HDFC AMC slides 7% as SEBI’s proposed fee rules spark valuation and profit concerns

HDFC AMC stock plunged 7% as SEBI’s proposed mutual fund fee caps raised concerns of up to 33% profit erosion across India’s asset managers.

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28 days ago

HDFC AMC slides 7% as SEBI’s proposed fee rules spark valuation and profit concerns

Shares of HDFC Asset Management Company dropped 7% on Tuesday after SEBI’s consultation paper suggested new limits on management fees, brokerage payments, and exit loads. Analysts at Motilal Oswal and Nuvama estimate these revisions could compress sector-wide profits by 30–33% by FY27. Nippon AMC and other listed asset managers also declined as investors reassessed earnings outlooks. Market participants said the move underscores SEBI’s broader transparency push, though it introduces near-term profitability headwinds for large AMCs managing high-margin equity funds.
Companies:
  • HDFC AMC
  • Nippon AMC
Tags:
  • stocks
  • HDFC AMC