SBI Fund Management Unlisted Share
SBI Fund Management Limited
INE640G01020
Listing Status: DRHP Not Filed
About SBI Fund Management Unlisted Share
Overview of SBI Fund Management Unlisted Share
SBI Mutual Fund is an Indian asset management company created by the State Bank of India (SBI), an Indian multinational public sector bank and financial services entity. Incorporated in 1987, the company is headquartered in Mumbai, India. SBI Mutual Fund is a result of a partnership between SBI and the European asset management firm Amundi, forming SBI Fund Management Limited (SBIFML).
Background
The mutual fund market in India was initiated by the Unit Trust of India, along with the Government of India and the Reserve Bank of India, in 1963. SBI Mutual Fund was the first non-UTI mutual fund in India, launched on June 29, 1987.
Timeline
→ 1987 : Inception of SBI Mutual Fund
→ 1992 : SBI Mutual Fund crosses investor base of 1 million
→ 1999 : Introduction of India’s first contra fund and sector-specific funds
→ 2011 : Joint Venture with Societe General Asset Management
→ 2014 : Launch of SBI MF’s online platform for corporate investors
→ 2020 : First AMC in India to fully Comply with GIPS Becomes the Largest AMC in India
→ 2021 : First AMC in India to cross INR 5 trillion in average AUM for Domestic Mutual Funds
Service and Expertise
SBI Mutual Fund actively manages investors’ assets with expertise in various domains:
- Domestic mutual funds
- Offshore funds
- Alternative investment funds
- Institutional investor portfolio management advisory services
Ownership Structure
- SBI holds a 63% stake in SBIFML.
- AMUNDI Asset Management owns the remaining 37% stake through its wholly owned subsidiary, AMUNDI India Holding.
Categories of SBI Mutual Fund
Industry Overview
Assets Under Management (AUM) of Indian Mutual Fund Industry as on January 31, 2024 stood at ₹ 52,74,000 crore. The AUM of the Indian MF Industry has grown from ₹9.03 trillion as on January 31, 2014 to ₹52.74 trillion as on January 31, 2024 around 6-fold increase in a span of 10 years.
Board Members
Insights of SBI Fund Management Unlisted Share
Financial Highlights
₹ in crores
Particulars | FY23 | FY22 | FY21 | FY20 |
Revenue from operations | 2,303.3 | 1,958 | 1,611 | 1,252.3 |
Profit After Tax (PAT) | 1,339.7 | 1,082.4 | 862.6 | 605.8 |
Earning Per Share (EPS) | 26.62 | 21.56 | 17.24 | 12.12 |
Dividend History
SBI Mutual Fund has announced an interim dividend of 3.50 per equity share for the fiscal year ending March 31, 2023. This is an increase from the previous year’s payout of 3 per equity share.
Interestingly, SBI Mutual Fund decided not to declare a final dividend for the same time. This choice emphasizes the business’s dedication to sound financial management and shows that it is focused on maximizing investment returns.
SBI AMC Operational Metrics
₹ in crores
Particulars | FY 2022-2023 | FY 2021-2022 | Growth Percentage |
Total Asset mobilized | 25,83,924 | 19,72,517 | 31% |
Total Redemption | 25,41,903 | 18,90,599 | 34.45% |
Net Inflow | 42,021 | 81,918 | Decrease of 48.70% |
Average AUM Rank | 1st | 1st | |
Market Share % | 17.70% | 16.86% | 4.99% |
Monthly SIP Value | 2,306 | 1,908 | 20.86% |
Mutual Fund Performance Analysis
- Asset Mobilization: In the fiscal year 2022-2023, total assets mobilized increased to ₹25,83,924 crore, marking a significant 31% growth compared to ₹19,72,517 crore in the previous fiscal year.
- Redemption: Total redemptions also increased to ₹25,41,903 crore in FY 2022-2023, reflecting a growth of 34.45% from ₹18,90,599 crore in FY 2021-2022.
- Net Inflow: Despite the increase in asset mobilization and redemptions, the net inflow decreased substantially by 48.70%, falling to ₹42,021 crore in FY 2022-2023 from ₹81,918 crore in FY 2021-2022.
