HDFC AMC, Nippon Life and UTI AMC in focus; here’s why

Asset management companies are in focus on back of high valuations, Nippon Life surged ahead of Q1 earnings next week.

Looking at the revenue to average assets under management (AUM), it is at 0.49 percent for HDFC AMC and about 0.52 percent for Nippon AMC. So UTI AMC has a significant part of the portfolio, which is non-mutual fund or not comparable.

The valuation on a P/E basis on account Q1 EPS annualised, for HDFC AMC, works out close to 52 times, Nippon Life about 37.2 times and UTI AMC about 20.4 times.