I was reading an article on some news portal which showed how much commissions mutual fund distributors earned in 2017-18. Where is data published and can someone post the numbers for the last year?
How much commissions did mutual fund distributors earn in 2017-18 and who were the top earners?
₹8500 crores were paid as commissions in the year 2017-18 while ₹5000 crores were paid out in the year 2016-17. Here are the top 10 distributors and the commissions they earned. Here is a Google sheet with the complete commission disclosure. This begs the question is it really sustainable? Each one of should try to spread the word about direct mutual funds to as many people as possibe.
| Name of the ARN Holder | Gross Amount paid 17-18 | Gross Amount paid 17-16 |
|---|---|---|
| HDFC Bank Limited | 641.39 | 396.51 |
| NJ Indiainvest Pvt Ltd | 786.77 | 442.68 |
| Axis Bank Limited | 537.71 | 248.53 |
| State Bank of India | 557.90 | 178.79 |
| Kotak Mahindra Bank Limited | 274.29 | 198.67 |
| ICICI Bank Limited | 470.28 | 279.68 |
| IIFL Wealth Management Limited | 175.01 | 157.43 |
| Citibank N.A | 248.96 | 185.02 |
| ICICI Securities Limited | 316.53 | 172.58 |
| Hongkong & Shanghai Banking Corporation Ltd. | 121.39 | 99.94 |
How to start mutual fund distribution business as company.
There are people who do not know what to buy and when to buy and how to buy.
Do you think all investors know how to use trading/investing platforms.
It is a win win situation
And That is worth 1% of all future investments? If you want to educate, why not just do financial advisory or consulting for flat fee?
What is wrong with mutual fund distributions ? It is less than 0.50 percentage.
If I can build good portfolio trailing commission is good and my question was how to start distribution company not to become distributor under other distributor companies.
Can you share how much range they charge for advisory fees
Can’t say. Never used any except those that came with brokers long before Zerodha.