Reliance Asset Management Company has edged past HDFC AMC to become the most profitable Mutual Fund house in the Country. As per the released data, the Profit After Tax (PAT) for Reliance AMC stood at Rs. 261 crore for the financial year ended 2010-11 against Rs. 242 crore for HDFC AMC. Profits of reliance grew at a faster pace 32% compared with 16% for HDFC. This is the first time a fund house has surpassed HDFC in terms of profits ever since it took over Zurich Mutual Fund way back in June 2003.
"When scale of business grows, expenses come down while topline growth contributes directly to higher profits" said Sundeep Sikka, CEO of Reliance AMC.
News Source – FINANCIAL EXPRESS.
The struggling domestic mutual fund industry has reasons to smile, in spite of tight regulatory scenario and poor penetration. The fund houses' continuous investor awareness programmes across the country have finally started showing results. The mobilisation of funds from retail investors through the systematic investment plan (SIP) route has shown a steep rise of over 40 per cent. According to a top official of the Securities and Exchange Board of India, the amount collected through SIPs has risen to as high as Rs 1,200-1,300 crore a month. It earlier stood at around Rs 800-900 crore.
News Source – BUSINESS STANDARD.
Union KBC Asset Management Company Pvt Ltd (Union KBC), a subsidiary of Union Bank of India, is to introduce mutual fund-related transactions through ATMs. Initially, the facility christened as [email protected] Bank will be available to all the customers of Union Bank, who have a debit card. The facility will be launched nationwide this month, Mr G. Pradeepkumar, CEO of Union KBC, said here on Monday.
News Source – BUSINESS LINE.
India Infoline Asset Management Company is the latest to enter the mutual fund industry. Its first offering is an exchangetraded fund (ETF) called IIFL Nifty ETF. The fund will invest in securities that make up the S&P CNX Nifty Index, in the same proportion as the index. The Nifty tracks the behaviour of a portfolio of bluechip companies, the largest and most liquid Indian securities.
News Source – ECONOMIC TIMES.
NEW FUND OFFER
Axis Mutual Fund files offer document with Securities and Exchange Board of India (SEBI) to launch Axis Fixed Term Plan – Series 17 – 19, a close-ended debt scheme. The duration of the scheme would be from 3 months to 36 months. The plan(s) of the scheme will endeavour to generate returns through a portfolio of debt & money market instruments that are maturing on or before the maturity of the respective plan(s).
News Source – NAV INDIA.
NEW FUND LAUNCH
DSP BlackRock Mutual Fund has launched a new fund namely, DSP BlackRock FMP – Series 15 – 3M, a close-ended income scheme with duration of 3 months. The new issue will be open for subscription from 7th October till 11th October 2011, at an offer price of Rs 10 per unit.
News Source – MUTUAL FUND INDIA.