HDFC Securities: Initiating Coverage On UTI AMC - A Turnaround In The Works 

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

HDFC Securities Report

UTI Asset Management Company Ltd. is India’s eighth-largest mutual fund asset manager.

Its equity performance is improving (40.6% outperforming asset under management, up 1,285 basis points versus March 2020) and market share stabilising (4.7%, up 34 basis points versus March 2020), which should drive flows and revenue growth.

The company boasts of a strong agency-led granular AUM.

We expect FY20-23E revenue compound annual growth rate of 7.5% along with improving staff costs (27.0 basis points of average assets under management in FY21E to 21.6 basis points in FY23E) to drive operating profits at a CAGR of 13.8%.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.