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SBI Mutual Fund (SBI MF) is targetting to increase Asset Under Management (AUM) to Rs 4,000 crore in Uttar Pradesh during the current financial year.
At present, the state contributes roughly Rs 3,000 crore in AUM to the company.
SBI MF is the 5th largest mutual fund in India with total AUM of about Rs 1,25,000 crore currently compared to Rs 1,06,000 crore at the end of March 2016.
“Our equity and debt schemes have been performing good and our market share not only in Lucknow, but all across the markets have clocked healthy growth,” SBI MF managing director and CEO Dinesh K Khara told the media here this evening.
He said the company had been performing well both in the metros and smaller towns.
“The tier II and III towns contribute about 27 percent to our AUM compared to 23 percent for the domestic mutual fund industry, which indicates that our products have been received well in the smaller towns,” he noted.
Meanwhile, Khara informed the domestic MF industry had been trying for a common Know Your Customer (KYC) norm to cut on duplicate paper work and procedures for the retail customers.
“The proposal would need the approval of multiple regulators, including Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI), as it involves both the commercial banks and fund houses,” he said.
He further added the proposal was likely to be accepted by regulators in due course as the operational procedures were still being evolved. “In all likelihood, it would be implemented in the next six months pending due approvals.”
SBI MF has been bullish on investors’ awareness-cum-education programmes throughout India. “Last year, we conducted 80 workshops in UP for retail customers.”
