Innholdsfortegnelse for 13 April 2025 i Business Today

A remarkable feature of India’s investment landscape since 2014 has been the rapid growth of the mutual fund industry. This surge has been driven by a fundamental shift in household investment preferences and the increasing financialisation of savings across the country. From the days of a single product offered by one company in the 1960s, to an industry now served by dozens of asset management firms offering over 2,500 schemes to more than 232 million account holders, the mutual fund sector has seen an unprecedented boom. A major driver of this growth has been the growing preference of retail investors for Systematic Investment Plans (SIPs). According to Reserve Bank of India data, the share of mutual funds in the financial assets of Indian households has risen significantly—from just 0.8% in…

SBI MUTUAL FUND, the asset management arm of State Bank of India, manages a portfolio of more than ₹11 lakh crore. DP Singh, Deputy MD & Joint CEO, says foreign institutional investors (FIIs)—which have sold shares worth ₹1.50 lakh crore approximately this financial year alone—will return once global uncertainties surrounding the new US administration subside. He also talks about why people have confidence in the Indian markets. Edited excerpts: Q: When markets are volatile, what are the dynamics of the mutual fund industry? What is your view on FII selling? Markets are volatile by nature, so we are always prepared for that as a fund house. This downturn, which happened in the last three-four months, has indicated that our fall has been generally much less than the market fall. I…

UTI AMC, ONE of the leading asset management companies of India, manages almost ₹3.5 lakh crore in equities and bonds. The company’s CIO, Vetri Subramaniam, talks about how to dodge the choppiness in the market. He talks about comfortable pockets in the market and macroeconomic conditions vis-àvis GDP growth and interest rates, in an interview with Business Today. Edited excerpts: Indian equities corrected sharply over the past six months. You’ve seen markets for at least 30-33 years. How do you read them now? There is certainly a risk associated with investing in equities, which comes from short-term volatility. But I would submit to you that the greatest risk that will prevent investors from achieving their long-term financial goals is the absence of investment in equity. In fact, one of the…

RAJEEV THAKKAR, CHIEF Investment Officer and Director at Parag Parikh Financial Advisory Services (PPFAS), helms the popular equity scheme, Parag Parikh FlexiCap Fund. This scheme has compounded at 19% each year in the last 11 years. Thakkar speaks to Business Today about his investing philosophy and how his flagship scheme is navigating the treacherous volatility in stock prices. Edited excerpts: Dalal Street has witnessed a sharp correction in valuations. Given the relative stability in the markets now, where are you allocating fresh funds? As for investment opportunities, the current market environment is much more exciting compared to six months ago, when finding good opportunities was extremely challenging. However, this isn’t like September-October 2008 or March 2020, when one had to liquidate bank accounts to invest heavily in equities. I don’t anticipate…

SUSHIL SURI | CHAIRMAN & MD, MOREPEN LABORATORIES LTD Morepen Laboratories is engaged in the business of developing and marketing active pharmaceutical ingredients What was the problem you were grappling with? In today’s digital world, we have endless ways to communicate, yet real connections are fading. Customers feel distant, teams get caught up in noise, and businesses often stop at collecting data without acting on the insights. The challenge was clear-how do we break the screen barrier, enhance customer engagement, and drive real business growth. Whom did you approach for advice and why? I turned to Dr. Ram Charan. He has a rare ability to cut through complexity and get to the crux of a problem. His insights on operational excellence, customer connect, and strategic execution have been game-changers for…

WHILE INDIA’S RETAIL MARKET holds immense potential, success here has never been quick. IKEA India, now in its eleventh year, knows this well. The Swedish furniture giant isn’t on an expansion spree. Instead, it is taking a measured approach by meticulously planning each step, investing heavily, and focusing on long-term gains rather than quick wins. With its latest foray into North India, IKEA is doubling down on a strategy that prioritises sustainability over speed. IKEA India entered the crucial North India market through its online ordering and delivery system but a physical store in the region is still a year away. The local subsidiary of the Swedish retail giant IKEA Group started its physical retail journey in 2018 with the first India store in Hyderabad. Since then, it launched IKEA stores…

