MF Stress Test Results: HDFC, Kotak, SBI AMCs Report Key Risk Levels For SMID Funds
Get live updates on all stress test results by Mutual Funds house here.
KEY HIGHLIGHTS
Stress Test Result Of Top Five Funds
Mirae Asset Mutual Fund: Liquidity Test Results
Mirae Asset Mutual Fund has disclosed that it would take eight days to liquidate 50% of the portfolio in its mid-cap fund and four days to liquidate 25%.
Mirae Asset MF has an AUM of Rs 14,543.1 crore in its mid-cap fund, while fund house disclosed the stress test results for its small- and mid-cap funds, following a directive by the Association of Mutual Funds in India.
Stress Test Results: Check Here For Detailed Stories
Franklin India Mutual Fund: Liquidity Test Results
It will take less than four days for Franklin India Mutual Fund to liquidate 50% of its portfolio in its mid-cap fund, and less than two to exit 25%.
Further, the mutual fund disclosed that it would take 12 days and less than six days, respectively, to liquidate 50% and 25% of its small-cap fund portfolio.
The mutual fund has an AUM of Rs 10,179 crore and Rs 11,825 crore in its 'Franklin India Prima Fund' and 'Franklin India Smaller Companies Fund', respectively.
Tata Mutual Fund: Liquidity Test Results
Tata Mutual Fund has disclosed that it will take three days to liquidate 50% of its portfolio in the mid-cap fund and two days to exit 25%.
Similarly, in the small-cap fund, it will take 35 days to sell 50% of its assets, and 18 days to liquidate 25%, according to its stress test results.
Tata MF has an AUM of Rs 3,293 crore, and Rs 6,289 crore in its mid-cap and small-cap fund respectively.
The fund house disclosed the stress test results for its small- and mid-cap funds, following a directive by the Association of Mutual Funds in India.
HDFC Mutual Fund: Liquidity Test Results
HDFC Mutual Fund has disclosed that it would take 42 days to liquidate 50% of the portfolio in its small-cap fund and 21 days to liquidate 25%.
In its mid-cap fund, the mutual fund house said that it would take 23 days to liquidate 50% of its portfolio and 12 days to liquidate 25%.
HDFC Mid-Cap Opportunities Fund and SBI Small-Cap Fund have an asset under management of Rs 60,187 crore and 28,599 crore of assets under management, respectively.
The top 10 investors collectively own 1.41% of the midcap scheme and 3.01% of the smallcap scheme.
Canara Robeco Mutual Fund: Liquidity Test Results
It will take less than two days (1.61) for Canara Robeco Mutual Fund to liquidate 50% of its portfolio in its mid-cap fund, and less than a day (0.8) to exit 25%.
In a similar vein, the mutual fund disclosed that it would take 13 days and less than seven days (6.75), respectively, to liquidate 50% and 25% of its small-cap fund portfolio.
The mutual fund has an AUM of Rs 2,044.3 crore and Rs 9,594.9 crore in its mid and small-cap schemes.
UTI Mutual Fund: Liquidity Test Results
UTI Mutual Fund has disclosed that it will take over 4 days (4.22) to liquidate 50% of its portfolio in the mid-cap fund and over 2 days (2.11) to exit 25%.
Meanwhile, in the small-cap fund, it will take over 4 days (4.3) to sell 50% of its assets, and over 2 days (2.15) to liquidate 25%, according to its stress test results.
UTI MF has an AUM of Rs 10,046.2 crore, and Rs 3,649.4 crore in its mid-cap and small-cap fund respectively.
The fund house disclosed the stress test results for its small- and mid-cap funds, following a directive by the Association of Mutual Funds in India.
Quantum Mutual Fund: Liquidity Test Results
Quantum Asset Under Management reported that it will take just a day to liquidate 25% and 50% of its portfolio in its small-cap fund.
The small-cap fund has an AUM of Rs 39.18 crore, according to the stress test results for its small- and mid-cap funds following a directive by Association of Mutual Funds in India. Quantum AMC, meanwhile, does not have a mid-cap fund.
The top 10 investors collectively own 6.82% of the small-cap scheme.