- Average AUM Rank: The mutual fund maintained its top position in terms of Average Assets Under Management (AUM) ranking, securing the first position in both fiscal years.
- Market Share: There was a notable increase in market share percentage, reaching 17.70% in FY 2022-2023, compared to 16.86% in FY 2021-2022, representing a growth of 4.99%.
- Monthly SIP Value: The monthly Systematic Investment Plan (SIP) value also experienced growth, rising by 20.86% from ₹1,908 crore in FY 2021-2022 to ₹2,306 crore in FY 2022-2023.
Peer Comparison
Valuation
SBI AMC has shown a commendable growth in the 9 months of FY-24. As of 9M FY-24, with an EPS of 30, SBI fund Management is currently trading at a P/E of 48 with a market price of 1400 per share as of 1st Feb, 2024.
As of 9M FY-24, with an EPS of 66, HDFC AMC is currently trading at a P/E of 55 with a market price of 3600 per share as of 1st Feb, 2024.
SBI Fund Management :
· Estimated PAT for FY-24 - 1500 Crores which will be a 12% increase in the bottom line of the company.
· Estimated P/E (FY-24) - 36
· SBI fund Management has shown a better growth in numbers in comparison to its peer HDFC AMC and UTI AMC, hence the street is expecting the stock to perform well.
IPO Plans
The IPO plan for SBI’s Mutual Fund unit, set to raise $1 billion, is now abandoned, as announced by SBI Chairman Dinesh Khara in August 2023, despite its initial proposal in December 2021. In August 2023, SBI Chairman Dinesh Khara announced during a post-earnings media briefing on Friday that the bank’s planned initial public offering (IPO) for its mutual fund unit is now “out of focus.” On December 15, 2021, SBI initially announced that it planned to go public with the mutual fund subsidiary in an effort to raise $1 billion. SBI owns 62.6% of the SBI Mutual Fund, with Amundi Asset Management, a top French insurer, holding the remaining 36.8%.
FY 2024 Performance
SBI Mutual Fund has experienced significant growth in FY 24. Their Profit After Tax (PAT) has surged to INR 2063 Cr, marking a remarkable 55% increase from FY 23's INR 1331 Cr. SBI Mutual Fund thus stands as the biggest player in the market since Q4FY20.
SBI Fund Management Unlisted Share Price Journey
SBI Fund Management Unlisted Shares were introduced into the unlisted market in Feb-23 at a price of 999 per share and the stock made a low of 889 in May-23. Since then SBI Fund Management Unlisted Shares has rallied to a share price of 1600 per share in Feb-24.
Financial Charts of SBI Fund Management Unlisted Share
Balance Sheet of SBI Fund Management Unlisted Share
Profit and Loss of SBI Fund Management Unlisted Share
Ancillary of SBI Fund Management Unlisted Share
Ratio Analysis
Peers
Industry Benchmarking
Segment Revenue
Subsidaries
Security Allotment
Corporate Governance
Team Management Details
FAQs of SBI Fund Management Unlisted Share
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How to buy SBI Fund Management Limited?
Below are three ways through which you can purchase SBI Fund Management Limited:
- We at Altius Investech have many actively traded scripts and are market makers of unlisted shares. To check out all the unlisted shares traded. (Click on link). To submit a request to buy SBI Fund Management Limited, please click on the trade button at the top of this page
- Additionally, you can download our app from your play store or app store, register on our application, and engage in active trading there.
Download the Altius App here https://onelink.to/hf4m72 - You can also reach out to us at : +91 8240614850 / +91 8240861716
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How to sell SBI Fund Management Limited?
Below are three ways through which you can sell SBI Fund Management Limited:
- We at Altius Investech have many actively traded scripts and are market makers of unlisted shares. To check out all the unlisted shares traded. (Click on link). To submit a request to sell SBI Fund Management Limited, please click on the trade button at the top of this page
- Additionally, you can download our app from your play store or app store, register on our application, and engage in active trading there.
Download the Altius App here https://onelink.to/hf4m72 - You can also reach out to us at : +91 8240614850 / +91 8240861716
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What is the price of SBI Fund Management Limited?
