Investor complaints against MF drop by 30% in FY15
Mutual fund houses received about 21,000 complaints from investors in 2014-15, a drop of 30 <g data-gr-id="46">per cent</g> from the preceding fiscal year on account of <g data-gr-id="61">efficient</g> grievance redressal mechanism. These complaints pertain to data corrections in investor details and non-updation of changes about <g data-gr-id="32">address</g>, PAN (Permanent Account Number), details and nomination among others.
According to industry experts, the complaint redressal mechanism has become efficient at most asset management firms with the grievances getting resolved within the prescribed turnaround time.
As per data on the Association of Mutual Funds of India (AMFI) website, the top 10 mutual fund houses received 20,963 investor grievances in <g data-gr-id="39">past</g> financial year compared with 30,065 complaints in 2013-14.
The folio base or investor accounts grew to 3.69 <g data-gr-id="37">crore</g> from 3.43 crore during the same period. Folios are numbers designated to individual investor <g data-gr-id="36">accounts,</g> though one investor can have multiple folios.
Among the top 10 fund houses, DSP BlackRock saw the biggest drop in investor grievances, with complaints plunging by 86 <g data-gr-id="34">per cent</g> to 105 in the past year. It was followed by Birla Sunlife MF, <g data-gr-id="45">which which</g> saw complaints tumbling to 1,117, a decrease of 82 <g data-gr-id="35">per cent</g> during the same period.
IDFC MF saw the number of complaints declining by 58 per cent to 295, while the same for Kotak MF fell by 38 per cent to 253. Sebi first took note of rising investor complaints in mutual funds in 2011 and hauled up fund houses for not taking serious note of these grievances.
In absolute terms, the highest number of investor complaints were recorded against HDFC MF
(6,144) in 2014-15 followed by UTI MF (3,791), ICICI Prudential MF (3,251), Reliance MF (2,299) and Birla Sunlife MF (1,117).
Industry experts believe that <g data-gr-id="65">large</g> number of complaints are received due to the illegible data provided by investors as well as errors made by investors while filling up application forms.
PE firms invest $2.8 bn in Jan-Mar quarter: PWC
Private equity investments in the January-March period of this year totalled to $2.8 billion in value terms across 130 deals, registering 15 <g data-gr-id="84">per cent</g> jump over last year, says a report.
According to the PwC MoneyTree India report, a quarterly study of private equity investment activity based on data provided by Venture Intelligence, PE deal value in the first quarter of this year surged by 15 <g data-gr-id="85">per cent</g> over last year when 144 deals worth $2.42 billion were announced.
On a quarter-on-quarter basis, however, the deal value declined 37 per cent as the October to December 2014 quarter saw $4.39 billion through 117 deals. “Recent IMF and World Bank projections that the Indian economy will grow faster than China this year, and in the next few years, is expected to boost investor sentiment and should result in higher allocations for India,” PwC India Private Equity leader Sanjeev Krishan said. Krishan added that the deal momentum is expected to gather pace on improving domestic corporate earnings and favourable macros like a declining interest rate and continued low inflation environment.
A sector-wise analysis shows that banking and financial sector (BFSI) topped the list with $891 million in 14 deals, followed by the IT/ITeS sector in the second place. The IT and IT-enabled services (ITeS) sector attracted $836 million investment in 71 deals. “The ‘Digital India’ and ‘Make in India’ campaigns have significantly boosted overall market prospects and investor sentiment.