Funds, Ulips feel the heat

Top-5 MFs` AUMs dip by Rs 14,800 cr in June

% chg

Reliance MF90,813-8 ICICI Prud MF59,4740.7 HDFC MF52,710.8-6.05 UTI MF50,770-7.1 Birla Sunlife MF41,075-0.8 Source: AMFI  ICICI Prudential Mutual Fund attributed its positive numbers to the fact that it is the "largest debt player" in the industry. Vikrant Gugnani, CEO, Reliance Mutual Fund, said the mark-to-market losses were to the tune of Rs 4,000-4,500 crore because of high volatility. The decline in AUMs was also due to redemption from investors for advance tax payments, he added. "We are sitting on cash levels of around 19 to 20 per cent," added Gugnani.  In spite of the sharp fall in markets, fund players said the industry did not see any serious redemption pressure. "Though a large amount of money has not been coming into equity funds, there has not been any redemption pressure yet," said Jaideep Bhattacharya, chief marketing officer, UTI Mutual Fund.  However, fund managers expect the next two months to be extremely tight for the industry. They are gearing up for further reduction in AUMs, if the market condition continues to be volatile.