Indian asset managers dip after market regulator proposes standard fees

Nippon Life India Asset Management

19/05/2023 10:09

** Shares of Indian asset managers UTI Asset Management Co
 UTIA.NS , Nippon Life India Asset Management Ltd  NIPF.NS  and
HDFC Asset Management Co  HDFA.NS  down between 0.7% and 3.8% 
    ** India's capital market regulator is proposing mutual fund
houses charge standardised fees from investors to ensure greater
transparency, according to a consultation paper from Securities
and Exchange Board of India (SEBI)
    ** SEBI's consultation paper can impact profits of MFs by
13%, though part of it will be passed on to distributors,
brokers and other partners - Jefferies analysts   
    ** Total fee charged to a mutual fund investor, or the
expense ratio, should be inclusive of all expenses, including
brokerage paid by fund houses to purchase shares or other
securities - SEBI paper 
    ** Up to last close, HDFA , UTIA and NIPF have declined
16.9%, 24.6% and 5.3% respectively, YTD 

 (Reporting by Rama Venkat in Bengaluru)
 ((ramavenkat.raman@thomsonreuters.com; https://twitter.com/ramavenkat0607;))