Zerodha Fund House, one of the latest entrants in the mutual fund business, has crossed asset under management of ₹1,000 crore in less than five months.

The fund house, which focuses only on passive funds, has added ₹500 crore in last 40 days. Zerodha Asset Management Company is a joint venture between online stock broking firm Zerodha and fintech company smallcase.

Vasanth Kamath, Founder and CEO, smallcase in X on Thursday said: “Heartening to see investor trust continue to compound at @ZerodhaAMC (a smallcase-Zerodha JV) with assets doubling to over ₹1,000 crore in just 40 days. It’s a reflection of the growing appetite for index-based investment products and we are grateful for all the feedback & ideas”.

“Also, very proud of the amazing team at ZFH that’s innovating with industry-first products while charting our own unique path by building differently — with a direct-only, passive-only approach,” he added.

Zerodha Fund House forayed into the mutual fund space with the launch of passive funds last October.

Strong performance

Vishal Jain, CEO, Zerodha Fund House, said there are currently four passive schemes with the first two launched last October.

The new fund offer of Zerodha Nifty LargeMidcap 250 Index Fund and ELSS Tax Saver LargeMidcap 250 Index Fund was launched last October and they have an AUM of ₹278 crore and ₹66 crore.

While two funds listed on the exchanges – Zerodha Nifty 1D Rate Liquid ETF and Gold ETF – have an AUM of ₹641 crore and ₹41 crore, respectively. These funds were launched in January and February.

Thanks to the sharp rally in the market, the fund house achieved its first ₹500 crore of AUM in February and doubled it in just 40 days.

At present, the mutual fund industry manages assets worth ₹55-lakh crore among 45 fund houses. The passive asset under management was ₹9-lakh crore as of last month.

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