutual Fund                  5312445 5516066   -3.69%

UTI Mutual Fund                                     4694732 4611991    1.79%

Birla Sun Life Mutual Fund                     3820196 3749730    1.88%

SBI Mutual Fund                                     2957678 2915112    1.46%

Franklin Templeton Mutual Fund           2793603 2444095  14.30%

Tata Mutual Fund                                   2119726 2044342  3.69%

DSP Merrill Lynch Mutual Fund              1941856 1948293  -0.33%

Kotak Mahindra Mutual Fund                1867594 1878210  -0.57%

LIC Mutual Fund                                    1715323 1749913  -1.98%

HSBC Mutual Fund                                 1690057 1638527  3.14%

IDFC Mutual Fund                                  1227245 1174181  4.52%

Sundaram BNP Paribas Mutual Fund      1216215 1189826  2.22%

JM Financial Mutual Fund                       1198759 1104989  8.49%

Deutsche Mutual Fund                           1146505 1079246  6.23%

PRINCIPAL Mutual Fund                          1105854 1135923  -2.65%

ABN AMRO Mutual Fund                           853216 780266    9.35%

Lotus India Mutual Fund                           823475 783075   5.16%

Fidelity Mutual Fund                                 767706 746382   2.86%

ING Mutual Fund                                       711353 709057   0.32%

Canara Robeco Mutual Fund                     490239 457617   7.13%

Benchmark Mutual Fund                           382564 297457   28.61%

AIG Global Mutual Fund                            343938 351317  -2.10%

Morgan Stanley Mutual Fund                     299756 281399   6.52%

JPMorgan Mutual Fund                              272281 305355   -10.83%

Mirae Asset Mutual Fund                           256327 254600   0.68%

DBS Chola Mutual Fund                             161162 185311  -13.03%

Bharti AXA Mutual Fund                              40844 22911     78.27%

Taurus Mutual Fund                                    37399  N/A        0.00%

Sahara Mutual Fund                                     17900 17482    2.39%

Escorts Mutual Fund                                    17323 17673  -1.98%

Quantum Mutual Fund                                   7140  6568      8.71%

Baroda Pioneer Mutual Fund                           6105 5562     9.77%

Edelweiss Mutual Fund                                         0 N/A       0.00%

Grand Total                                        54544025.48 52934068   3.04%

Related Posts Only (manually created not automatically generated)

add to del.icio.us :: Add to Blinkslist :: add to furl :: Digg it :: add to ma.gnolia :: Stumble It! :: add to simpy :: seed the vine :: :: :: TailRank :: post to facebook

AAuM as on 31 July 2008

AAuM as on 31 July 2008

Assets Under Management (AUM) as at the end of Jul-2008 (Rs in Lakhs)
SR No Mutual Fund Name Average AUM For The Month
July June Change(%)
1 Reliance Mutual Fund 8456391 9081345 -6.88%
2 ICICI Prudential Mutual Fund 5516066 5947359 -7.25%
3 HDFC Mutual Fund 5075203 5271081 -3.72%
4 UTI Mutual Fund 4611991 5077057 -9.16%
5 Birla Sun Life Mutual Fund 3749730 4107524 -8.71%
6 SBI Mutual Fund 2915112 3013240 -3.26%
7 Franklin Templeton Mutual Fund 2444095 2474206 -1.22%
8 Tata Mutual Fund 2044342 2385289 -14.29%
9 DSP Merrill Lynch Mutual Fund 1948293 2054042 -5.15%
10 Kotak Mahindra Mutual Fund 1878210 2118330 -11.34%
11 LIC Mutual Fund 1749913 1863347 -6.09%
12 HSBC Mutual Fund 1638527 1735731 -5.60%
13 Sundaram BNP Paribas Mutual Fund 1189826 1284672 -7.38%
14 IDFC Mutual Fund 1174181 1164128 0.86%
15 PRINCIPAL Mutual Fund 1135923 1419921 -20.00%
16 JM Financial Mutual Fund 1104989 1165515 -5.19%
17 Deutsche Mutual Fund 1079246 1103738 -2.22%
18 Lotus India Mutual Fund 783075 740606.1 5.73%
19 ABN AMRO Mutual Fund 780265.8 679100.5 14.90%
20 Fidelity Mutual Fund 746381.7 810434.4 -7.90%
21 ING Mutual Fund 709056.8 849610.7 -16.54%
22 Canara Robeco Mutual Fund 457617.2 393275.3 16.36%
23 AIG Global Investment Group Mutual Fund 351317.1 380887.5 -7.76%
24 JPMorgan Mutual Fund 305355 265470.3 15.02%
25 Benchmark Mutual Fund 297457.2 264180.8 12.60%
26 Morgan Stanley Mutual Fund 281398.6 311083.5 -9.54%
27 Mirae Asset Mutual Fund 254600.1 243665 4.49%
28 DBS Chola Mutual Fund 185310.9 194078.7 -4.52%
29 Bharti AXA Mutual Fund 22911.41 N/A 0.00%
30 Escorts Mutual Fund 17673.15 16246.73 8.78%
31 Sahara Mutual Fund 17481.97 17600.87 -0.68%
32 Quantum Mutual Fund 6567.62 6661.66 -1.41%
33 Baroda Pioneer Mutual Fund 5561.89 5953.67 -6.58%
34 Edelweiss Mutual Fund N/A N/A 0.00%
35 Taurus Mutual Fund N/A 29896.08 0.00%
Total 52934068 56475276 -6.27%

Related Posts Only (manually created not automatically generated)

AAuM as on 30 June 2008

AAuM as on 30 June 2008

Rank AMC AAuM Rs in lacs.
1 Reliance Mutual Fund 9081345.11
2 ICICI Prudential Mutual Fund 5947358.64
3 HDFC Mutual Fund 5271080.51
4 UTI Mutual Fund 5077056.56
5 Birla Sun Life Mutual Fund 4107523.54
6 SBI Mutual Fund 3013240.09
7 Franklin Templeton Mutual Fund 2474206.35
8 Tata Mutual Fund 2385289.12
9 Kotak Mahindra Mutual Fund 2118330.04
10 DSP Merrill Lynch Mutual Fund 2054041.86
11 LIC Mutual Fund 1863346.86
12 HSBC Mutual Fund 1735730.82
13 PRINCIPAL Mutual Fund 1419920.79
14 Sundaram BNP Paribas Mutual Fund 1284672.32
15 JM Financial Mutual Fund 1165515.19
16 IDFC Mutual Fund 1164128.48
17 Deutsche Mutual Fund 1103737.79
18 ING Mutual Fund 849610.65
19 Fidelity Mutual Fund 810434.39
20 Lotus India Mutual Fund 740606.11
21 ABN AMRO Mutual Fund 679100.47
22 Canara Robeco Mutual Fund 393275.34
23 AIG Global Investment Group Mutual Fund 380887.45
24 Morgan Stanley Mutual Fund 311083.45
25 JPMorgan Mutual Fund 265470.28
26 Benchmark Mutual Fund 264180.76
27 Mirae Asset Mutual Fund 243664.98
28 DBS Chola Mutual Fund 194078.69
29 Taurus Mutual Fund 29896.08
30 Sahara Mutual Fund 17600.87
31 Escorts Mutual Fund 16246.73
32 Quantum Mutual Fund 6661.66
33 BOB Mutual Fund 5953.67
34 Bharti AXA Mutual Fund N/A
35 Edelweiss Mutual Fund N/A
Grand Total 56475275.65