THE RECENT CORRECTIONin the Indian markets has led many mutual fund investors to take cover in safer, fixed-income instruments as they look to tide over the storm. This comes even as the sharp ups and downs in equity and debt markets have spooked foreign portfolio investors (FPIs), who have shifted between risk-on and risk-off sentiment. Debt funds, which primarily invest in fixed-income securities like government and corporate bonds, offer investors stable returns with lower risk than investments in equity-oriented funds. Though not as popular as equity-oriented funds, they have seen a huge shift in flows in the financial year 2024-25 (FY25), compared with FY24. Data from the Association of Mutual Funds in India (AMFI) shows that while debt funds saw net outflows of ₹23,097 crore in FY24, the trend has reversed…

NAVNEET MUNOT, Managing Director and CEO of HDFC Asset Management Company, oversees one of India’s largest mutual funds that manages equities worth ₹5 lakh crore. In addition to fund-of-fund schemes and exchange-traded funds, it offers a comprehensive range of mutual fund schemes across equity, debt, and hybrid categories. Munot speaks to BT about navigating the downturn in India’s benchmark indices, driven by selling from foreign institutional investors (FPIs). Edited excerpts: There seems to be a lack of vibrancy (in the market). What are your thoughts? It depends on one’s perspective. If we look at the last six months since the peak in September 2024, there has undoubtedly been a decline. However, if we consider a broader horizon—say, three or five years—investors have still seen significant gains. Five years ago, the Nifty…

SWARUP ANAND MOHANTY, Vice Chairman & CEO of Mirae Asset Investment Managers, oversees assets under management worth ₹1.9 lakh crore (as of February 2025). Of this, 70% is allocated to equities and 11% to debt. Amid market volatility, Mohanty advises investors to avoid rash decisions. Edited excerpts: How worried are you looking at the recent market fall? In the market, there are two types of people—buyers and sellers. Buyers prefer a downturn, while sellers want prices to rise. As a buyer, I see this as an opportunity. Prices are reasonable, valuations look attractive, and for someone like me, who earns a salary and invests regularly, these are favourable times. Are we nearing the bottom or are we in for long-term pain? Concerns about market froth and high valuations were already being…

DHIRENDRA KUMAR, CEO of Value Research, an online website tracking mutual funds, advocates a patient approach to creating wealth that focuses on the process rather than the outcome. Kumar spoke to BT’s Shailendra Bhatnagar about why staying committed and not letting short-term market movements dictate investment decisions, is the key to long-term wealth management. Edited excerpts: Are we currently in a bear market? Market fluctuations are inherent to investing. Most investors tend to chase recent performance, which leads to disappointment, especially for newer participants. Small-cap funds, for example, have declined by 20% over the past three months but are only down 3% over the past year. If you invested three years ago, you’d still be sitting on an annualised return of 16%. Investing in equities is not like a fixed…

UTTER THE WORD‘California’ and it conjures up images of Universal Studios, Hollywood and glitzy Los Angeles, but it is much more than that. Southern California, particularly, offers unique experiences—from beaches to deserts, from expansive landscapes to theme parks. Here’s a guide to discovering southern California. SANTA MONICA PIER Jutting out into the Pacific Ocean, the Santa Monica Pier symbolises the heart of the city. No visit is complete without a stroll on this historical pier. You can take a spin on the Ferris wheel or the roller-coaster, pick up souvenirs, grab a bite, take pictures of the ocean beyond, or go on a historical walking tour. After all, the pier has been around since 1909. Learn all about its checkered past and even its association with the popular comic strip character…

