Why L&T Mutual Fund's sale fetched low valuation

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In the same period, Axis Mutual added ₹2.28 lakh crore, HDFC (₹3.38 lakh crore), ICICI Prudential (₹3.66 lakh crore), SBI (₹5.25 lakh crore) and Mirae expanded its AUM by ₹89,500 crore, to name a few. Since 2013, AUM addition in all these companies exceeded what L&T Mutual could garner since its inception.

Similarly retail folios, the most sought after benchmark along with AUM for gauging a fund house’s reach and distribution, was also not very favourable for L&T Mutual. Between September 2012 and September 2021, total retail customer folios in the industry grew from 4.35 crore to 10.11 crore, a rise of 5.76 crore folios. In the same period, L&T Mutual’s retail folios grew from around 7 lakh to approx. 25 lakh, an addition of 18 lakh, or 3.1% of the total rise of retail folios in the Industry.