Why Mutual Funds Are Required To Do Stress Test | Explained
As the market regulator SEBI wants stringent monitoring of schemes for potential risks, all asset management companies with small- and mid-cap schemes must undertake stress testing of their portfolios.
The move follows the Securities and Exchange Board of India communication with the mutual fund industry body, the Association of Mutual Funds of India, over the rising flows into such schemes. In the last year, small and midcap funds witnessed net inflows of over Rs 65,000 crore.
This stress test is based on the Association of Mutual Funds in India’s prescribed methodology to test liquidity that was stipulated at the end of February. These disclosures will be in addition to the risk-o-metre disclosed along with the schemes.
The results of the stress test should be disclosed by the end of the month. But, the market regulator will not interfere in the functioning of the AMCs and their business decisions.
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Tata Mutual Fund: Liquidity Test Results
Tata Mutual Fund has disclosed that it would take 35 days to liquidate 50% of the portfolio of its small-cap fund and 18 days to liquidate 25%, based on the Association of Mutual Funds in India’s prescribed methodology to test liquidity.
In a similar vein, the mutual fund disclosed that it would take three days and two days, respectively, to liquidate 50% and 25% of its Mid Cap Growth Fund scheme portfolio.
Tata Mid Cap Growth Fund and Tata Small-Cap Fund have Rs 9,582 crore worth of assets under management.
ICICI Prudential Mutual Fund: 10 Days Required To Liquidate 50% Small-Cap Portfolio
ICICI Prudential Mutual Fund said it could liquidate half of its small-cap fund portfolio in 10 days and five days to to liquidate 25%.
ICICI Prudential small-cap have Rs 7,413.78 crore worth of assets under management.
The fund house disclosed the stress test results for its small- and mid-cap funds on Wednesday following a directive by Association of Mutual Funds in India.
For the ICICI Prudential Mid Cap Fund, 50% of the Rs 5,485.57 crore AUM can be liquidated in two days, and 25% in one days.
SBI Mutual Fund - Liquidity Test Results
SBI Mutual Fund has disclosed that it would take 60 days to liquidate 50% of the portfolio in its small-cap fund and 30 days to liquidate 25%.
In its mid-cap fund, the mutual fund house said that it would take 24 days to liquidate 50% of its portfolio and 12 days to liquidate 25%.
SBI Mid-Cap Fund and SBI Small-Cap Fund have Rs 42,001.21 crore worth of assets under management.
The top 10 investors collectively own 1.66% of the midcap scheme and 0.61% of the smallcap scheme.
Kotak Mutual Fund - Liquidity Test Results
Kotak Mutual Fund has disclosed that it would take 33 days to liquidate 50% of the portfolio of its small-cap fund and 17 days to liquidate 25%, based on the Association of Mutual Funds in India’s prescribed methodology to test liquidity.
In a similar vein, the mutual fund disclosed that it would take 34 days and 17 days, respectively, to liquidate 50% and 25% of its emerging equity scheme portfolio.
WhiteOak Capital Midcap Fund - Liquidity Test Results
WhiteOak Capital Mid Cap Fund has disclosed that it would take 0.68 days to liquidate 50% of its AUM and 0.34 days to liquidate 25% , based on the Association of Mutual Funds in India's prescribed methodology to test liquidity.
The scheme has Rs 1,626.54 crore worth of assets under management.
Nippon Mutual Fund Small-Cap Fund Can Sell Off Its 50% Portfolio In 27 Days
Nippon Mutual Fund has disclosed that it would take 27 days to liquidate 50% of the portfolio of its small-cap fund and 13 days to liquidate 25%, based on the Association of Mutual Funds in India's prescribed methodology to test liquidity.
The mutual fund disclosed that it would take seven days and four days, respectively, to liquidate 50% and 25% of its midcap scheme portfolio.
The disclosure on the mid- and small-cap schemes is based on a notice sent by the industry body AMFI to mutual fund trustees at the behest of the Securities and Exchange Board of India, amid concerns on valuations and rally in the small-cap stocks. The disclosure is meant to inform investors about potential risks.
