It is imperative for rating agencies to address their internal conflicts on their own also. Rating agencies are the conscience keepers of debt issuance quality, if that comes under cloud, the entire debt market asset management is under risk that includes FIIs buying debt, the mutual funds, insurance funds, and pension funds. … [Read more...] about WRAP: Is credibility of rating agencies under a cloud?
"Private Banks within financials have been gradually gaining market share from PSU banks over the last two decades, which is a structural trend that is likely to continue going forward as well," Karthikraj Lakshmanan, Senior Fund Manager-Equities at BNP Paribas Asset Management India said. … [Read more...] about Bank funds gave highest avg return in May; will the positive trend continue?
For Avendus, this is its second attempt in going the inorganic route, within a year. In November last year, Avendus Capital Pvt had sought a deep valuation cut in IDFC's mutual fund business. Avendus had agreed to a valuation of less than Rs 2,000 crore, against IDFC’s expectations of Rs 3,500-4,000 crore for buying out IDFC AMC. … [Read more...] about Avendus, Mahindra MF & 3 other MFs in race to acquire IDBI AMC
So far, regulations that allow a grace period for payment do not categorise this event as default. MFs have been active this time to write down the delayed amount in NAV values. It remains to be seen whether Dewan group can pay for the shortfall or it becomes another IL&FS saga. … [Read more...] about DHFL Crisis: With mutual funds on wait-and-watch for payments, will SEBI step in?
"The recent credit default events in NBFCs have taken a toll on the credit risk funds. As credit risk funds by default take credit risk and such event are credit events prompting investors to pull out," said a chief investment officer from a private fund house who did not wish to be named. … [Read more...] about AMFI Monthly: Credit risk funds see massive outflows in May; equity fund inflows up 17.5% MoM