UTI Asset Management Company Limited (UTI AMC) has announced a significant leadership change, promoting Mr. Vetri Subramaniam from his current role as Chief Investment Officer to the position of Managing Director & Chief Executive Officer (Designate). This internal elevation marks a notable shift in the company's top management structure.

Key Details of the Appointment

• New Role: Managing Director & Chief Executive Officer (Designate)
• Effective Date: Immediate
• Previous Position: Chief Investment Officer

Regulatory Disclosure

In compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, UTI AMC has formally disclosed this change in designation to the National Stock Exchange of India Limited and BSE Limited. The company's filing states that Mr. Subramaniam's new designation is effective immediately from the date of announcement.

Company's Statement

UTI AMC clarified in its regulatory filing that this change represents a modification in designation rather than a new appointment. The company stated, "Mr. Vetri Subramaniam currently functioning as Chief Investment Officer has been designated as Managing Director & Chief Executive Officer (Designate) with immediate effect."

Impact and Implications

This promotion suggests a strategic move by UTI AMC to leverage Mr. Subramaniam's experience and expertise in a more expansive leadership role. As he transitions from overseeing investments to potentially leading the entire organization, it may signal a new direction or reinforcement of the company's current strategies.

About UTI Asset Management Company Limited

UTI AMC is a prominent player in India's asset management industry. The company manages a diverse range of investment schemes and provides wealth management services to a wide client base. This leadership change comes at a time when the asset management sector in India is experiencing dynamic growth and increasing competition.

Investors and market watchers will likely keep a close eye on how this leadership transition might influence UTI AMC's future direction and performance in the competitive asset management landscape.

UTI Asset Management Company (UTI AMC) has reported a robust performance for the first quarter, marked by significant growth in passive assets under management (AUM) and record Systematic Investment Plan (SIP) inflows.

Financial Highlights

UTI AMC's consolidated financial results for Q1 show:

• Total revenue increased by 3% year-over-year (YoY) to ₹548.61 crore
• Core revenue (Sale of Services) grew by 12% YoY to ₹379.29 crore
• Profit After Tax (PAT) stood at ₹236.85 crore, down 7% YoY but up 172% quarter-over-quarter (QoQ)
• Core PAT increased by 4% YoY to ₹122.00 crore

Asset Under Management Growth

The company reported impressive growth in its Assets Under Management (AUM):

• Total group AUM reached ₹21,93,215.00 crore, up 13.28% YoY
• UTI Mutual Fund's Quarterly Average AUM (QAAUM) grew to ₹3,60,867.00 crore, a 16.15% YoY increase
• Passive AUM surged by 60% YoY, demonstrating the company's strong focus on this segment

Record SIP Inflows and Digital Transactions

UTI AMC witnessed significant growth in its SIP business and digital transactions:

• SIP AUM increased by 16.90% YoY to ₹42,195.93 crore
• Gross inflow mobilized through SIP for Q1 stood at ₹2,260.98 crore
• Digital purchase transactions rose to 49.14 lakh, a 29.86% increase compared to the same quarter last year

Strategic Focus Areas

The company highlighted its strategic initiatives for growth:

1. Expanding retirement product offerings
2. Enhancing digital presence and Independent Financial Advisor (IFA) network in Bharat markets
3. Focusing on unlocking operating leverage
4. Generating long-term sticky flows

Management Commentary

Mr. Imtaiyazur Rahman, Managing Director & Chief Executive Officer of UTI AMC, stated, "Q1 has offered a strong start to the financial year both for UTI AMC as well as the mutual fund industry. At the Company level, we have seen a notable growth in AUM and steady SIP inflows depicting a progressive curve in the last quarter."

He added, "We are hopeful that we will be able to leverage this positively to aid in building a long-term positive outlook for the overall industry. Despite global triggers and other geopolitical tensions that persisted, the impact on the Indian economy has been well contained."

Market Position and Distribution Network

UTI AMC maintains a strong market position with:

• 5% market share in total Mutual Fund QAAUM
• 24.67% market share in NPS AUM
• 13.18% market share in Passive AUM
• A vast distribution network of ~75,000 mutual fund distributors and 255 UTI Financial Centres

The company's focus on digital adoption is evident, with 42.23% of total gross sales of Equity & Hybrid Funds mobilized through digital platforms in Q1.

UTI AMC's strong performance in Q1, particularly in passive AUM growth and SIP inflows, positions the company well for continued growth in the evolving asset management landscape. The focus on digital initiatives and expansion into Bharat markets aligns with the changing dynamics of the Indian financial services sector.