SBI Mutual Fund, the country’s largest fund house, has become the first mutual fund house in India to surpass Rs 10 lakh crore of Average Asset Under Management (AAUM).
SBI Mutual Fund saw its AAUM crossing Rs 9 lakh crore in the previous financial year. The AAUM rose to Rs 9.14 lakh crore from Rs 7.17 lakh crore in FY2023-24, clocking a growth of 27%. Over the last five financial years (from FY19-FY24), its AAUM growth has grown by approximately 26% CAGR.
This AAUM growth has been achieved on the back of an unprecented rise in the SIP book and penetration in top 30 or T30 and beyond these 30 or B30 locations. SBI Mutual Fund’s SIP book stood at Rs 3,007 crore as on March 31, 2024.
SBI Mutual Fund continued to generate big interests from investors and distribution partners for its existing and new fund offerings. SBI Energy Opportunities Fund received Rs 6,800 crore with 1.7 lakh new investors. SBI Automotive Opportunities Fund received Rs 5,710 crore with over 1.11 lakh new investors.
Currently, SBI Mutual Fund manages 116 schemes. Of these, 44 are equity schemes, 6 hybrid schemes, 57 debt schemes, 2 commodity-based schemes, and 7 other schemes (includes index funds and ETFs).
AAUM of Indian mutual fund industry
The Average Assets Under Management (AAUM) of the Indian Mutual Fund Industry for the month of May 2024 stood at Rs 58,59,951 crore. The Assets Under Management (AUM) of Indian Mutual Fund Industry as on May 31, 2024 stood at Rs 58,91,160 crore.
The industry’s AUM has grown from Rs 10.11 lakh crore as on May 31, 2014 to Rs 58.91 lakh crore as on May 31, 2024 — around six-fold increase in a span of 10 years.
The MF industry’s AUM has grown from Rs 25.94 lakh crore as on May 31, 2019 to Rs 58.91 lakh crore as on May 31, 2024, more than two-fold increase in a span of 5 years.
The MF industry’s AUM had crossed the milestone of Rs 10 lakh crore for the first time in May 2014 and in a short span of about three years, the AUM size had increased more than two folds and crossed Rs 20 lakh crore for the first time in August 2017. The AUM size crossed Rs 30 lakh crore for the first time in November 2020. The industry AUM stood at Rs 58.91 lakh crore as on May 31, 2024.
Also, the mutual fund industry has crossed a milestone of 10 crore folios during the month of May 2021.
The total number of accounts (or folios as per mutual fund parlance) as on May 31, 2024 stood at 18.60 crore (18.6 crore), while the number of folios under equity, hybrid and solution oriented schemes, wherein the maximum investment is from retail segment, stood at about 14.90 crore.
Equity mutual fund performance in May 2024
Equity mutual fund inflows rose by 83% in May to Rs 34,697 crore from April’s Rs 18,917 crore on account of heavy inflows in sectoral/thematic funds. During the month, frontline Indian stock indices were down 0.33%, while equity mutual fund categories witnessed steady inflows.
Anand Vardarajan, Head Business Head – Banking, Institutional Clients, Alternate Products and Product Strategy, Tata Asset Management, said equity flows have been largely driven by expectations of the election outcome, coupled with some NFO launches, which perhaps led to a much higher than expected quantum in equity category.
“On the equity side, investors possibly wanted to position their portfolios in advance to avoid any kind of gap risk as election exit polls were coming out over the weekend, which could have led to a spike in equity allocations towards the end of the month,” he said.
