AUMs back on track after 2 mths as big houses shore up funds

Written by Markets Bureau | Mumbai | Updated: Jan 3 2009, 05:05am hrs
After witnessing two months redemption pressure and an erosion in assets under management (AUM), the Indian mutual fund (MF) industry seems to be clawing back on track. The AUM numbers released by the Association of Mutual Funds in India (Amfi) indicates that there has been an overall growth with larger players shoring up the numbers.

Top fund houses like Reliance Mutual Fund, ICICI Prudential, Tata and SBI Mutual fund have registered decent growth in their Asset under Management (AUM) for the month of December 2008. Countrys top fund Reliance Mutual Fund registered a growth of Rs 2,392.24 crores or 3.53 and its AUM stood at Rs 70,208.10 crores compared to Rs 67,815.86 crores in the month of November. According to numbers disclosed by 22 of the 37 fund houses the overall AUM has increased by 4.67% in December over the previous month.

Waqar Naqvi, chief executive, Tauras Mutual Fund said, The fund houses having exposure in the equity market have gained their AUM in the month of December, 2008 as the over all market has gone up by 10% during the month. The equity market has gone up positively in the December. Some of the fund houses have also gained their AUM with the inflow of money into their liquid funds. It can be mentioned that in the month of December the benchmark index, the 30-share Sensex of Bombay Stock Exchange (BSE) gained 1,063 points or 12.03%.

ICICI Prudential MFs AUM for the month of December stood at Rs 41,877.51 crores, increase by Rs 4,821.84 crores or 13.01%. While there are several fund houses which continued to face the heat of global meltdown. Edelweiss MF saw dip in their AUM at Rs 77.21 crores in December compared to Rs 164.79 crores in November a decrease of Rs 87.57 crores or 53.14%.