After two months of heavy redemption in the total assets under management (AUM), the mutual industry was back to its winning track in April 2004. As on 30th April 2004, the total AUM of the industry stood at Rs 1,48,325 crores as against Rs 1,39,867 crores as of 31st March 2004. Such was the quantum of inflows and net assets additions that the industry witnessed one of the best growth rates (6.05%) since August 2003.
- Among the 26 funds reviewed, only 6 funds namely UTI MF, IL&FS MF, Canbank MF, ING Saving Trust, Morgan Stanley MF and Sun F&C MF witnessed a drop in the net assets. UTI MF topped the list with total erosion of Rs 769 crores in April. Barring UTI MF and Morgan Stanley MF, the other 4 funds have witnessed a fall in net assets for the second month in a row.
- Reliance MF, with a net addition of more than Rs 2500 crores stormed into the top 5 funds league dislodging Birla MF to the sixth slot. The addition of Rs 2500 crores is far by the best in the industry in the last one year barring the more than Rs 3000 crores appreciation in asset base by HDFC MF after the merger with Zurich MF. The excellent growth rate for Reliance MF can be attributed to the successful IPO of its Diversified Power Sector Fund.
- The top 4 fund houses retained their respective positions of March 2004. In the top 10 fund houses, SBI MF dropped out to the 11th slot while HSBC MF entered the league for the first time at the 10th slot. The latter has seen consistent growth in asset base since its launch. DSP ML MF jumped two ranks ahead to the 8th position while Stan Chart MF (7th) and Kotak MF (9th) retained their positions.
- Though the growth rate of the top 5 fund houses based on net assets averaged to just 5.47%, the top 5 funds houses based on inflows averaged a growth rate of nearly 25%.