Mahindra AMC to expand MF biz

Mahindra AMC to expand MF biz

Mahindra AMC to expand MF biz

Mahindra Asset Management Company (MAMCPL), which is present in 126 cities currently, plans to take the number to 300 cities by the end of this fiscal year.

The investment manager to Mahindra Mutual Fund and the wholly owned subsidiary of Mahindra Finance, Mahindra AMC, is also planning to open offices in Bengaluru, Chennai, Hyderabad and Kolkata soon.

“It’s been just six months since the launch of our company, and we have 35 offices. Now, we are taking this to the next level. Our next 10 offices will be in the South,” Mahindra AMC Managing Director and CEO Ashutosh Bishnoi said.

The company on Thursday launched its fifth and sixth schemes — ‘Mahindra Mutual Fund Bal Vikas Yojana’, an open-ended balanced scheme, and ‘Mahindra Mutual Fund Badhat Yojana’, an open-ended equity scheme.
Investments in Bal Vikas Yojana can be done only in the name of the minor child. The fund offers optional lock-in investment till the child attains the age of 18 years. “Badhat Yojana scheme is suited for investors who are keen to get medium- to long-term capital appreciation through investment predominantly in equity and equity-related securities including derivatives,” he said. The new fund offer closes on May 4, and the scheme reopens for continuous sale and repurchase on May 18.

Mahindra AMC, which has 40,000 customers now, wants to take these two new schemes to 50,000 new customers in the next one year.

Talking about the MF industry, Bishnoi said, “It is at present a Rs 19-lakh crore industry, and it will become Rs 100-lakh crore in another 10 years. Only 3% of Indian households invest in equities compared with 70% in the US. There’s a huge opportunity to grow and we want to reach out to more smaller cities.”

The assets under the management (AUM) of the company is Rs 2,000 crore, of which, Rs 1,600 crore are of institutional assets.