Nippon Mutual Fund: India’s Biggest Small-Cap Fund Can Sell Off Its 50% Portfolio In 27 Days
DSP Mutual Fund Could Sell Off Half Its Small-Cap AUM In 32 Days
DSP Mutual Fund said it could liquidate half of its small-cap fund portfolio in 32 days, under certain conditions.
The fund house disclosed the stress test results for its small- and mid-cap funds on Wednesday following a directive by Association of Mutual Funds in India.
DSP Small Cap Fund can liquidate 25% of its Rs 13,703 crore assets under management in 16 days. For the DSP Mid Cap Fund, 50% of the Rs 16,302 crore AUM can be liquidated in 17 days, and 25% in nine days.
"This number indicates that we shall be able to liquidate 25% of our entire portfolio in 9 or 16 days respectively. This does not indicate the daily capability of the portfolio which could be very different", DSP Mutual Fund said in a letter to the investors.
"We may increase cash in the scheme to further help improve our liquidity profile and will continue to be true to the label Our mid-month cash position is better than the February 2024 end position and will further increase by the March 2024", the letter added.
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Motilal Oswal Mutual Fund Could Sell Off Its Small-Cap AUM In Five Days
Motilal Oswal Mutual Fund could liquidate 50% of its small-cap fund portfolio in five days and two days to liquidate 25%, based on the Association of Mutual Funds in India's prescribed methodology to test liquidity.
The mutual fund disclosed that it would take 10 days and three days, respectively, to liquidate 50% and 25% of its midcap scheme portfolio.
Axis Mutual Fund: 28 Days Required To Liquidate 50% Small-Cap Portfolio
Axis Mutual Fund said on Friday that it would take 28 days to liquidate 50% of the portfolio of its small-cap fund and 14 days to liquidate 25%, based on the AMFI's prescribed methodology to test liquidity.
The mutual fund disclosed that it would take 12 days and six days respectively to liquidate 50% and 25% of its midcap scheme portfolio, according to a release.
Aditya Birla Sun Life Releases Result Of Its Stress, Liquidity Test
Aditya Birla Sun Life has disclosed that it would take four days to liquidate 50% of the portfolio in its mid-cap fund and two days to liquidate 25%. In its small-cap fund, the mutual fund house said that it would take 10 days to liquidate 50% of its portfolio and five days to liquidate 25%.
Aditya Birla Sun Life Midcap Fund and Aditya Birla Sun Life Small Cap Fund have Rs 10,363 crore worth of assets under management.
The top 10 investors collectively own 4.14% of the midcap scheme and 2.52% of the smallcap scheme.
Edelweiss MF Releases Result Of Its Stress, Liquidity Test
Edelweiss Mutual Fund has reported that it would take two days to liquidate 50% of the portfolio in its mid-cap fund and just a day to liquidate 25%. This result is based on the Association of Mutual Funds in India’s prescribed methodology to test liquidity that was stipulated at the end of February.
Further, in its small-cap fund, it said that it would take three days to liquidate 50% of its portfolio and two days to liquidate 25%.
Quant MF Releases Result Of First Stress, Liquidity Test
Quant Mutual Fund has disclosed that it would take 22 days to liquidate 50% of the portfolio of its small-cap fund and 11 days to liquidate 25%, based on the Association of Mutual Funds in India’s prescribed methodology to test liquidity.
In a similar vein, the mutual fund disclosed that it would take six days and three days, respectively, to liquidate 50% and 25% of its midcap scheme portfolio.
Stress Test Results Of Mid, Small-Cap Funds
Asset management companies are disclosing the results of stress test for small and mid-cap schemes, as per an Association of Mutual Funds in India circular.
This notification is based on consultation between AMFI and the Securities and Exchange Board of India.
AMCs are required to disclose the results on their respective websites, as well as on AMFI’s website on a monthly basis.
AMFI and SEBI have collectively decided on the format of the disclosure, which will include:
Annualised Standard Deviation in respect of the scheme portfolio and scheme benchmark index.
Portfolio beta.
Portfolio trailing 12-month PE in respect of the scheme portfolio, as well as the scheme benchmark index.
Portfolio turnover.
AMCs will be required to gauge the portfolio liquidity under stress scenario for the mid-cap and small-cap funds to determine the days required to liquidate 25% and 50% of the portfolio.