Tag Mutual Funds

HDFC AMC ltd
HDFC AMC Q4 Results: 31% Profit Growth, ₹7.76 Trillion AUM & Dividend News

Business and Industry Overview:  

HDFC Asset Management Company (HDFC AMC) is one of the biggest investment companies in India. It was started in 1999 and helps people invest in different types of mutual funds. Mutual funds allow people to put their money together to invest in things like stocks (equity), bonds (debt), and safer short-term investments (liquid funds). HDFC AMC manages a lot of money—₹7,764 billion (₹7.76 trillion) in assets as of 2025. HDFC AMC offers 98 different mutual fund schemes. These include 39 equity funds, 32 debt funds, and other types of funds. The company is the investment manager for HDFC Mutual Fund, one of the largest mutual funds in India. Besides mutual funds, HDFC AMC also offers services like portfolio management and alternative investment options to rich individuals, family offices, and organizations. HDFC Bank, India’s largest private bank, owns 52.48% of HDFC AMC. This gives the company a strong backing. HDFC Bank has many branches and ATMs across India, which help HDFC AMC reach a large number of people. HDFC AMC has seen a big increase in its customers. As of 2025, it has 12.6 million unique investors and 22.1 million active accounts.  

Latest Stock News: 

HDFC Asset Management Company (HDFC AMC) has been doing well in the stock market. On April 18, 2025, its stock price was ₹4,101.10, which went up by 1.34% from the previous day. The highest price of the stock in the last year was ₹4,862, and the lowest was ₹3,255. This shows the stock has moved up and down in the past year. On April 17, 2025, the company’s Board of Directors met to approve the financial results for the year ending on March 31, 2025. They also talked about giving a dividend to shareholders. This shows the company is confident about its performance and wants to share the profit with its investors. HDFC AMC’s financial performance in the third quarter of FY25 was very strong. The company’s net profit increased by 31% compared to last year, reaching ₹641 crore. This was mainly because of good performance in the stock market and continuous inflows into investment plans called Systematic Investment Plans (SIPs). The company’s revenue also grew by 39%, from ₹674 crore last year to ₹935 crore this year. Experts are positive about HDFC AMC’s stock.  

Business Segments: 

  1. Mutual Funds: 
    HDFC AMC manages different types of mutual funds for investors: 
  • Equity Funds: These invest in stocks and can give high returns ,but have more risk. 
  • Debt Funds: These invest in safer options like bonds and give steady returns with lower risk. 
  • Liquid Funds: These are short-term, low-risk investments, good for easy access to cash. 
  • Other Funds: These include funds for saving taxes, retirement plans, and ones that mix equity and debt. 
     
  1. Alternatives: 
    HDFC AMC also offers special investment services: 
  • Portfolio Management Services (PMS): This helps rich people and big companies create custom investment plans. 
  • Segregated Account Services: This allows clients to have separate accounts based on their needs. 
  • Alternative Investment Funds (AIFs): These are investments outside of stocks and bonds, like real estate or private companies. 
     
  1. Digital Services: 
    HDFC AMC uses technology to make investing easy: 
  • Chatbots and WhatsApp Support: Customers can get quick help using chatbots or WhatsApp. 
  • Online Transactions: Investors can manage their money and make transactions online. 
  • Personalized Tools: The company gives tools to help investors make custom investment plans. 
     
  1. Distribution Network: 
    HDFC AMC has a wide network to sell its products: 
  • 280 Offices: The company has offices across India to serve customers. 
  • 95,000+ Distribution Partners: These include financial advisors who help people buy and manage investments. 
     

Subsidiaries and Joint Ventures: 

  • HDFC India Small Cap Fund 
  • HDFC India Equity Savings Fund 
  • HDFC India Flexi Cap Fund 
  • HDFC India Balanced Advantage Fund 
  • HDFC India Mid-Cap Opportunities Fund 
  • HDFC India Nifty 50 Fund 

Q4 Highlights: 

  • Net Profit: HDFC AMC made a profit of ₹638.46 crore, an 18% increase from last year’s ₹541 crore. 
  • Revenue: The company earned ₹1,025.48 crore in revenue, which is a 20.47% increase from last year. 
  • Profit Margin: The net profit margin was 62.26%, showing the company is making good profits. 
  • Dividend: HDFC AMC has proposed a dividend of ₹90 per share, subject to shareholder approval at the AGM. 
  • Assets Under Management (AUM): The total AUM was ₹7.76 lakh crore, up from ₹5.75 lakh crore last year. 
  • Market Share: The company holds 11.3% of the market share. 
  • Digital Transactions: 95% of all transactions were done electronically in Q3 FY25. 

Financial Summary: 

Amount in ₹ Crore Q4 FY24 Q4 FY25 FY23 FY24 
Revenue 695.00 901.00 3,159 3,498 
Expenses 156.00 170 623 704 
EBITDA 539 731 2,536.00 2,794.00 
OPM 78% 81% 80% 80% 
Other Income 155 124 4 560 
Net Profit 541.00 639.00 1,946 2,461 
NPM 77.84 70.92 61.60 70.35 
EPS 25.35 29.88 91.15 115.11 
Anand Rathi Wealth Ltd
Anand Rathi Wealth: Market Leader in Wealth Management, Stock Drops 8% on 1:1 Bonus Issue Ex-Date

Business and Industry Overview: 

Anand Rathi Wealth Limited (ARWL) is a financial services company that helps wealthy individuals grow and manage their money. It is listed in the NSE 500 and has been in the wealth management business since 2002. The company focuses on creating, protecting, and smoothly transferring wealth. It follows a structured, data-backed, and transparent investment approach. 

ARWL provides wealth creation, risk management, tax planning, and estate planning services. It stands out for its clear and objective financial strategies. The company uses data analytics to make informed decisions and ensures transparency and integrity in all dealings. 

ARWL has a strong presence in 18+ locations across India and an international office in Dubai to serve global clients. The company’s relationship managers have an average tenure of 8.8 years, ensuring expertise and long-term client support. With a strong work culture and a client-first approach, ARWL makes wealth management simple, structured, and stress-free. 

India’s wealth management industry is growing fast. It is expected to grow 12-15% every year for the next five years. Earlier, people invested mostly in gold and real estate, but now they prefer financial investments. Many people from small cities and towns are also investing. More people are using online platforms and robo-advisors to manage their money. 

Wealthtech is making investments easy. It includes digital brokers, AI-based tools, and financial apps. The number of high-net-worth individuals (HNIs) is increasing, and they want better financial planning. Many people now choose managed investments because experts handle their money and reduce risks. 

However, not many Indians invest in financial products. Less than 5% of working people invest in mutual funds. This shows huge growth potential. The government and SEBI are making rules to help more people invest safely. Hybrid models that mix technology with personal advice are also becoming popular. 

With a strong economy, better digital access, and growing awareness, India’s wealth management industry will expand even more in the future. 

Anand Rathi Wealth Limited holds the largest market share of 40% in its segment. Feroze has created 3,701 financial products, out of which 1,584 have matured with an average return of 14.9% (IRR). About 94% of these matured products have successfully delivered the expected returns. 

Latest Stock News: 

Anand Rathi Wealth Limited announced a 1:1 bonus share issue, setting March 5, 2025, as the record date for eligibility. The 41.51 million bonus shares, each valued at ₹5, will be allotted on March 6, 2025, at no extra cost to shareholders. The proposal received approvals from shareholders, NSE, and BSE after being announced on January 13, 2025. This is the company’s first-ever bonus issue. 

Following this, the company’s stock fell 8% to ₹1,870 on the BSE on March 5, as it turned ex-date for the bonus issue. By 11:33 AM, it was down 5.5% at ₹1,919, while the BSE Sensex rose 0.83%. The stock had hit a 52-week low of ₹1,691.08 on January 28, 2025. On March 6, 2025, the stock was trading at ₹1,856.30, down 2.08%, with a day range of ₹1,846.00 to ₹1,907.95 and a 52-week high of ₹2,323.00. 

Over two trading days, the stock declined 10% after the company disclosed that its promoters sold 250,000 shares (0.6% stake) in the open market. Anand Rathi (100,000 shares) and Navratan Mal Gupta HUF (100,000 shares) sold shares on February 27, while 50,000 shares were sold on March 3, 2025. 

Anand Rathi Wealth is a leading wealth management firm serving high and ultra-high-net-worth individuals, with a presence in 17 Indian cities and a Dubai office. The management expects 20-25% growth in the coming years, supported by India’s economic expansion and increasing financialisation. 

For April-December FY25, the company reported ₹739 crore revenue (33% YoY growth) and ₹227 crore profit (34% YoY growth). Its assets under management (AUM) surged 39% YoY to ₹76,402 crore, and 1,785 new client families joined in the past year, bringing the total to 11,426 families. 

Potentials: 

Anand Rathi Wealth has strong potential for growth. It can expand by getting more clients, opening offices in new cities, and offering more financial services. The company wants to manage more money by adding new investors and increasing investments in equity mutual funds. It has a strong network across India and Dubai, with a team of experienced professionals. Employee turnover is low, which helps in keeping good relationships with clients. The company has won many awards for its work. Its goal is to be a leader in investment advisory and the first choice for clients. It aims to offer smart financial solutions that meet changing market needs. With a clear plan and strong leadership, Anand Rathi Wealth is in a good position to grow in the coming years. 

Analyst Insights: 

  • Market capitalisation: ₹ 15,436 Cr. 
  • Current Price: ₹ 1,859 
  • 52-Week High/Low: ₹ 2,323 / 1,691 
  • P/E Ratio: 54.5 
  • Dividend Yield: 0.37 % 
  • Return on Capital Employed (ROCE): 50.7 % 
  • Return on Equity (ROE): 40.3 % 

Anand Rathi Wealth has been growing well. Its profit has increased by 30.9% every year in the last five years. It has a strong return on equity (ROE) of 40.3%. This means the company uses its money well. Its return on capital employed (ROCE) is 50.7%, showing it is making good profits from its business. The company pays good dividends, giving 30.6% of its profits to shareholders.   

Right now, the stock price is ₹1,859. It is close to its lowest price of ₹1,691 in the last year. The highest price in the last year was ₹2,323. The stock is expensive because it trades at 27.8 times its book value. Its P/E ratio is 54.5, meaning investors are paying a high price compared to its earnings. The company is taking more time to manage its cash. Earlier, it took 115 days, but now it takes 201 days.   

The company is expected to do well in the coming months. But the stock price is high. People who already have the stock can hold it. New investors should wait for a lower price before buying. 

Jio Financial Services Ltd
Jio Financial Services (JFSL) Stock Update: 10.8 Lakh Equity Block Deal – Time to BUY or SELL?

Business and Industry Overview: 

Jio Financial Services Ltd. (JFSL) is a company in India that helps people with money. It was part of Reliance Industries but became its own company in August 2023. JFSL helps people get loans, save money, invest, and pay bills using the JioFinance app. 

The company started in 1999 with the name Reliance Strategic Investments Private Limited. In 2002, the name changed to Reliance Strategic Investments Limited. In July 2023, after leaving Reliance Industries, it became Jio Financial Services Ltd. It is listed on the stock market and follows the rules of the Reserve Bank of India. 

JFSL is an NBFC (Non-Banking Financial Company). This means it does not take deposits but still gives financial services. JFSL uses technology to make banking and money matters simple for everyone in India. It is a Core Investment Company (CIC). It has a joint venture with the State Bank of India called Jio Payments Bank Limited. It runs other companies like Jio Finance Ltd., Jio Insurance Broking Ltd., Jio Payment Solutions Ltd., Jio Leasing Services Ltd., Jio Finance Platform and Service Ltd., and Jio Payments Bank Ltd. JFSL also works with BlackRock, the world’s biggest company that helps people invest and manage money in India. 

Jio Financial Services Ltd is an Indian financial services company based in Mumbai. Originally a subsidiary of Reliance Industries, it was demerged as an independent entity and listed on the Indian stock exchanges in August 2023.  Jio Financial Services Ltd. (JFSL) is a new-age institution providing full-stack financial services to customers, enabling them to borrow, transact, save, and invest seamlessly. Its digital-first model aims to ensure the holistic financial well-being of Indian citizens. 

Non-Banking Financial Companies (NBFCs) have witnessed significant growth in India’s financial ecosystem, playing a crucial role in credit expansion and financial inclusion. Their market share in credit distribution increased from 12% in 2008 to 18% in 2019, before slightly declining to 16% in 2022 due to increased competition from banks. JFSL is a leader in India’s microfinance landscape.  

Latest Stock News: 

Jio Financial Services Ltd. (JFSL) is a company in India that helps people with money. Its stock price has been falling. In six months, it dropped 31%, and in one month, it fell 12%. On Friday, the stock hit its lowest price of ₹212.50 in the last year. A big deal of 10.8 lakh shares happened, but no details were given. This happened before JFSL joins the Nifty 50 index on March 28. Even with falling stock prices, JFSL is bringing new technology. It is using AI to help people with money decisions and blockchain to make transactions safe and clear. JFSL wants to help both city and village people, including 190 million adults without bank accounts. It uses Reliance Jio’s network to make digital banking easy. Experts say India’s fintech market will grow 15-20% every year. This growth will help JFSL succeed in making financial services simple and available to everyone. 

Potentials: 

JFSL will start offering life and general insurance. It plans to get approval from the Insurance Regulatory and Development Authority of India (IRDAI) and will invest ₹1,000 crore in each type of insurance. It has joined with BlackRock to start a mutual fund business, and the Securities and Exchange Board of India (SEBI) has given early approval. JFSL is talking with BlackRock to create a private credit business, which will give loans to big companies and small startups. It may also partner with Germany’s Allianz SE to start insurance businesses in India. JFSL wants to use AI and blockchain to make financial services easy, safe, and helpful for everyone, including people in villages. India’s financial market is growing 15-20% every year, and JFSL plans to use this growth to expand its services. 

JFSL will start offering life and general insurance. It plans to get approval from the Insurance Regulatory and Development Authority of India (IRDAI) and will invest ₹1,000 crore in each type of insurance. It has joined with BlackRock to start a mutual fund business, and the Securities and Exchange Board of India (SEBI) has given early approval. JFSL is talking with BlackRock to create a private credit business, which will give loans to big companies and small startups. It may also partner with Germany’s Allianz SE to start insurance businesses in India. JFSL wants to use AI and blockchain to make financial services easy, safe, and helpful for everyone, including people in villages. India’s financial market is growing 15-20% every year, and JFSL plans to use this growth to expand its services. 

Analyst Insights: 

  • Market capitalisation: ₹ 1,31,901 Cr. 
  • Current Price: ₹ 208 
  • 52-Week High/Low ₹ 395 / 207 
  • P/E Ratio: 82.1 
  • Dividend Yield: 0.00 % 
  • Return on Capital Employed (ROCE): 1.55 % 
  • Return on Equity (ROE): 1.27 % 

Jio Financial Services is almost debt-free and has improved its working capital needs from 1,832 days to just 20.6 days, showing better efficiency. The stock is trading at 0.96 times its book value, meaning it is close to its actual worth. However, its P/E ratio of 82.1 is very high, making it expensive compared to earnings. The company is making profits but does not pay dividends, which may not be good for investors looking for regular income. The ROCE (1.55%) and ROE (1.27%) are low, showing weak returns. The stock has fallen a lot from its 52-week high of ₹395 and is now close to its low of ₹207. Because of these reasons, it is not a good time to buy, but also not the right time to sell. Investors should hold the stock and wait for better earnings or a lower price before deciding. 

Mutual Funds-ETFs at a Premium
Mutual Funds Sound Alarm on Buying International ETFs at a Premium

Fund houses and wealth managers are raising concerns about the rising trend of investors purchasing international exchange-traded funds (ETFs) trading at significant premiums to their net asset value (NAV). The caution comes amidst a surge in interest among Indian investors seeking exposure to global markets, particularly the U.S., following Donald Trump’s recent victory in the U.S. Presidential election. 

International ETFs, designed to provide investors with access to foreign markets, are seeing a mismatch in demand and supply due to regulatory restrictions on the creation of new units. This imbalance has caused many ETFs, especially those tracking U.S. markets, to trade at premiums well above their NAVs. Experts warn that such buying behaviour could lead to disappointing returns when the premium diminishes, and the ETF’s market price aligns with its underlying NAV.

What Are ETFs, and Why the Premium?

ETFs are passively managed investment instruments that track indices, commodities, or baskets of securities, offering low expense ratios compared to mutual funds. They are traded on exchanges like stocks, allowing investors to enter or exit positions throughout the trading day. Fund houses typically appoint market makers to provide liquidity, and large investors can approach fund houses for unit creation or redemption. 

However, a demand-supply mismatch has emerged due to regulatory limitations on fresh unit creation in international ETFs. This has led to existing units being in short supply, driving up their prices on exchanges relative to their NAV.

Industry Experts Weigh In

Prateek Bhardwaj (hypothetical name), an experienced wealth manager, explained the risk: 
“Investors need to understand that paying a premium over NAV is essentially overpaying for the asset’s intrinsic value. When the market price converges with the NAV, it could result in losses or reduced returns. This is particularly risky for investors eyeing short-term gains.” 

Another mutual fund executive noted, “The current premiums are a result of pent-up demand for global diversification, especially in the U.S. market, where optimism has risen post-election. However, without new units being created to meet this demand, the price distortion will persist.” 

The Risks of Buying at a Premium 

Purchasing ETFs at a premium means that investors are essentially paying more for the same value of underlying assets. Over time, as supply stabilizes or investor interest wanes, the ETF’s market price may decline to align with the NAV. This convergence can erode investor returns, particularly for those who bought during periods of inflated demand. 

What Should Investors Do? 

Wealth managers and fund houses recommend a cautious approach: 

  1. Monitor NAV and Market Price: Investors should ensure that they are not overpaying for ETFs by comparing the market price with the NAV before making a purchase. 
  2. Evaluate Long-Term Goals: International ETFs are best suited for long-term diversification. Short-term investments, especially during periods of price premiums, could result in suboptimal returns. 
  3. Be Patient: Experts suggest waiting for market corrections or fresh unit creations to stabilize prices, reducing the risk of buying at inflated levels. 
  4. Seek Professional Advice: Investors uncertain about their strategies should consult financial advisors to assess the suitability of international ETFs for their portfolios. 

        Why the Renewed Interest in U.S. ETFs? 

        The U.S. market has attracted renewed attention from Indian investors due to its robust economic performance, diversification benefits, and perceived growth potential following the recent political changes. ETFs tracking major U.S. indices, such as the S&P 500 or Nasdaq-100, are seen as effective vehicles for accessing these opportunities. 

        However, experts emphasize that such investments require due diligence. While the demand for global diversification is a positive trend, overpaying for these instruments during times of supply constraints could undermine the very benefits they offer. 

        Conclusion 

        International ETFs offer a valuable opportunity for Indian investors to diversify their portfolios and gain exposure to global markets. However, the current scenario of ETFs trading at a premium to NAV calls for restraint. Investors must prioritize research and avoid impulsive decisions driven by market trends. By focusing on long-term strategies and understanding the dynamics of ETF pricing, investors can maximize their returns while minimizing unnecessary risks.