We provide a two way quote on all the shares we deal in. Your buy price for SBI Fund Management Limited is ₹2899 and your sell price for SBI Fund Management Limited is ₹2400. The price is based on our estimates and market conditions.
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What is the lock-in period of SBI Fund Management Limited?
The lock-in period for SBI Fund Management Limited varies depending on the category of investors:
- For retail Investors, HNIs, or Body Corporates, the lock-in period is 6 months from the date of the listing of SBI Fund Management Limited
- For Venture Capital Funds or Foreign Venture Capital Investors, there is a lock-in period of 6 months from the date of acquisition of SBI Fund Management Limited
- For AIF-II (Alternative Investment Funds - Category II), there is no lock-in period
August 2021 saw the introduction of this regulation by SEBI. The purpose of the regulation change, which lowered the lock-in period from a year to six months, was to incentivize additional investments in firms getting ready for initial public offerings, or IPOs. Since its introduction, a number of Portfolio Management Services (PMS) have advised their clients to purchase Pre-IPO shares in order to take advantage of the advantages associated with early-stage investments. This reduction in the lock-in period is considered as a significant step forward.
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How is the SBI Fund Management Limited price calculated?
Fundamental & Comparative valuation models and the forces of demand and supply in the market for unlisted shares dictate the price. These prices are based on our estimates and transaction history of SBI Fund Management Limited. The price is also determined from the most recent funding round for SBI Fund Management Limited. This provides us with a benchmark valuation, offering a clear indication of the company's current market value as perceived by investors and industry experts.
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What are the lot sizes of SBI Fund Management Limited?
We can generally arrange lot sizes starting with an investment of INR 20,000. To confirm the lot sizes of SBI Fund Management Limited with us kindly click here.
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What are the financials of SBI Fund Management Limited?
The financials of SBI Fund Management Limited which includes the P/L of SBI Fund Management Limited and the Balance Sheet of SBI Fund Management Limited is in the financials section (Click on link).
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Where can I find the annual report of SBI Fund Management Limited?
The annual report of SBI Fund Management Limited is available in the annual report section (Click on link).
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Is buying SBI Fund Management Limited legal in India?
Yes, buying and selling unlisted shares in India is indeed 100% legal. This activity is regulated and governed under the guidelines provided by the Securities and Exchange Board of India (SEBI). Investors and traders must adhere to these regulations and guidelines to ensure compliance with legal and financial standards. It's important for participants in the unlisted share market to be aware of and understand these regulations to engage in transactions legally and securely.
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Short-term Capital Gain taxes to be paid on SBI Fund Management Limited?
When you sell unlisted shares within a period of two years from the date of acquisition, any profit earned from the sale is classified as Short-term Capital Gain (STCG). This gain is then added to your total income for that financial year. The tax on this short-term capital gain is calculated based on your applicable individual income tax slab rates. Therefore, the rate at which you will pay tax on the STCG from unlisted shares depends on your total income, including this gain, and the tax slab it falls under as per the prevailing income tax laws in India. It's important for investors to consider these tax implications when engaging in transactions involving unlisted shares.
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Long-term Capital Gain taxes to be paid on SBI Fund Management Limited and how are They Taxed?
Long-term Capital Gains (LTCG) on unlisted shares in India refer to the profits earned from the sale of unlisted shares that have been held for more than two years. The key aspects of LTCG on unlisted shares include:
- Tax Rate: LTCG on unlisted shares is taxed at a rate of 20%.
- Indexation Benefit: This is a significant advantage for investors. Indexation allows for adjusting the purchase price of the shares for inflation, which can reduce the taxable gain.
- Importance for Investors: Understanding LTCG is crucial, especially for High Net-worth Individuals (HNIs) and retail investors, as it impacts their investment strategy and tax planning. Knowing these details helps in making informed investment decisions.
- Calculation: LTCG is calculated by subtracting the indexed cost of acquisition (the purchase price adjusted for inflation) from the sale price of the shares. The profit thus calculated is subject to a 20% tax.
