UTI Mutual Fund eyes Rs 4 lakh crore AUM by FY18 end
Leading asset management company UTI Mutual Fund is targeting assets under management (AUMs) of Rs 4 lakh crore by the close of 2017-18. If achieved, the AUMs would grow by eight per cent over last financial year’s figure of Rs 370,000 crore.
“Market conditions, UTI Mutual Fund’s strength and the investor camps that we plan to hold would help achieve our target in AUMs. Our mutual fund assets are expected to rise from Rs 1.54 lakh crore to Rs 1.75 lakh crore by the end of this financial year”, said Debashish Mohanty, President and country head (retail) and head (investor service management), UTI Asset Management Company Ltd.
The company plans to introduce three more equity focused funds before the end of this financial year. It has approval from markets regulator Sebi for these products.
Mohanty feels the waning interest of people in bank fixed deposits (FDs) due to unattractive returns would spur them towards equity investments. “There is no alternative available to the people. FDs cannot beat inflation. People should look to invest in equity with limited risk. Mutual Funds are well-regulated vehicles. The products, as well as the product manager, are regulated. That keeps people’s money is safe hands”, Mohanty told Business Standard on the sidelines of a conclave on ‘Retail Savings Opportunities’ organised by the Indian Chamber of Commerce (ICC).
UTI Asset Management is banking on innovative strategies to market its products. “The company is going to have a large media presence for its products. We are also going for revamp of our digital presence. For ease of our digital investors, we already have two apps”, Mohanty added.