Does high AUM mean low performance? | Gaurav Jain | Mutual Fund Monday

It is not necessarily the case that a high level of assets under management (AUM) leads to low performance. AUM refers to the total value of investments that a financial firm manages on behalf of its clients, and it can be a useful metric for assessing the size and scale of a firm. However, AUM alone does not provide information about the performance of the investments managed by the firm.

There are many factors that can affect the performance of an investment, including market conditions, the investment strategy being employed, and the skill and expertise of the investment manager. Some firms with high AUM may have strong performance, while others may not. It is important to consider a range of factors when evaluating the performance of an investment or investment firm.

In this video, we are comparing some of the best performed funds of 2022 with their respective AUMs. Results of this comparison may surprise you!

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Use of this information is at the user's own risk. The Company and its directors, associates and employees will not be liable for any loss or liability incurred to the user due to investments made or decisions taken based on the information provided herein. The investment discussed or views expressed herein may not be suitable for all investors. The users should rely on their own research and analysis and should consult their investment advisors to determine the merit, risks and suitability of recommendation. Past performance is not a guarantee for future performance or future results. Information herein is believed to be reliable, although its accuracy and completeness cannot be guaranteed. The images used may be copyright of the company or third party. As a condition to using the services, the user agrees to the terms of use of the website and the services.

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[abhijeetsingh]

your fundo meter graph has helped me choose my funds based on consistency and not chasing top performers.

[kaushiksoni]

High AUM is not problem but sudden surge in AUM is more challenging for fund manager to find investment opportunities.

[Nilkamalsha]

Just 1 year data is really misleading. Need to check data for 3, 5, 7 years

[mitulvaghasia]

Great information sir,
As usual something new to know

[jishnu]

AUM definitely has an effect when it comes to small cap. Even PPFAS said they can't invest in some small cap funds cause of huge aum and even 1% means they need to put around 400cr on such companies. It will cause liquidity issues.

[gdp]

Large fund houses are completely hopeless and aren't bothered about investors aspirations and hopes. Axis MF were performing better till last year but recently slowed down

[ramyasri]

Thanks a lot for increasing my conviction sir

[raghu]

Sir kya humein mitual funds mein
Dividend milta hai ya nahi??
Thoda prakash daliya

[MOHITRATNESH]

why we are unable to update sip in sbi small cap fund, please share

[unknownk]

Why r u comparing only 1yr return when u suggest to invest for long term in equities? Faaltu ke video mat banao sir, ppl respect you and ur channel. Naye followers aur view ke chakkar me purano ko mat kho dena

[whoIsV]

1 year data is wrong way to analyze it. Also it was a bull run for past 2 years. Check which big AUM funds performed decently(not even overperformed) during sideways market and consistently, not just one year.

[bijoykrishnamitra]

You are talking about statistics and trend of particular mf . But how they are against the myth, which all parameter will signify that fact, TIA