Bajaj Finserv Mutual Fund had filed its first seven schemes with Sebi in April Bajaj Finserv Mutual Fund had filed its first seven schemes with Sebi in April Bajaj Finserv Mutual Fund had filed its first seven schemes with Sebi in April Bajaj Finserv on Tuesday announced the launch of its new mutual fund business, Bajaj Finserv Mutual Fund. In March, Bajaj Finserv Mutual Fund, which is a subsidiary Bajaj Finserv, had filed necessary papers to capital regulator Securities and Exchange Board of India (Sebi) for launching seven schemes in equity, debt, and hybrid categories. Bajaj Finserv Asset Management Limited (BFAML) has been designated as the Investment Manager.
On Tuesday, the company said it can now launch the seven types of funds, which are liquid fund, money market fund, overnight fund, arbitrage fund, large and mid-cap fund, balanced advantage fund and flexi cap fund to cater to the institutional segment and company treasuries.
Bajaj Finserv Mutual Fund will launch a comprehensive set of products across fixed income, hybrid and equity categories to meet the needs of diverse investor profiles ranging from retail and HNIs to institutions. To begin, the company will launch a set of fixed-income, liquid, overnight and money market products to cater to the institutional segment and company treasuries.
Bajaj Finserv Mutual Fund will start rolling out these products within the next 30 days, starting with Fixed Income products. Bajaj Finserv Mutual Fund’s operating model aligns with Bajaj Finserv’s entrepreneurial
culture, innovation, execution rigor, strong risk management and long-term sustainable growth, the company said in a press statement.
“We are committed to being a full-stack financial solutions provider to meet India’s growing needs and building deeper, long-term relationships with customers who are already invested in us. The launch of asset management helps diversify our retail franchise and leverage Bajaj Finserv companies’ combined strength in financial services across a much larger customer base,” said Sanjiv Bajaj, Chairman & Managing Director, Bajaj Finserv.
He added that Bajaj Finserv Mutual Fund will deploy technology at scale to empower teams, create platforms for distributors, simplify investments, and build long-term sustainable value for customers. We believe the asset management business positions Bajaj Finserv for an exciting new chapter of growth.
Ganesh Mohan, Chief Executive Officer, Bajaj Finserv Asset Management Company, said, “Bajaj Finserv Mutual Fund’s strategy is built on innovation, win-win partnerships, and a future-ready business model through usage of data and tech platforms – the fundamental pillars on which the Bajaj Finserv is built.”
“Our primary differentiator is our investment philosophy. We look to combine all sources of alpha, namely the Information edge, Quantitative edge as well as the Behavioural edge into a framework, which we call ‘INQUBE’. Our team, comprising experts from across the industry and professionals from Bajaj Finserv, enables us to benefit from deep industry know-how as well as Bajaj Finserv’s culture and DNA,” Mohan added.
The MF industry’s asset under management (AUM) grew more than five times over the past 10 years as of March 2023. The AUM grew from Rs 7.01 lakh crore in March 2013 to Rs 39.42 lakh crore on March 31, 2023, the AMFI data shows.
In the year ended March 2023, investments in equity-oriented schemes, including equity and balanced funds, by individual investors rose by 13 per cent compared to a 0.16 per cent increase in debt-oriented schemes.
In addition, liquid or money-market mutual funds saw a 30 per cent increase, while exchange-traded funds (ETFs) and fund-of-funds (FoFs) saw about 21 per cent growth in the same period, according to AMFI data.
The growth in individual equity assets was mainly driven by distributors, except for ETFs and FoFs, which were led by direct investments. The top 30 cities accounted for 56 per cent of the growth in individual investments driven by MF distributors, while 18 per cent came from direct individual investments.
Since morning, Bajaj Finserv shares rose over 1 per cent on back of the launch of its mutual fund (MF) business.
On the BSE, the stock increased by 0.91 per cent to Rs 1471.95 apiece around 1 PM.