MUMBAI: Union Asset Management Company (AMC) aims to double its Asset Under Management (AUM) to Rs 20,000 crore by the end of next cyear. The AuM of the AMC currently stands at around Rs 10,000 crore. The company is pinning hope on its growing distribution network and more inflow in debt funds this year.
“We are good traction from outside distributors, there are more MFDs (Mutual Fund Distributors) supporting us and some of the bigger MFDs have started working with us,” G Pradeepkumar, CEO, Union Mutual Fund told TNIE after releasing a report. “So far the money has come mostly in equity and hybrid funds now this year debt funds will become more popular as interest rate will peak out some time during 2023-24,” he added.
The AMC released a report on Thursday which stated that strong private consumption, which currently accounts for 55% of the India’s Gross Domestic Product (GDP), will drive country’s economic growth over next five years. Titled ‘The Elephant dances on’, authored by Sanjay Bembalkar and Hardick Bora, co-heads of Equity at Union AMC, the report said Indian economy is not only getting larger but is also projected to grow at a much faster rate compared to other sizeable economies.
The study highlights how India is firmly on the path of achieving economic superiority ‘rarely been achieved before’. “A significant 55% of our GDP comes from private consumption. So, when we own more cars, consume more electricity, use more internet, and travel more, it will drive private consumption and government capex to facilitate the same. That’s the fuel for economic growth. The elephant dances on.” states Sanjay Bembalkar.