HDFC Asset Management Company (AMC) has appointed Navneet Munot as the new Managing Director and Chief Executive Officer (MD & CEO) of the firm. Munot, currently the chief investment officer (CIO) and executive director at SBI Mutual Fund, will succeed long-time MD Milind Barve who will complete his term on January 31, 2020.
"The board of directors is pleased to inform that at its meeting held on November 16, 2020 has approved that Navneet Munot will be appointed as MD & CEO of the company and he will succeed the present managing director, Milind Barve," HDFC AMC said in a stock exchange filing.
Munot has been the CIO at SBI Mutual Fund for the past 12 years now and has previously worked with the Aditya Birla Group in various capacities for 13 years.
After being roped in as SBI MF’s CIO in December 2008, Munot is credited with bringing in stability to SBI MF’s fund management processes after the fund house found itself in rough weather post the global financial crisis as performance started to slip and internal attrition began to bite.
“He is future-ready and well ahead of the market. He has put in place a robust fund management infrastructure at SBI MF and transformed it from a predominantly retail fund house to one that caters to all kinds of investors. He is patient, does not have an ego and should be a good fit at HDFC MF,” said the chief executive of a top fund house.
Industry players say Munot was among the first in the industry to adopt the environmental, social and corporate governance (ESG) and passive themes. SBI MF moved up two places to number three in 2018, helped by the surge in debt inflows, steady performance across schemes and the money from the Employees' Provident Fund Organisation (EPFO), a mandate it got in mid-2015. It became the largest fund house this year and now manages assets of over Rs 4.5 trillion.
HDFC MF is the country’s second largest fund house with average assets under management of Rs 3.76 trillion as of September 30, 2020. HDFC AMC posted a net profit of Rs 1,262 crore compared with Rs 931 crore profit in the previous financial year.
Vinay Tonse, MD & CEO, SBI Funds Management, said “Navneet has been part of this team of skilled and experienced senior fund managers and has overseen many of their achievements. We value his contribution to the organization and wish him the best in all his future endeavours. We are a process-oriented organization and have one of the most competent investment teams in the industry. Our robust fund management processes have been highly valued by our investors and distributors.”
The fund management structure will continue to remain the same, as the company over a period of time has built a very capable second line with strong vintage, SBI MF said in a note on Monday.
The candidates for Barve's successor included other top industry names and a few internal candidates.
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