McKinsey: Indian Asset Management Biz To Grow 3-Fold To $440 Billion By 2012

nishantgandhi · 11th March 2008, 11:41

Asset management business will be a booming biz, if this study by McKinsey & Co is anything to go by. The global management consultant said that the total assets under management (AUM) in India would grow by 33 per cent every year to reach as much as $440 billion by 2012. These funds will be managed by mutual funds and portfolio management services companies.

It further said that the retail segment would grow by between 36 per cent and 42 per cent annually to $160 billion to $200 billion by 2012, while institutional investments would grow by 25 per cent to 33 per cent annually to $160 billion. Reuters quotes Naveen Tahilyani, a partner at McKinsey, as saying that “real estate mutual funds and dedicated infrastructure funds have the ability to significantly add to the industry growth”.

India currently has 33 fund houses, which managed $141.12 billion at the end of February, according to the Association of Mutual Funds in India.
Recently Stadard Chartered Bank Plc sold its mutual fund business to IDFC for $204 million, and it commanded a valuation of 5.6 per cent of the AUM

Source: India fund assets to reach $440 bln by 2012 - McKinsey | Reuters

theMAG · 11th March 2008, 12:03

That'll rival India's forex reserves. Amazing.

phamilyman · 11th March 2008, 12:48

Good PR copy! Why not list the page long assumptions that'd be a sine-qua-non for the same as well?

11th March 2008, 11:41	#1
nishantgandhi Senior - BHPian Join Date: Jan 2008 Location: Mumbai Posts: 1,220 Thanked: 156 Times	McKinsey: Indian Asset Management Biz To Grow 3-Fold To $440 Billion By 2012 Asset management business will be a booming biz, if this study by McKinsey & Co is anything to go by. The global management consultant said that the total assets under management (AUM) in India would grow by 33 per cent every year to reach as much as $440 billion by 2012. These funds will be managed by mutual funds and portfolio management services companies. It further said that the retail segment would grow by between 36 per cent and 42 per cent annually to $160 billion to $200 billion by 2012, while institutional investments would grow by 25 per cent to 33 per cent annually to $160 billion. Reuters quotes Naveen Tahilyani, a partner at McKinsey, as saying that “real estate mutual funds and dedicated infrastructure funds have the ability to significantly add to the industry growth”. India currently has 33 fund houses, which managed $141.12 billion at the end of February, according to the Association of Mutual Funds in India. Recently Stadard Chartered Bank Plc sold its mutual fund business to IDFC for $204 million, and it commanded a valuation of 5.6 per cent of the AUM Source: India fund assets to reach $440 bln by 2012 - McKinsey \| Reuters
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11th March 2008, 12:03	#2
theMAG Distinguished - BHPian Join Date: May 2006 Location: Avon, CT Posts: 7,217 Thanked: 1,807 Times View My Garage	That'll rival India's forex reserves. Amazing.
	() Thanks

11th March 2008, 12:48	#3
phamilyman Senior - BHPian Join Date: Jul 2007 Location: Gurgaon Posts: 5,968 Thanked: 4,642 Times	Good PR copy! Why not list the page long assumptions that'd be a sine-qua-non for the same as well?
	() Thanks