SBI MF Stands Strong Against Jioblackrock's Aggressive Market Entry
SBI Mutual Fund's deputy MD, DP Singh, addresses Jioblackrock's competitive entry into asset management, emphasizing SBI's grasp of investor needs and competitive pricing. Though skeptical about Jio's digital strategies, Singh sees market expansion potential. Meanwhile, SBI MF launches a specialized investment fund targeting retirees and long-term investors.
- Country:
- India
Amidst the buzz of Jioblackrock's foray into the competitive asset management sector, SBI Mutual Fund expresses confidence in its robust grasp of investor needs and competitive pricing structures. Speaking to reporters, DP Singh, the deputy managing director and joint chief executive, underscored the importance of understanding investor behavior, suggesting that Jioblackrock might need time to match such insights.
While acknowledging Jio's significant asset collection of Rs 18,000 crore from its inaugural fund, Singh highlighted that the current assets under management are considerably lower. In response to Jio's aggressive 0.5 per cent expense ratio strategy for their maiden flexi cap fund, Singh asserted that SBI MF's offerings either match or surpass such pricing, maintaining a competitive edge.
Furthermore, Singh welcomed the entry of digital strategies in mutual funds but remained skeptical of their immediate success. He emphasized the industry's collective goal to expand market penetration, noting that mutual fund investments account for only 30 per cent of bank deposits in India. Concurrently, SBI MF is launching 'Magnum SIF,' targeting retirees with a long-short hybrid fund strategy, aiming to attract over 15,000 investors.
(With inputs from agencies.)
Google News