Mutual fund AUM surges 5% in FY23; SBI widens lead, shows data

The mutual fund (MF) industry recorded a modest 5 per cent year-on-year growth in assets under management (AUM) for the 2022-23 financial year (FY23), supported by strong inflows through the systematic investment plan (SIP) route.

The industry growth in FY23 was much lower than that of FY22, when the AUM grew over 20 per cent on the back of a strong market rally and record fresh investments. 

Among MF fund houses, SBI MF, even on a large base, logged encouraging growth in its AUM as they rose 11 per cent to touch Rs 7.2 trillion in FY23. Other top players like ICICI Prudential and HDFC witnessed growths between 4 to 6 per cent.

Among fund houses managing over Rs 10,000 crore, Quant MF registered the maximum growth with its AUM surging 2.9 times – from Rs 6,506 crore in FY22 to Rs 18,760 crore in FY23. The fund house has seen phenomenal growth in the last two years as assets managed by it were just Rs 720 crore in FY21.

While the fresh investments, especially through SIPs, continued to surge in FY23, the industry didn't gain much from market movement. Benchmarks Nifty50 and Sensex ended FY23 nearly flat, after undergoing intense volatility throughout the year. Outflows from debt funds also weighed on the AUM growth.