LIC AMC is one of the oldest fund houses but has been a passive player all this while keeping the parent LIC’s risk-averse investing culture. As a result, its AUM is only a low Rs 20,000 crore because more than 90 per cent of its schemes and over 70 per cent of its AUM are debt funds, even after so many years of operations and despite the strong parental brand support. But now it hopes to double its recently launched equity fund to Rs 2,000 crore by the end of December and close the fiscal year with a cumulative AUM of Rs 25,000 crore, adding a quarter more to the present asset base.
It started launching equity schemes only in the past five-six years which now constitutes around 30 per cent of the Rs 20,000 crore AUM. But the fund house is not shifting this mix going forward as it continues to believe in not taking too much risk, Dinesh Pangtey, the chief executive of LIC Mutual Fund, told PTI.