INDIA’S INSURANCE MARKET is at an inflection point. Germany based Allianz ended its long standing partnership, which began in 2001, with Bajaj Life and Bajaj General Insurance companies, selling its 26% stake to Bajaj Finserv for ₹24,180 crore (EUR 2.6 billion). Shortly after this development, Prudential plc, a UK FTSE 100-listed company, announced its plans to set up a joint venture with Vama Sundari Investments (Delhi) Private Limited, a promoter company of the HCL Group, to establish a standalone Indian health insurance business. Insurance penetration in India is at just 3.7%, well below the global average. With 100% foreign direct investments (FDI) now allowed, is the market ripe for global insurers? “We will have to wait and see. Insurance is a long-term business and those with the willingness and capacity…

MATTHIAS REBELLIUS, CEO, Smart Infrastructure, and Member of the Managing Board of German conglomerate Siemens AG, tells Business Today why Donald Trump’s stance on climate change is not yet a threat and why he is optimistic about India. Edited excerpts: What is your assessment of the India market and Siemen’s operations over the decades? I’m very optimistic on India’s future as we always have been. But I think in the last two, three years the government is acting to really transform sectors. Our investments in India since 2015 is about ₹9,000 crore, out of which more than ₹1,000 crore was in 2023. A lot of it was in smart infrastructure; also in our factories with a growing demand and increasing localisation. What are the growth areas? There is a very…

IN 1848, JOHN Sutter was building a water-powered sawmill in California when he saw flakes of gold on a streambed. The news spread like wildfire and resulted in the famous Californian gold rush. Though roughly $2 billion worth of gold was mined in the region over the next couple of years, few prospectors made it rich due to the high cost of mining and harsh conditions. India has been seeing its mini gold rush for the last few years but with a difference—investors here have been making loads of money. Gold has outperformed every other asset class in India over the past year, burnishing its reputation as a storehouse of wealth for investors even as geopolitical tensions and economic worries roil financial markets. The price of the precious metal surged…

AASHISH SOMAIYAA, Executive Director and CEO of WhiteOak Capital AMC, manages an equity fund with assets of ₹27,000 crore. Of this, ₹ 17,000 crore has been allocated to mutual funds, while ₹10,000 crore is invested through alternative investment funds and portfolio management service (PMS) schemes. Somaiyaa speaks to BT about how those who stay invested reap the benefits over time. Edited excerpts: After a six-month correction in Nifty, Bank Nifty, and other indices, do you believe the worst is behind us? I would not say the worst is behind us just yet. Recently, we have seen another wave of headwinds, particularly due to significant correction in the US markets. Factors like multiple GDP downgrades in the US, uncertainty around (Donald) Trump’s actions, and growing concerns about investments in AI (artificial…

THE ONGOING VOLATILITYin stock markets is making investors rethink their investment plans in equity funds. Many of these entered the stock markets in the recent past and hence this is the maiden meaningful correction for them. No wonder, falling stocks trigger ‘butterflies in the stomach’, but the past informs us that this can be an investment opportunity for a long-term investor. Traditionally, investments in equities have been rewarding in the long term. For example, in the past 20 years ended on January 31, 2025, Nifty 50 TRI has given 14.4% returns. Put simply, the money has multiplied 14.6 times. Over the same period, Nifty500 TRI has given 14.7% returns, which has ensured that the money multiplies 15.5 times. The compounding of money in stocks in the long term is possible because…

AT A TIME when the world is in a flux, with looming geopolitical tensions, volatile stock markets, and slowing consumption, all threatening to affect established businesses, it is really a mammoth task to maintain profitability. The BT India’s Best CEOs awards acknowledged just that—grit, gumption, and resilience. Held in Mumbai on March 22, the event saw the best minds of India Inc being felicitated, while they discussed the guidelines of running a company successfully and the methods of recognising and meandering around potential challenges. Among those who attended were External Affairs Ministers S. Jaishankar, Union Minister Nitin Gadkari, Sebi chief Tuhin Kanta Pandey, business tycoon Kumar Mangalam Birla, and many more. Turn over the next few pages to read more on the highlights of the various sessions of the event.…