Quant Mutual Fund’s AUM reaches all-time high of Rs 94,000 crore

Quant Mutual Fund (MF), which was under Sebi’s investigation for a front-running case, has informed its unitholders that the assets under management (AUM) and net asset values (NAV) for most schemes have reached a record high level as of July 12, 2024. The fund’s AUM now exceeds Rs 94,000 crore as of July 12.The fund house conveyed this information to investors via mail on Saturday, providing clarification regarding Sebi’s investigations into front-running allegations. Despite experiencing net outflows of Rs 696 crore and net equity outflows of Rs 877 crore over the last three weeks, the fund’s AUM remains at an all-time high.
The rise in AUM to over Rs 94,000 crore marks a significant milestone for the mutual fund house. However, investors were also informed about the ongoing investigation initiated by the market regulator into front-running allegations against the company.

In an email addressed to its investors, Quant MF mentioned, “the data collection by the regulator was not part of a “regular process.” Rather, it was part of a “court-approved search and seizure operation with respect to an ongoing investigation initiated by SEBI.”

“Our superior risk-adjusted returns generated by our schemes are in line with our dynamic style of money management,” said the mutual fund house in its communication. The message also mentioned that “less than 1% of their AUM had been affected by recent outflows amounting to Rs 696 crore in net outflows and Rs 877 crore in net equity outflows. These figures are minor compared to their current AUM of over Rs 94,000 crore.”

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The fund house also clearly mentioned that their liquidity situation remains “extremely healthy” with “more than 54% assets are very liquid, which includes large-cap stocks, T-bills, G-Secs, Gold and Silver.”

According to the June portfolio (the last available data in ACE MF), Quant MF’s total assets under management were recorded at Rs 90,625 crore. The AUM of Quant schemes has increased compared to May. Quant Small Cap Fund saw the highest increase in asset base, rising by Rs 1,724 crore to reach a total AUM of Rs 22,967 crore in June, up from Rs 21,242 crore in May.

The AUM of Quant Mid Cap Fund was recorded at Rs 8,747 crore in June, marking an inflow of Rs 794 crore from its May AUM of Rs 7,952 crore.

As of June 2024, the debt schemes managed by the fund house received inflows ranging from Rs 0.76 crore to Rs 2.56 crore, marking the lowest among its mutual fund schemes. The fund house manages approximately 27 mutual fund schemes.