Passive fund race: Bigger players steal the show over smaller counterparts

Over 95% passive AUM is with top 10 AMCs; experts say opportunities still exist in the smart beta space

Debt mutual funds
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Majority of smaller fund houses have stayed clear of passive funds even as their larger peers are engaged in a pitched battle for dominance in the passive space.

Abhishek Kumar Mumbai
Majority of smaller fund houses have stayed clear of passive funds even as their larger peers are engaged in a pitched battle for dominance in the passive space. Of the 43 fund houses, 18 are yet to come out with an equity passive fund including some mid-sized asset management companies (AMCs) like Canara Robeco and Parag Parikh Financial Advisory Services (PPFAS).

There are a couple of reasons behind this. One, smaller AMCs are still focused on completing their bouquet of active offerings and two, they do not see how they can make their products stand out.

"We don't see a

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First Published: Nov 23 2022 | 11:59 AM IST

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