Sundaram Mutual Fund

Sundaram Asset Management Company Ltd., the holding organisation of Sundaram Mutual Funds, is a wholly owned subsidiary of Sundaram Finance Limited, one of India’s oldest and most recognisable financial institutions. They have over 20 years of experience in fund management at the highest level. At the time of its inception in 1996, the AMC was co-sponsored by Sundaram Finance Limited and Stewart Newton Holdings (Mauritius).

The company has a chequered history, with multiple acquisitions and counter-acquisitions throughout its existence. Its parent organisation, Sundaram Finance Ltd., was incorporated back in 1954, becoming one of the first financial organisations to be formed in independent India. With a relatively meagre paid-up capital of Rs. 2 Lakh, their primary objective at the time was to fund the purchase of passenger as well as commercial vehicles. The company became public in 1972 and has since then dealt in various areas of finance including but not limited to mutual funds, general insurance, home and car finance, and financial services distribution.

As of now, Sundaram Finance Ltd. is one of the largest financial institutions in India with reported net assets worth over Rs. 28,000 Crore and annual gross revenue of over Rs. 5000 Crore.

Sundaram AMC was formed in 1996 in a bid to separate Sundaram’s mutual fund division from its core financing operations. Sundaram has had a long association with the Newton group, which co-funded the AMC at the time. In 2002, however, Newton Investment Management was acquired by Mellon Financial Corporation. Sundaram took the opportunity to acquire Newton group’s holding in the merged company.

Another company that Sundaram AMC has a history with is the French financial giant, BNP Paribas Asset Management (BNP PAM), which acquired a 49.9% equity stake at Sundaram AMC in the year 2006. The joint venture, however, was short-lived.

In 2010, BNP PAM had to relieve its stake at Sundaram Mutual Fund as it acquired the Fortis group, and government regulations dictate that a company can only promote one mutual fund. Since then, Sundaram AMC has been a fully-owned subsidiary of Sundaram Finance Ltd.

The AMC has a diverse portfolio of mutual funds in multiple segments including equity, debt, liquid and fixed income funds. They have an astute 21 member investment team, comprising of fund managers, analysts, dealers and economists, who are at the forefront of financial services. With a robust retail connection, Sundaram has earned the loyalty of a vast clientele who trust their investor-friendly approach and long-term outperformance.

With a total AuM of around Rs. 56666.81 crores, Sundaram is among the top asset management companies in India. Its AUM has grown at a CAGR of 17% over the last 9 years. Sundaram Mutual Fund has been ranked 18th * in the Asset Management industry as well. They have 94 branches including international & shared branches along with 305 distributors. 

Sundaram Mutual Funds has handled over 5.6 million client folios in its decorated history. As of FY18, they have 13.69 million active folios. They have an extensive distribution network with over 35,000 empanelled distributors in their ranks.

They were the first AMC to launch mutual funds in emerging fields such as Leadership, Rural India, Capex, Mid-cap and Micro cap.

With its headquarters in Chennai, Sundaram Mutual Funds has made customer satisfaction its top priority. They have one of the most robust customer-care operations, with 93 centres spread across the length and breadth of the country. They also have a fully-owned asset management subsidiary in Singapore and a branch office in Dubai.