Aditya Birla Sun Life Mutual Fund to boost SIP, expand distribution

Fund houses are also looking forward to additional inflows from the pension funds, National Pension and EPFO. 

Published: 11th January 2019 05:14 AM  |   Last Updated: 11th January 2019 05:14 AM   |  A+A-

mutual funds

Representational image.

By Express News Service

MUMBAI: Aditya Birla Sun Life Mutual Fund, which has been clocking an average inflow of Rs 1,000 crore in its mutual fund schemes through the SIP (Sytemic Investment Plan) route, plans to grow the SIP book and overall assets under management in the current year. “SIP continues to be the focus area,” said A Balasubramanian, CEO of the fund house. 

“With all the positivity and optimism in the Indian market, I am sure that FPI (foreign portfolio investment) inflows will resurrect and domestic inflows in the form of SIP book-size will reach further heights,” he said. 

Fund houses are also looking forward to additional inflows from the pension funds, National Pension and EPFO. 

“Though there is a bit of slowdown in inflows in the last couple of months, net inflows can still be in the range of Rs 8,000 crore to Rs 9,000 crore on a conservative basis, and on bullish side Rs 12,000 for the industry as a whole,” is his estimate. 

Despite the new fee structure announced by SEBI that will come into effect from April 2019, bringing down the income for the AMCs, Aditya Birla Mutual Fund plans to increase its geographical footprint to the extent of having at least a physical agent’s presence across the country. 

The aim is to eventually have a branch in each one of the Lok Sabha constituencies in the country, Balasubramanian said. 

Currently, there are 170 branches, and presence in 260 locations he said. 

“The industry has to rewrite its business model. It is only a question of readjusting the business model. While we are using virtual platform, we realized the need for a ground-level force,” he said, explaining the efforts to not only expand the company’s reach, but also multiply the mutual fund distributor base from 1.30 lakh at present to 5 lakh. 
 

Stay up to date on all the latest Business news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp