Latest news with #ManishKothari
Time of India
12-05-2025
- Business
- Time of India
Fintech AMCs seize a bridgehead in asset management market
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads New generation fintech asset management companies (AMCs) have grown their assets under management (AUM) in the last one year swimming against the tide in a sector dominated by banks and traditional wealth management the broader slowdown in the mutual fund industry did take out the wind from the sails in the last quarter for the likes of Groww Mutual Fund Zerodha Fund House and Navi Mutual Fund , these fintechs grew between 10 to 50% every MF doubled its AUM in the last one year closing March 2025 with Rs 1,547 crore in AUM. While it reported a flat growth in the March quarter, between September and December quarters its AUM grew 46%, data Zerodha grew its assets base almost nine times between March 2024 and 2025, reaching Rs 4,854 crore. Between September and December quarters, it grew at 46% and over the next quarter it grew only 26%.For Navi MF, AUM grew at 1.7% between December and March from almost 6% between October and December. Navi MF is at Rs 7,120 crore up 44% from just shy of Rs 5,000 crore a year to Association of Mutual Funds of India (AMFI) data, equity inflow into mutual funds in March stood at Rs 25,082 crore, an 11-month low. Between March 2024 and 2026, the overall assets in the mutual fund industry jumped 21.2% to Rs 66 lakh crore from around Rs 55 lakh crore.'Since the time of our launch in Dec 2023, we have seen strong AUM growth hitting Rs.6,500 crore across 7 lakh investors," said Vishal Jain, chief executive officer, Zerodha Fund HouseOther than Zerodha Fund House, which got a fresh licence, both Navi and Groww entered this space by acquiring two existing mutual fund companies. Navi acquired Essel Mutual Fund in February 2021, while Groww closed the acquisition of IndiaBulls AMC in May 2023. Recently Angel One and CapitalMind also bagged licences to start the mutual fund Amfi report from February this year said by 2047 India will have around 200 AMCs with AUM set to cross Rs 350 lakh crore. For fintechs, which were mostly focusing on stock broking and mutual fund distribution, the entry into the AMC business is an attempt to grab a share of this expanding wealth pie.'Investors look for trust and that gets built by large AUMs or strong distribution. Fintechs will need to build that trust which will take time, or they will have to innovate on distribution and products,' said Manish Kothari, cofounder, ZFunds, a mutual fund distribution players like Groww, Zerodha and Angel One, leaders in the stock broking sector, the AMC licence is the trump card for diversification in the financial services business that can bring in more stability to their overall revenues. And going by the overall slowdown in the equity markets, their stock broking businesses have also seen a certain degree of stagnation in their active user count reported by reported 12.9 million active users as of March end, compared to 12.5 million in October 2024, reflecting the churn and the slow addition of new investors. Zerodha's 8 million active traders in March end has also remained somewhat stable compared to 7.8million in October 2024.'There has been a slowdown in the overall market, which is reflected in the larger mutual funds industry as well, so for these fintechs, a lot is riding on their newly formed AMC business for stability and future business growth,' said another founder of a mutual fund distribution startup on the condition of the AMC business is a long-term game plan for these startups, industry insiders agree that creating a dent in this market would depend on instance, Bajaj Finserv , which got the AMC licence in 2023, has created an AUM of Rs 20,133 crore in March 2025 from Rs 8,800 crore in March 2024.'Groww is trying to build an offline presence of their mutual fund business. They have set up offices in certain cities already and the plan is to set up more,' said the founder quoted above. Despite being a tech-first stock broker for the AMC business, the Peak XV Partners-backed startup is opening up offline distribution did not respond to queries.'There are 44 AMCs and everyone has a Nifty product, a flexicap fund, a large cap fund, so these startups will need to differentiate from the traditional players with very innovative products, retail investors still use AUM size as a major filter to choose from,' Kothari of ZFunds broking, where customers are using the platform only through a transactional relationship, in case of the engagement with the AMC business, it is a long term trust based investment play.
India Today
07-05-2025
- Business
- India Today
ULIPs, mutual funds or stocks: What's the best for long-term wealth creation?
When it comes to building wealth over the long term, people often come across three popular investment options: ULIPs (Unit Linked Insurance Plans), mutual funds, and stocks. But which one is truly the best for creating wealth over time? Let's break it down in simple terms. UNDERSTANDING ULIPs: A MIX OF INSURANCE AND INVESTMENT ULIPs are a mix of insurance and investment, meaning a part of your premium goes towards life insurance, while the rest is invested in various funds, like equity or debt. The key advantage of ULIPs is the insurance coverage that comes along with the investment. However, they have charges like mortality costs, higher fund management fees, and fund allocation fees. According Manish Kothari, CEO & Co-Founder, ZFunds, 'For ULIPs, the associated costs like mortality cost, higher fund management charges, higher fund allocation charges eat into investor savings. Also, ULIPs come with a minimum 5-year lock-in, making liquidity a challenge.' STRICT TERMS AND LIMITED FLEXIBILITY WITH ULIPS Also, ULIPs have stricter terms. 'Once you go in for a ULIP plan, you need to keep paying premiums without fail for three years or more before you can even take a withdrawal,' said Swapnil Aggarwal, Director, VSRK Capital. He added, 'ULIPs do not have the option to switch funds or AMC as frequently as mutual funds, either. You are well and truly stuck once you opt for a ULIP plan, and that is quite limiting during times of uncertainty in the markets.' STOCKS: HIGH POTENTIAL, BUT MORE RISK On the other hand, stocks are shares of companies listed on the stock market. Investing in stocks means you directly own a part of a company. Stocks can offer some of the highest returns over time, especially if you invest in growing companies, but they also come with more risk. Stock prices can be volatile, and short-term market fluctuations can lead to losses. Manish Kothari stated, 'For stocks, it is essential to plan the entry and exit prices. Making the right calls demands a combination of skill, research and time that the common investors might not have.' MUTUAL FUNDS: THE BALANCED OPTION FOR WEALTH CREATION This is where mutual funds have an edge. With mutual funds, you don't have to worry about market timing, and professional management helps reduce the chances of making costly mistakes. Swapnil Aggarwal, Director at VSRK Capital, agrees with this view, highlighting that mutual funds are superior to ULIPs due to their flexibility and liquidity. He mentioned, 'For long-term wealth creation, mutual funds are comparatively superior to ULIPS because of their flexibility and liquidity. While both ULIPs and mutual funds have similar overall returns, mutual funds give the investor greater freedom.' THE FLEXIBILITY OF MUTUAL FUNDS Unlike ULIPs, mutual funds allow you to invest or redeem your money at any time without being tied down for a certain period. 'With mutual funds, you have the option to invest or redeem your money at any time without being tied down for a certain period. You also have the choice of switching between the different funds or Asset Management Companies (AMCs) depending on your objectives or variation in the market,' he added. Manish Kothari, the CEO and Co-Founder of ZFunds, also believes that equity mutual funds are an ideal choice for long-term wealth creation. 'Equity mutual funds are best for long-term wealth creation as they help investors build a diversified portfolio across market caps and industries, that is managed by a professional fund manager. Having a diversified portfolio is crucial to mitigate the market risks and volatility,' said Kothari. COST-EFFECTIVENESS AND ACCESSIBILITY OF MUTUAL FUNDS Additionally, they are affordable, with fund management fees regulated and reduced as the fund size grows. You can start investing with as little as Rs 10, making them accessible to everyone, mentioned Manish Kothari. 'The open-ended design of mutual funds also enables additional investments and provides liquidity to investors. Thus, making them a more flexible option,' he added. WHICH IS BEST FOR LONG-TERM WEALTH CREATION? It really depends on your goals, risk tolerance, and investment knowledge. If you want a combination of insurance and investment, a ULIP might suit you, but if your focus is purely on wealth creation, mutual funds and stocks are usually the better options. Stocks might offer the highest potential returns, but they come with more risk and require more attention. Mutual funds provide a good middle ground with less risk and professional management. Ultimately, the best investment for you will depend on your personal financial goals and how comfortable you are with risk. Diversifying your investments across these options can also help you balance risk and return, ensuring that you're on the right path to building wealth over the long term.
Time of India
23-04-2025
- Business
- Time of India
Nifty Bank surges 10% in 1 month to hit 52-week high level. Time to shift focus towards banking sector?
The Nifty Bank index has surged nearly 10% in a month, reaching a 52-week high, prompting experts to suggest considering Nifty Bank index funds and ETFs for diversified exposure to both private and public sector banks. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads With Nifty Bank surging nearly 10% in one month to hit a 52-week high level of 55,961 on Tuesday, market experts recommends that though Nifty Bank index funds and ETFs are an easy way to invest in some of India's biggest banks, both private and public but as they focus only on the banking sector , they can be affected by things like new regulations or changes in the economy.'Nifty Bank index funds and ETFs are an easy way to invest in some of India's biggest banks, both private and public. They give you a mix of different banking stocks, which helps spread out risk within the sector. These funds are also low-cost, easy to buy and sell, and more transparent than many other investment options,' said Om Ghawalkar, Market Analyst, because they focus only on the banking sector, they can be affected by things like new regulations or changes in the economy. They're a good fit for investors who are okay with some risk and plan to invest for the medium to long term,' he further expert mentions that these funds are sectoral funds and are suitable for aggressive investors who are comfortable with the risk associated with higher returns.'Nifty bank benchmarked funds are sectoral funds and are suitable for aggressive portfolios where clients are comfortable with the commensurate risks associated with higher returns,' said Manish Kothari, Co-founder, the last three months, the Nifty Bank index has gone up by 14.21% and in the last six months it has gained 8.56%. The index surged nearly 16.11% in the last one year. In the last three and five years, it gained 54.38% and 182.45% attributes this rally to multiple positive factors such as strong Q4 earnings from major players, interest rate cuts by the RBI, controlled inflation, and improved net interest margins. 'Additionally, lower slippages and stable asset quality are being viewed favorably by investors. The sector also received a boost from the renewed interest of foreign institutional investors (FIIs) in Indian equities,' he inflation at five-year low, government expenditure as per budget estimates, and bank NPAs at cyclical low are some positive factors according to Kothari which have contributed to this rally. 'These indicators have set the stage for further interest rate cuts. Bank stocks have rallied in anticipation of the ensuing low interest rate environment and an uptick in consumer demand for credit,' he further added. Nifty Private Bank and Nifty PSU Bank indices have rallied upto 10.26% and 9.84% respectively in the last one month. In the last three months, these indices have gone up by 16.08% and 7.85% are around 21 funds benchmarked against Nifty Bank - TRI index. Six funds are benchmarked against Nifty PSU Bank - TRI and seven funds are benchmarked against Nifty Private Bank - TRI, against which mutual funds are benchmarked. TRI is the Total Return the last one month, these funds have offered upto 9.86% return with SBI Nifty Private Bank ETF being the topper. Kotak Nifty PSU Bank ETF gave the lowest return of around 8.96% in the last one recommending an allocation of upto 5% in the sectoral funds like these, Kothari mentions that sectoral funds are part of the investor's tactical allocation and they should have a defined exit strategy when they invest in sectoral funds. 'Contingent on regulatory developments and sectoral growth, clients with aggressive portfolios can allocate for the next 18/24 months in Nifty Bank,' he advises not to allocate more than 10%–20% of your portfolio to a single sector and he further cautions that though the banking sector currently appears attractive to many investors, but it's important to keep in mind its cyclical nature as any changes in RBI policies or broader macroeconomic conditions could significantly impact the sector's performance.'A significant portion of this gain, around 12%, came after the announcement of U.S. tariffs by President Trump. The index has also shown strength with multiple gap-up openings in recent trading sessions. Additionally, the RBI's recent rate cut has further boosted sentiment in the banking sector, making borrowing cheaper and supporting credit growth,' he should always invest based on their risk appetite, investment horizon, and goals.: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)If you have any mutual fund queries, message on ET Mutual Funds on Facebook/Twitter. We will get it answered by our panel of experts. Do share your questions on ETMFqueries@ along with your age, risk profile, and Twitter handle.
Time of India
22-04-2025
- Business
- Time of India
Immersive workshop sparks creativity in aspiring journalists in Bengaluru
Bengaluru: The Times NIE Summer Training Programme at St Joseph's Boys' High School concluded on a high note Tuesday, with 130 students from various schools receiving certificates and prizes after a two-week immersive experience. Students showcased their key takeaways through creative placards. Chief guest Manish Kothari, president of ISBR Business School, shared anecdotes while stressing the value of communication, seizing opportunities, and chasing dreams. Kavitha Mohammad, head of counselling at Zinc Services, spoke on career readiness and the role of Artificial Intelligence in the future, presenting insights from an ADA Psychometric Test taken by students. Adhesh Chaddha, head of sales at Zinc Services, also addressed the gathering. The two-week programme offered students a deep dive into the world of journalism, introducing them to reporting, editing, feature writing, and page design. Through hands-on workshops, participants explored different styles of reporting and learned how to craft effective news stories. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Your Finger Shape Says a Lot About Your Personality, Read Now Tips and Tricks Undo Working in teams, students turned their interests into articles and designed pages, proudly presenting them to peers. They also gained exposure to the business side of newspapers, including marketing, circulation, and advertising. Their sharp questions reflected a genuine curiosity about the inner workings of the media industry. A key highlight on Day 1 was an inspiring session by Siddharth Kothari, a former NIE summer trainee, who shared how the workshop shaped his journey and perspective. Throughout the two weeks, students experienced a range of enriching sessions that extended well beyond the classroom. One standout session by Dr Sridhar B, founder of EdQueries LLP, focused on how educational aids can support special needs learning. He introduced a unique e-learning platform that uses gamified tools, like interactive games, puzzles, and drag-and-drop activities, to make education more inclusive and engaging for learners of all ages. In an age where school projects are the norm, a session by Canon's regional product trainer, Mathias Lobo, offered students an engaging and creative experience. They explored various ways to use printers and enjoyed hands-on activities like printing calendars and postcards. The excitement grew with a dynamic photography workshop led by Canon's Mathew Mohan Das, who shared valuable tips on lighting, composition, balance, and storytelling through images. His showcase of wildlife photography sparked vibrant discussions on creativity and technique. Ravikumar Malladad, COO of Sprouts Edu Tours, opened students' minds to educational travel through an engaging session that covered domestic and international trips, treks, workshops, and community service programmes — topped off with a lively travel quiz that had everyone buzzing. An interactive session on financial literacy by Sumit Kumar, senior manager at Canara Bank's Centre of Excellence, Bagalur, gave students a valuable introduction to the world of banking, savings, and investments. They learned the basics of money management while being made aware of rising scams, ranging from phishing emails to fake investment schemes and digital wallet fraud. A visit to the Times Group's state-of-the-art printing press and the Radio Mirchi station added a new dimension to their learning. Tata Soulfull, ITC B Natural, and Cakewala provided snacks and refreshments for all the participants.
