Nippon Life India Asset Management Limited

Nippon Life India Asset Management achieved significant milestones in Q3 FY26, with total AUM crossing INR 8 trillion and Mutual Fund AUM reaching INR 7 trillion. The company reported its highest ever quarterly Operating Profit of INR 4.58 billion and Profit After Tax of INR 4.04 billion. This strong performance positioned NAM India as the fastest-growing AMC in the Top-10 for both Q3 FY26 and 9M FY26, leading to the highest increase in AUM market share across all AMCs.

The company's Mutual Fund QAAUM grew by 23% YoY and 7% QoQ to INR 7.01 trillion. Overall market share increased by 35 bps YoY and 14 bps QoQ, reaching 8.65%, which is the highest since June 2019. Equity market share also saw an 11 bps YoY increase, stabilizing at 7.13% QoQ. Despite a slight decrease in the share of Equity AUM in overall AUM to 47.0%, the company maintained a high single-digit market share in net sales in the Equity + Hybrid segment.

Nippon Life India Asset Management continues to be a leading player in the ETF segment, with AUM reaching INR 2.09 trillion and a market share of 20.31%, an increase of approximately 220 bps YoY. The company holds 48% of the industry's ETF folios and 51% of ETF volumes on NSE and BSE. The combined AUM in Gold & Silver ETFs surged to INR 688 billion as of December 31, 2025, up 54% QoQ, with the Gold ETF ranking among the Top-15 globally for inflows in 2025.

The company's digital franchise showed robust growth, with digital purchase transactions and new SIP registrations rising to 4.32 million in Q3 FY26, a 6% YoY increase. December 2025 marked the highest ever monthly transactions at 1.56 million, with digital business contributing 77% of total new purchase transactions. Under Nippon India AIF, cumulative commitments reached INR 89.2 billion, up 28% YoY, with INR 2 billion raised in Q3 FY26 across various asset classes. The company also achieved its largest fundraise to date with the Nippon India Credit Opportunities Fund (NICO 1).

The Board of Directors authorized a strategic collaboration with DWS Group, a leading European Asset Manager. DWS intends to acquire a minority stake of up to 40% in Nippon Life India AIF Management Limited through a fresh issuance of equity shares. This partnership aims for wider collaboration, including passive investment products and global distribution, signaling a significant move to enhance the AIF business and global reach.

For Q3 FY26, Revenue stood at INR 7.05 billion, up 20% YoY and 7% QoQ. Other Income significantly increased to INR 0.75 billion, up 3.9 times YoY. Operating Expenses were INR 2.48 billion, up 17% YoY and 4% QoQ, with a 14% YoY and 1% QoQ growth excluding the impact of the New Labour Code. This resulted in Operating Profit of INR 4.58 billion (up 22% YoY, 9% QoQ) and Profit After Tax of INR 4.04 billion (up 37% YoY, 17% QoQ).

The company reported an overall yield of 37 basis points, with equity at 53 bps, debt at 25 bps, and ETFs at 20 bps. Gold ETFs had a yield of approximately 60 bps, and Silver ETFs around 30 bps. Management anticipates a long-term trend of yields potentially declining by 1-2 basis points year after year, emphasizing the need for continuous efficiency improvements. The ESOP expense for Q3 FY26 was INR 11 crores, with an expectation of INR 26 crores for the next financial year. The impact of the new Labour Code was a one-time^📎 gratuity change already accounted for, with no incremental material impact expected currently.