Asset management industry profits

The Indian asset management industry assets under management have crossed INR50 trillion (~$370+ bn).

Revenues average about 53 basis points. With costs of around 13 basis points, the profits have improved to around 40 basis points.

Source – McKinsey India Asset Management Industry Report, April 2021

Profits add up to INR 6,859 crores (~$920m) according to an article in the Business Standard, quoting Value Research data.

Source- Business Standard, 27 October 2021

MMI analysis shows the break-up of EBIT and Net Profit.

Source -MMI analysis using data from AMC financial statements

Sales & marketing make up the largest proportion of costs.

Source – McKinsey India Asset Management Industry Report, April 2021

The Business Standard article highlights the profits of the largest asset management companies. Aditya Birla Sun Life AMC saw its profit jump 6 per cent to Rs 526 crore in the first half of FY22, while Nippon Life India AMC saw its profits soar 58 per cent to Rs 649 crore, and HDFC AMC’s net profit rose 5 per cent to Rs 1,326 crore.

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