A  Mutual fund is a pool of funds contributed by individuals and nonindividual entities and managed with a specific defined objective and in compliance with the regulations. The popularity of mutual funds  is because of the variety of needs that they address, ease of transaction, transparency, stringent regulation, flexibility, favourable taxation, and a host of other convenient factors.

Mutual funds invest across asset classes, have varying risk, return profiles to suit a variety of investor preferences. They are a convenient tool to achieve life’s important goals as it is possible to match your investment time horizons with those of a mutual fund. They are equally useful in both financial planning and wealth management.

In India, there are  44 Asset Management companies, and together between them have an AUM –Assets Under Management of Rs 27.01 lakh crores ( as of March 2020  source  ICRA). The list of AMCs and their AUMs is given below.

 

AMC wise Quarterly Average AUM

Mutual Fund NameNo. of FundsQAAUM DateQAAUM    (Rs. Cr)Prev DatePrev QAAUM (Rs. Cr)Inc/Dcr (Rs. Cr)
Aditya Birla Sun Life Mutual Fund165Mar-20247521.68Dec-19249925.99-2404.31
Axis Mutual Fund58Mar-20138401.62Dec-19122867.2315534.39
Baroda Mutual Fund21Mar-2011792.98Dec-1911137.72655.26
BNP Paribas Mutual Fund18Mar-207640.07Dec-197724.38-84.31
BOI AXA Mutual Fund16Mar-202269.7Dec-192322.14-52.44
Canara Robeco Mutual Fund23Mar-2017913.22Dec-1917281.38631.84
DSP Mutual Fund72Mar-2080395.64Dec-1977187.033208.61
Edelweiss Mutual Fund36Mar-2024466.11Dec-1912408.9112057.2
Essel Mutual Fund10Mar-20762.79Dec-19855.29-92.5
Franklin Templeton Mutual Fund82Mar-20116222.95Dec-19126374.81-10151.86
HDFC Mutual Fund122Mar-20369782.8Dec-19382517.03-12734.23
HSBC Mutual Fund35Mar-2011317Dec-1911245.1471.86
ICICI Prudential Mutual Fund242Mar-20350634.37Dec-19361394.97-10760.6
IDBI Mutual Fund22Mar-205030.93Dec-195088.64-57.71
IDFC Mutual Fund59Mar-20103893.16Dec-19104611.07-717.91
IIFCL Mutual Fund2Mar-20571.040571.04
IIFL Mutual Fund3Mar-201832.44Dec-191231.52600.92
IL & FS Mutual Fund5Mar-201237.7901237.79
Indiabulls Mutual Fund18Mar-201549.59Dec-191452.6396.96
Invesco Mutual Fund46Mar-2025660.22Dec-1925177.77482.45
ITI Mutual Fund8Mar-20526.8Dec-19170.28356.52
JM Financial Mutual Fund15Mar-206109.27Dec-195683.03426.24
Kotak Mahindra Mutual Fund100Mar-20186081.33Dec-19176961.159120.18
L&T Mutual Fund41Mar-2071055.79Dec-1971587.1-531.31
LIC Mutual Fund25Mar-2016323.96Dec-1916337-13.04
Mahindra Manulife Mutual Fund13Mar-205396.27Dec-195258.47137.8
Mirae Asset Mutual Fund18Mar-2043200.31Dec-1939349.033851.28
Motilal Oswal Mutual Fund20Mar-2019956.36Dec-1920281.32-324.96
Nippon India Mutual Fund212Mar-20204857.79Dec-19204370.52487.27
PGIM India Mutual Fund44Mar-204331.77Dec-194038.19293.58
PPFAS Mutual Fund3Mar-203137.64Dec-192770.38367.26
PRINCIPAL Mutual Fund23Mar-206403.41Dec-196729.79-326.38
Quant Mutual Fund13Mar-20248.56Dec-1981.52167.04
Quantum Mutual Fund10Mar-201361.63Dec-191457.13-95.5
Sahara Mutual Fund11Mar-200Dec-1950.13-50.13
SBI Mutual Fund150Mar-20373498.27Dec-19352631.9320866.34
Shriram Mutual Fund4Mar-20182.28Dec-19184.62-2.34
Sundaram Mutual Fund75Mar-2031279.71Dec-1931397.76-118.05
Tata Mutual Fund60Mar-2052469.81Dec-1952209.59260.22
Taurus Mutual Fund9Mar-20416.56Dec-19431.34-14.78
Union Mutual Fund17Mar-204057.75Dec-194284.54-226.79
UTI Mutual Fund182Mar-20151512.5Dec-19157119.09-5606.59
YES Mutual Fund3Mar-20252.52Dec-19395.27-142.75

 

Mutual  funds can  be  classified   in the following  ways which can also be overlapping

 

1. Based on   Asset  Class composition —–Equity oriented, Debt oriented, Balanced Fund, Arbitrage Fund, Multi-Asset Fund, Gold Fund, Commodities Fund, Equity Hybrid Fund, Debt oriented hybrid fund, overseas assets.

Within equities, depending on the composition—–Large Cap, Midcap, Small Cap, Multi cap, Focussed, Diversified, sectoral, or based on the philosophy–  Value or Growth.

Within Debt funds —-Duration, Credit Risk, Liquid, Short Term, Gilt, Medium Term, Long term etc.

2. Based on the way it is managed— Static or Dynamic, Asset Allocation

3. Based on the structure of the fund—Open-Ended or Closed-ended, Interval fund, locked fund.

Mutual funds have come a long way since private mutual funds were floated in the early nineties and are now one of the most convenient vehicles to save and invest especially,  for the individuals who lack the knowledge and time to make informed decisions. Mutual funds have had their share of problems. However by and large mutual fund investors who have invested based on advice have had a happy investing experience on account of the outperformance vis-à-vis traditional instruments.