SBI Funds Management

What SBI Funds Management does

SBI Funds Management is India's largest asset management company and the mutual fund arm of the State Bank of India group, operating as a joint venture with France-based Amundi (Europe's largest asset manager). Founded in 1992 and headquartered in Mumbai, the company held 15.4% of the Indian mutual fund market share as of December 2025 with Quarterly Average Assets Under Management (QAAUM) of Rs 12.48 lakh crore, retaining the #1 position continuously since March 2021. It offers a comprehensive product suite spanning equity schemes (flexi cap, focused, sectoral/thematic such as Healthcare Opportunities, Energy Opportunities, Banking & Financial Services, Contra, ELSS Tax Saver), hybrid funds, debt funds, passive index funds, and ETFs.

The business model is fee-based and recurring: revenue is generated through Total Expense Ratio (TER) and management fees charged as a percentage of AUM, governed by SEBI's regulatory framework. Distribution is anchored by parent SBI's unmatched domestic footprint of 23,125 bank branches and 96 million YONO digital banking app users, supplemented by institutional mandates and IPO roadshows. Revenue grew from Rs 2,161.6 crore in FY23 to Rs 3,597.8 crore in FY25 (16% CAGR), with FY25 net profit of Rs 2,540.15 crore and a 59.98% net profit margin.

In March 2026, SBI Funds Management filed its Draft Red Herring Prospectus with SEBI for an IPO of ~10% stake as a 100% Offer for Sale by promoters SBI (selling ~6.3%) and Amundi (selling ~3.7%), with SEBI approval received in June 2026 and listing expected in early July 2026 — making it the third SBI-group listing after SBI Cards and SBI Life Insurance.

Name

SBI Funds Management

Legal name

SBI Funds Management Ltd

Website

https://sbifunds.com

Company type

Private

Founded year

1992

Operating status

Operating

Headcount range

251–500 employees

Short description

SBI Funds Management is India's largest mutual fund company (15.4% market share, Rs 12.48 lakh crore AUM), offering equity, hybrid, debt, and passive fund products to retail and institutional investors via State Bank of India's 23,125 branches and 96 million YONO users.

Ownership category

akta.pro rank

Product category

Asset Management

NAICS

Open-End Investment Funds (525910), Portfolio Management and Investment Advice (523940), Other Investment Pools and Funds (5259)

SIC

Investment Advice (6282)

akta.pro primary industry

Registered Investment Advisor (RIA) Wealth Management (FSAEABAA)

Keywords

• Mutual fund management
• Asset management services
• Equity mutual funds
• Passive index funds
• Institutional portfolio management

Headquarters

HQ city

Mumbai

HQ country

India

HQ region

Asia

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Technology or R&D, Others

Revenue model

1. Asset Management Fees (Total Expense Ratio / Management Fees): SBI Funds Management generates revenue primarily through asset management fees charged to investors as a percentage of assets under management (AUM). The Total Expense Ratio (TER) framework governs fee structures, with the company reporting net profit of Rs 2,540.15 crore in FY25 and a net profit margin of 59.98%, reflecting fee-based recurring revenue from its ~Rs 12.5 lakh crore AUM base.

Go-to-market motion1 record

Distribution channels2 records

Marketing channels5 records

Core offering

SBI Funds Management is India's largest asset management company offering a comprehensive range of mutual fund products including equity schemes (flexi cap, focused, sectoral/thematic), hybrid funds, debt funds, and passive/index funds/ETFs. The firm manages Rs 12.48 lakh crore in quarterly average AUM and distributes its products through State Bank of India's 23,125-branch network and the YONO digital banking app serving 96 million users. Revenue is generated through SEBI-regulated Total Expense Ratio (TER) management fees on AUM.

