But then how long can they sustain this way when the stock valuations are likely to command average PE multiples and are unlikely to be 
re-rated any time soon? “In such a scenario, it will be difficult to find multi-baggers to show extra-ordinary performance over the next six months,” agrees Ashok Jainani, an analyst with KSL India. So, when equities are likely to remain in a range-bound move, reacting to global and domestic events, the challenges before mutual funds are to generate absolute performance, not only to garner additional subscriptions (growth in AUM), but also to retain existing AUMs. Further, their inability to pass on the burden (rising input costs) to consumers (due to government interventions) is expected to make them bleed more.
No doubt, the biggest challenge at present is to fight volatility but the competition from the insurance sector is one thing that the industry will have to look upon very seriously. Flooded with hybrid products, which offer both good returns and accidental covers, the insurance industry has already started giving fund houses a run for their money. AMCs now need to innovate, embrace technology and use it at a much faster rate in order to remain competitive. Although, the fund houses are working out on some alternate payment gateways, which include payments through credit card, mobile phones et al, to ease the investment process, but its actual implementation still is a distant dream.
For Complete IIPM Article, Click on IIPM Article
Source : IIPM Editorial, 2008
re-rated any time soon? “In such a scenario, it will be difficult to find multi-baggers to show extra-ordinary performance over the next six months,” agrees Ashok Jainani, an analyst with KSL India. So, when equities are likely to remain in a range-bound move, reacting to global and domestic events, the challenges before mutual funds are to generate absolute performance, not only to garner additional subscriptions (growth in AUM), but also to retain existing AUMs. Further, their inability to pass on the burden (rising input costs) to consumers (due to government interventions) is expected to make them bleed more.No doubt, the biggest challenge at present is to fight volatility but the competition from the insurance sector is one thing that the industry will have to look upon very seriously. Flooded with hybrid products, which offer both good returns and accidental covers, the insurance industry has already started giving fund houses a run for their money. AMCs now need to innovate, embrace technology and use it at a much faster rate in order to remain competitive. Although, the fund houses are working out on some alternate payment gateways, which include payments through credit card, mobile phones et al, to ease the investment process, but its actual implementation still is a distant dream.
For Complete IIPM Article, Click on IIPM Article
Source : IIPM Editorial, 2008
An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative
Read these article :-
ZEE BUSINESS BEST B SCHOOL SURVEY
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
Top Articles on IIPM:-
IIPM makes business education truly global-Education-The Times of ...
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
IIPM ranked No. 1 B-school in India- Zee Business Survey ...
IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
domain-b.com : IIPM ranked ahead of IIMs
Read these article :-
ZEE BUSINESS BEST B SCHOOL SURVEY
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
Top Articles on IIPM:-
IIPM makes business education truly global-Education-The Times of ...
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
IIPM ranked No. 1 B-school in India- Zee Business Survey ...
IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
domain-b.com : IIPM ranked ahead of IIMs