- Applicability: LTCG tax is applicable to profits from the sale of unlisted shares held for more than two years.
- Relevance: This tax is particularly relevant to investors in the unlisted share market, including those considering selling their holdings after a period of more than two years.
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Applicability of Taxes on SBI Fund Management Limited once it is listed?
When shares initially bought in the unlisted market become listed, the taxation rules change significantly if these shares are sold through a stock exchange. Here's what investors need to know:
Transition to Listed Market Tax Rates: Once unlisted shares are listed on the stock exchange and subsequently sold, the tax rates applicable to listed securities come into effect. This shift means that the favourable tax treatments for listed shares, as per the prevailing tax laws, will apply.
Taxation Based on Holding Period: The crucial factor in determining the type of capital gains tax (Long-term or Short-term) is the holding period of the shares. Importantly, this period is calculated from the original purchase date when the shares were unlisted.
Long-term vs. Short-term Capital Gains: If the shares are sold after being held for more than one year from the date of purchase (including the period when they were unlisted), they are subject to Long-term Capital Gains (LTCG) tax.
Conversely, if sold within one-year, Short-term Capital Gains (STCG) tax rates apply.
Significance for Investors: This information is vital for investors in the unlisted market, as it impacts their tax planning and decision-making process. Understanding these nuances ensures that investors can strategically plan the sale of their shares post-listing to optimize tax implications.
Advice for Investors: It's advisable for investors to keep a record of their purchase dates and monitor the listing dates closely. Additionally, staying updated with the latest tax regulations or consulting with a financial advisor is recommended for accurate tax calculations and compliance. -
How does Altius Investech source SBI Fund Management Limited?
At Altius Investech, our approach to sourcing Boat Unlisted Share (Imagine Marketing) involves a strategic and direct method. Primarily, we acquire these shares from the below key groups:
Employees of the Company: Employee stock option plans (ESOPs) or other compensation packages frequently include shares for firm employees. For a various reasons, such as including portfolio diversification or financial considerations, some of these employees may eventually choose to sell their shares. We engage with these employees, providing them a platform to sell their shares.
Initial Investors: These are the angel or early-stage investors who provided capital to the business in its early stages. These original investors may look to sell all or part of their ownership position in the company as it develops and flourishes. This might be done for various reasons such as in order to maximise their investment, reallocate resources, or make other calculated financial decisions.
Funding rounds and VC funds: Altius Investech sources the shares from private placement rounds in which private companies seek to obtain capital from the market. Through our platform, venture capital funds can liquidate their shares and we receive the inventory from them when they decide to sell a portion of their ownership through block trades.
By establishing connections with these groups, Altius Investech guarantees our clients a steady and dependable supply of Boat Unlisted Share (Imagine Marketing). This process not only makes it easier for employees and initial investors in liquidating their assets, but it also gives our clients access to shares that aren't often found on the open market. Our platform effectively facilitates a win-win situation for both buyers and sellers. -
How to trust Altius Investech before buying SBI Fund Management Limited from its platform?
Altius Investech stands at being India's fastest growing and leading marketplace for buying and selling unlisted shares. We believe in enabling access to alternative sources of investments at lower entry barriers to private equity investments.
With more than 25 years of experience, Altius Investech has carved a niche in the financial market by serving more than 8000 clients. The incredible journey is further highlighted by the vast number of transactions that Altius Investech has facilitated transactions that have already exceeded 300 crores.
For investors Altius Investech curates investment opportunities in companies at reasonable valuations which are on the verge of an IPO leading to massive value unlocking. Investments are backed by thorough research and sound investment thesis, with a time bound exit plan.
For ESOP Shareholder and existing Investors, we assist them to liquidate their shares even if they are not publicly traded by creating a platform where we find the right buyers and sellers for the best prices.
Altius Investech have been featured in top media news outlets like Economic Times, Financial Express, Money control. Check out about us on these - leading publications (Click on link) Our journey over these years has not just been about numbers; it's been about building trust and reliability.
We at Altius Investech are dedicated to upholding the greatest levels of ethics and transparency, making sure that your investment experience is not only profitable but also safe and reliable.
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