India will always have some premium; in October, when FIIs sold $11 bn, HDFC AMC saw record SIP flows: Navneet Munot
Navneet Munot, MD & CEO, HDFC AMC, says in the journey of Sensex from 1,000 to 75,000, we have seen many corrections and a bit of volatility is healthy for the market. Foreigners have lightened their positions and maybe as the results season kick in, maybe after a quarter or so, and people get more faith on the earnings for, let us say, FY26, FY27, FY28, coming back on track. Munot is pretty sure that investors would come back and India will always have some premium. One cannot compare other countries with a lower capital efficiency. India’s capital efficiency has been better, growth prospects have been better and the governance standards are better, and one has to pay some premium for that.
What is the total AMC size right now, the AUM?
Navneet Munot: It is over Rs 7.5 lakh crore. We have come a long way…
It is impossible to fathom that this is the size. When I started tracking HDFC AMC, it was not even Rs 40,000 crores in terms of AUM.
Navneet Munot: When my predecessor Mr Milind and then our chairman, Mr Deepak Parekh, and all of them set up the AMC, it was the 36th AMC in India. From there, it has been a long journey. It is a matter of great pride for everyone who has been associated with this outstanding organisation for years.
So, Rs 7.5 lakh crore of AUM in terms of decision-making – what to buy, what to sell, what not to buy is more important in terms of asset allocation. Navneet Munot: You rightly use that word what not to buy. Over the years, what has helped our investment team is reducing the error of