Product overview

SBI Funds Management operates as India's largest asset management company (15.4% market share, Rs 12.48 lakh crore QAAUM) offering a diversified mutual fund portfolio across equity (flexi cap, focused, sectoral/thematic funds), hybrid, debt, and passive/index/ETF categories. The company operates as a joint venture between State Bank of India (61.9%) and France-based Amundi (36.4%), distributing products through 23,125 SBI branches and 96 million YONO users. Core products include various mutual fund schemes (SBI Healthcare Opportunities Fund, SBI Contra Fund, SBI ELSS Tax Saver Fund, SBI Flexi Cap Fund, SBI Energy Opportunities Fund, SBI Banking & Financial Services Fund, SBI Equity Hybrid Fund, SBI Focused Fund) and passive products (target-maturity index funds like SBI CRISIL-IBX 10:90 Gilt + SDL Index – Dec 2029 and SBI Nifty G-Sec Jul 2031; ETFs including SBI Nifty200 Value 30 ETF and SBI Nifty Smallcap 250 ETF). The company also employs a proprietary in-house asset allocation framework for investment decisions.

Differentiator

Problem solved

Functional benefit

Products and services

• SBI Mutual Fund Schemes (Comprehensive Range)

Quantifiable outcome

• Revenue grew from Rs 2,161.6 crore (FY23) to Rs 3,597.8 crore (FY25) — a 16% CAGR
• +3 more outcomes

Segments2 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

One partnership is on record.

• Knowledge Marine & Engineering WorksminorOthers · 19 June 2026SBI Funds Management acquired a 1.64% stake in Knowledge Marine & Engineering Works through a block deal on June 19, 2026, for approximately Rs 79 crore. This represents an investment by SBI Funds as a minority investor/shareholder, not a commercial partnership.

Scale indicators7 records

Recent moves7 records

Expansion highlights4 records

Direct peers

• Mirae Asset Investment Managers (India): Indian arm of South Korea's Mirae Asset, one of the fastest-growing AMCs with strength in equity and passive/ETF categories; comparable Korean/JV parent dynamic to Amundi's role at SBI Funds.
• UTI Asset Management Company: Public-listed Indian AMC with strong retail equity franchise and one of the longest track records in the industry, partnered with multiple public-sector shareholders; competes head-on with SBI Funds for retail and institutional AUM.
• Axis Asset Management Company: Indian AMC under Axis Bank, distributing mutual funds through Axis Bank branches and digital channels; over-the-top peer given the bank-distribution-led GTM similarity and overlapping target customers.
• Kotak Mahindra Asset Management: Indian AMC owned by Kotak Mahindra Bank; leverages Kotak's strong retail private banking franchise and growing branch network for distribution; comparable product suite across equity/debt/passive.
• ICICI Prudential Asset Management: Top-three Indian AMC under ICICI Bank JV with Prudential Financial. Mirrors SBI Funds' bank-distribution partnership model (ICICI Bank is the parent channel) and competes directly on equity, debt, and passive categories.
• Nippon Life India Asset Management: One of India's leading AMCs (formerly Reliance Nippon Life AMC), public-listed, offering the full suite of mutual fund products through multi-channel distribution including its own pan-India branch network and IFAs.
• DSP Asset Managers: Reputed Indian AMC historically known for fundamental equity research; competes on active equity strategies and institutional mandates against SBI Funds despite smaller distribution scale.
• Aditya Birla Sun Life Asset Management: Large Indian AMC under Aditya Birla Group JV with Sun Life, distributing mutual fund products through a multi-bank/multi-channel network; direct competitor in equity, debt, and hybrid categories.
• HDFC Asset Management Company: One of India's largest AMCs (formerly HDFC Mutual Fund), a public-listed direct competitor offering equity, debt, hybrid, and ETF products across retail and institutional segments with bank-led distribution through HDFC Bank.
• Franklin Templeton Asset Management (India): Large global asset manager with strong India presence; competes on equity, debt, and hybrid fund categories with global product knowledge - parallels Amundi's international expertise contribution to SBI Funds.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights8 records

Customer concentration

• LinkedInlinkedin.com/company/sbi-funds-management-limited

Revenue estimate

Valuation estimate

Number of profiles

Profiles5 records

Funding overview

Funding rounds1 record

Investors14 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about SBI Funds Management