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BOI AXA Mutual Fund

 

Our biggest strength is our ability to understand investor needs and then design products that suit these needs. Our belief is that there is a huge untapped market of savers who are yet to invest in mutual funds. They have most probably steered clear of mutual funds till date for fear of the complexity and volatility of capital-market-related investments.

To attract this category of investor, we have consciously designed and launched

(a) simple and easy-to-understand products,

(b) a small but concise product range,

(c) products which by design would give capital-market exposure with lower volatility and are suitable for first-time or new investors.

Second, our strength is the processes that we have inherited from our sponsors, Bank of India and AXA IM.

Third, another clear strength we possess is our people and organisation culture. We have a stable and well-knit team with shared core values and complete alignment with all stakeholders of our business.

When simplicity is the keyword Sandeep Dasgupta CEO, BOI AXAAn evident area where we would consider scope for improvement is in achieving the required scale in our products and overall assets. We are addressing this by identifying and adding more channels of distribution which share our philosophy and outlook for the business, with the customer as the core focus.

Challenges ahead

From a business perspective, at the industry level, the biggest challenge in the year ahead would be to find the right balance of remuneration for distributors and other stakeholders while continuing the growth momentum of expanding mutual funds as a preferred vehicle for people to entrust their savings. Our challenge is to accelerate our growth across our product range and achieve the desired optimum scale.

From an investment perspective, I hope that we see more depth in the corporate bond market so that we don't see bouts of illiquidity.

Competition

I think we shall benefit by the addition of new players in the industry. New players will adopt different sales and investment strategy to differentiate against the competitors, besides expanding the market with their marketing and communication efforts. We have already witnessed a few examples of disruptive growth. We should welcome that. I believe this alone would put pressure on existing players to continuously excel as well as give more choice to investors.

Retail expansion

Even today a majority of our customers are new to the industry and we would continue on the same path in the near future while simultaneously adding new products and distribution channels to attract a different segment of individual investors, thereby expanding our appeal among investors.

Our approach is a calibrated one, backed with a good investment track record, ground-level connectivity and a careful balance for all stakeholders.

Best Tax Saver Mutual Funds or ELSS Mutual Funds for 2015

1. BNP Paribas Long Term Equity Fund

2. Axis Tax Saver Fund

3. IDFC Tax Advantage (ELSS) Fund

4. ICICI Prudential Long Term Equity Fund

5. Religare Tax Plan

6. Franklin India TaxShield

7. DSP BlackRock Tax Saver Fund

8. Birla Sun Life Tax Relief 96

9. Reliance Tax Saver (ELSS) Fund

10. HDFC TaxSaver

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