Indian MF can triple to 18 Trillion: KPMG
By siliconindia   |   Friday, 19 June 2009, 00:12 IST   |    2 Comments
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Indian MF can triple to Rs. 18 Trillion: KPMG
Bangalore: The Indian mutual fund assets could triple to around Rs 18 trillion by 2015 if the country's economy is to recover quickly reports Reuters. KPMG, a consultant and service fund has come out with the report also claiming that profitability can come down if revenues shrink and operating costs increase. In FY08 the Indian fund industry's profitability as a percentage of assets stood at 14 basis points down from 25 basis points in FY06. This according to KPMG was because the industry gathered more assets in low margin products targeted at institutional segment. The data compiled by the Association of Mutual Funds in India (AMFI) show that, more than half of the Rs 6.6 trillion Indian funds were managed at the end of May 06, collectively by corporates, banks and foreign institutional investors (FIIs).

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