Axis Mutual Fund hopes to make profit this fiscal

Axis Mutual Fund, the fund house promoted by private sector lender Axis Bank, is hopeful of making profit this financial year, a top company official has said.

"We were close to break even point last financial year. We are hopeful of being profitable this fiscal," Axis Mutual Fund managing director and chief executive Chandresh Nigam told PTI in an interaction here.

The over-three-year-old fund house also said it may not need any capital from the promoters in the coming years as it can manage its future growth from internal accruals. Axis MF, which has around same proportion of equity and debt fund assets in the overall asset base, also said it has filed a number of applications with the regulators for launching new products.

"We are waiting for Sebi approval to launch many products, which include a small cap fund, two off-shore funds and a hybrid fund among others. Whenever we get the approvals, we will launch them," Mr Nigam said, adding all its existing funds have shown sound performance.

The fund house is also betting big on the hybrid fund category to differentiate its offerings along with assurance of stable returns, he said.

Talking on the equity mutual fund category, he said it is eyeing 7-8 per cent of share in gross flows in equity segment during next two years. The fund house, in which international asset management company Schroders has 25 per cent stake, is also managing India-oriented funds for Schroders.

Axis MF, which has 28 schemes across product category, is present in 70 cities and will increase its presence going ahead, Nigam said, adding its assets under management stood at Rs 12,289 crore as of the June quarter.