BoI MF has posted a strong 80% growth in AuM in 2023, rising from 3300 crs to close to 6000 crs. With over 60% of its AuM coming from equity and hybrids, a growing base of retail investors and a growing SIP book, Mohit believes the fund house is on a strong sustainable growth path.
The fund house is making a mark with two differentiated hybrid funds. Its aggressive hybrid fund – called BoI Small & Midcap Equity and Debt Fund invests its equity portion in alpha seeking small and midcap segments and balances off risk with its debt exposure. Its Balanced Advantage Fund in sharp contrast has a very nimble asset allocation model but invests its equity portfolio only in large caps, with half of it aligned with the index. Its BAF generates alpha from asset allocation while its aggressive hybrid generates alpha from stock picking.
Mohit asks distributors to take a closer look at both these hybrids, which he believes merit consideration in all investor portfolios, depending on individual risk appetite.
Mohit’s priorities for ’24 include strengthening communication around BoI MF’s products, positioning and performance, deepening engagement with existing distributors and putting in a focused effort to expand distribution footprint.
Mohit believes that an offline advice and online execution model is what will work best in our market, especially as investors move up from experimenting with mutual funds to making serious goal based investments. The MFD model is ideally suited for this, in his view.