Table of Contents
How does an AMC make money?
Asset management companies (AMCs) are firms pooling funds from various individual and institutional investors and investing in various securities. The company invests the funds in capital assets such as stocks, real estate, bonds, and so on.
How does HDFC AMC make money?
WHAT IS HDFC AMC? HDFC Asset Management Company is a joint venture between Housing Development Finance Corporation Limited (“HDFC”) and Standard Life Investments Limited (“SLI”). They manage mutual funds and most of their revenue comes from the fee they charge their clients to manage these funds.
What is the CAGR of HDFC AMC?
HDFC Asset Management Company (HDFC AMC) is Promoted by HDFC Ltd (52.72\% of share) and Standard Life(21.24\%), is one of the largest AMCs in India with total assets under management (AUM) of 406800 Cr. as of Dec 2020….Profit & Loss.
| Stock Price CAGR | |
|---|---|
| 10 Years: | \% |
| 5 Years: | \% |
| 3 Years: | 16\% |
| 1 Year: | -15\% |
How does HDFC AMC work?
HDFC AMC has a diversified asset class mix across Equity and Fixed Income/Others. It has a countrywide network of branches along with a diversified distribution network comprising Banks Independent Financial Advisors and National Distributors.
What is AMC in mutual funds?
An asset management company (AMC) is a firm that invests pooled funds from clients, putting the capital to work through different investments including stocks, bonds, real estate, master limited partnerships, and more.
How many mutual funds does AMC have in India?
44 asset management companies
There are 44 asset management companies (AMCs) or mutual fund houses operating in India. These companies manage the investments of investors to fetch them optimal returns. Below we have provided a list of mutual fund houses in India: Axis Asset Management Company Ltd.
Is HDFC AMC overpriced?
Price to Book Ratio PB vs Industry: HDFCAMC is overvalued based on its PB Ratio (10.9x) compared to the IN Capital Markets industry average (0.9x).
Who is the promoter of HDFC AMC?
HDFC AMC is a joint venture between the Housing Development Finance Corporation and Standard Life Investments, with Standard Life holding 21.23 percent and HDFC 52.65 percent as of June 30. JP Morgan India is acting as the book-running lead manager for the deal.
What is an asset management company (AMC)?
What is an Asset Management Company (AMC)? An asset management company (AMC) is a firm that invests a pooled fund of capital on behalf of its clients. The capital is used to fund different investments in various asset classes Asset Class An asset class is a group of similar investment vehicles.
How do AMC’s make money?
To understand how an AMC makes money, you need to understand the concept of Expense Ratio. Simply put, the expense ratio is the percentage of total assets that are spent to run a mutual fund. Like a doctor who charges you for his service, mutual funds too charge a fee for managing your money.
What should an investor look for when investing in AMC?
Fund Manager’s credibility- AMC work in parallel to its fund manager. The performance of the fund manager is now the performance of AMC then. Hence, an investor must look for past performance of the fund manager w.r.t managing the assets and funds.
What is an example of an AMC in real life?
Real World Example of an AMC. As mentioned earlier, purveyors of popular mutual fund families are technically asset management companies. Also, many high-profile banks and brokerages have asset management divisions, usually for high-net-worth individuals or institutions.