Offshore funds contributed approximately INR 42,100 crores to overall AUM
Operational Metrics
Unique customer count increased by 10% YoY to 1.85 crores as of September 30, 2026
SIP AUM rose to INR 2.07 lakh crores with 15% YoY increase
Monthly SIP inflows steady at approximately INR 3,900 crores
Distribution network supported by nearly 136,000 distribution partners including over 125,000 IFAs, 10,000 national distributors, and 96 banking partners
23,000+ SBI branches and 297 SBI Funds Management branches provide extensive reach across 98% of pin codes
B-30 cities contribute nearly 2/3rd of SIP inflows
94% of transactions done digitally with InvesTap app having over 4.3 million registered users and monthly digital volumes exceeding 1.4 million transactions
Product Development and Launches
Launched five new products during Q2, including one SIF (Small Investment Fund)
Magnum Equity Ex-Top 100 Long Short Fund closed as one of the largest funds in its category
SBI Global Thematic Advantage Fund launched through GIFT City franchise
Plans to launch Category III AIF in coming months and build Category II capability
Filed offerings showing strong investor response
Technology Initiatives
Introduced Aarambh platform for assisted digital onboarding of first-time investors
Aarambh enables Aadhaar-based biometric KYC, folio creation, and first investment in single journey
Integrates digital PEKRN (PAN-exempt KYC reference number) for customers without PAN card
Ongoing investment in AI, automation, and cloud infrastructure
Cost Structure and Investments
Significant one-time investments in technology and human resources in Q2
Expenses related to strengthening cloud infrastructure and enhancing AI-driven systems
Appointment of new business head for alternatives platform
Management indicated 50-60% of cost increases are recurring while 30-40% are one-time
Employee costs expected to moderate in subsequent quarters
No exceptional cost increase expected from ESOP policy
Yield Performance
Equity yield approximately 62-63 bps in Q2 FY27
Debt yields in range of 34-35 bps
Liquid yields around 11-12 bps
Yields described as competitive or close to best-in-class
Marginal sequential dip in overall yield attributed to asset mix changes rather than distribution commission changes
Channel Performance
SBI channel contributes approximately 20% of net inflows
Significant growth from other banking channels and distributors
SIP inflows coming from all channels including SBI, mutual fund distributors, ROBO, and RIAs
Investment Performance
70% of equity plus equity-oriented hybrid schemes in top 2 quartiles over 5-year period
45% of funds in top 2 quartiles over 3-year period
Recent performance showing improving trend with above 50% in top 2 quartiles at margin
Flagship schemes with improved performance seeing flows following
Market Context and Investor Sentiment
Q2 marked by steady domestic fundamentals despite global pressures from higher crude, firm US yields, and stronger dollar
Foreign outflows and volatility absorbed by strong domestic participation
Industry SIP inflows reached record high of INR 32,490 crores in September 2026
Mutual fund industry AUM expanded 13% YoY and 5% sequentially to INR 87.5 trillion
Industry unique customers reached 6.3 crores, an 11% YoY increase
Investor sentiment showing maturity with continued SIP flows despite market volatility
YTD NIFTY correction of 8.2% while SIP flows continue increasing
Strategic Focus Areas
Four key pillars: democratizing wealth creation, accelerating digital delivery, strengthening investment performance, and building new growth engines
Expanding alternatives platform with focus on private equity and private credit
Enhancing capabilities across active, passive, and alternative strategies
Growing international reach through GIFT City and offshore mandates
Continued focus on B-30 cities and financial inclusion
