Can Mutual Fund Software Track AUM Automatically?

For a Mutual Fund Distributor, Assets Under Management (AUM) is one of the most important indicators of business growth. It tells you how much investor money you are managing, how your client portfolios are distributed, and how your practice is expanding over time.

However, as your client base grows, tracking AUM manually becomes extremely difficult. Portfolio values change daily, investors add new SIPs, redeem units, or switch schemes — and every such transaction affects your overall AUM.

This is where mutual fund software becomes extremely valuable. Instead of relying on spreadsheets or manual calculations, the software automatically tracks AUM and organizes it into multiple analytical views that help MFDs understand their business better.

Let’s look at how this works.

What is AUM and Why Do MFDs Need to Track It?

AUM (Assets Under Management) refers to the total market value of investments that an MFD manages for clients.

For example, if your clients collectively hold ₹25 crore across different mutual fund schemes, your AUM is ₹25 crore. Tracking AUM helps distributors understand:

• The total size of their business

• Growth in client investments over time

• Which schemes or AMCs contribute most to the portfolio

• How diversified client portfolios are

• Which client segments are driving business growth

Without software, calculating and monitoring these insights becomes difficult because portfolio values change daily with market movements, but mutual fund software in India automates this entire process.

How MF Software Tracks AUM Automatically

Today, MutualFundSoftware collects data from transaction platforms, registrars, and portfolio records. The system automatically updates valuations and organizes them into structured AUM reports.

Instead of seeing just one large AUM number, distributors can analyze their business from multiple perspectives.

1. AUM by Fund House

This view shows how much client investment is allocated to each Asset Management Company (AMC).

For example, the report may show allocations such as:

• SBI Mutual Fund

• HDFC Mutual Fund

• ICICI Prudential Mutual Fund

• Axis Mutual Fund

This helps MFDs understand:

• Which fund houses contribute most to their AUM

• Whether portfolios are concentrated in a few AMCs

• How diversified the overall business is

It also helps during AMC reviews and portfolio rebalancing discussions.

2. AUM by Scheme

Another useful analysis is scheme-wise AUM tracking.

The top mutual fund software in India shows how much investment is held in each mutual fund scheme.

This helps distributors identify:

• Sche mes that dominate client portfolios

• Overexposure to certain funds

• Opportunities to rebalance or diversify investments

It also helps in monitoring scheme performance and investor concentration.

3. AUM by Clients

Client-wise AUM tracking is extremely important for managing relationships. Wealth Management Software shows how much investment each client holds.

This allows MFDs to:

• Identify top clients contributing to business growth

• Understand which investors have larger portfolios

• Segment clients for better servicing

For example, distributors can quickly identify:

• High AUM clients

• Medium portfolio clients

• Smaller investors

This segmentation helps plan client engagement and portfolio reviews more effectively.

4. AUM by Asset Allocation

AUM can also be analyzed based on asset allocation. The software categorizes investments across different asset types such as:

• Equity funds

• Debt funds

• Hybrid funds

• Other investment categories

This helps distributors understand whether portfolios are:

• Equity heavy

• Debt oriented

• Balanced across asset classes

Asset allocation analysis is extremely useful during risk discussions with clients. It helps answer questions like:

• Are portfolios too aggressive?

• Are they too conservative?

• Do they align with investor goals?

5. AUM by Families

Many investors invest as a family rather than individually. Portfolio Management Software allows MFDs to group related investors under a family portfolio view.

This shows the combined AUM of:

• Husband and wife

• Parents and children

• Joint family accounts

Family-wise AUM helps distributors:

• Understand the total relationship value

• Manage family wealth planning discussions

• Offer consolidated portfolio reviews

Instead of looking at scattered investments, MFDs can view the entire family portfolio in one place.

6. AUM by Registrar (RTA)

Mutual fund transactions in India are processed through registrars such as:

• CAMS

• KFintech

Back Office Software allows distributors to track AUM based on the registrar handling the investment.

This helps MFDs:

• Understand how much business flows through each RTA

• Simplify reconciliation processes

• Manage operational reporting more efficiently

This view is particularly useful for back-office analysis and operational management.

Why Automatic AUM Tracking Matters for MFDs

As an MFD’s business grows, manual AUM tracking becomes nearly impossible.

Imagine managing:

• 800–1000 clients

• Multiple schemes per investor

• Daily market valuation changes

Updating this manually would require constant calculations and reconciliation. MF Software removes this burden by:

• Automatically updating portfolio valuations

• Generating structured AUM reports

• Organizing data across multiple categories

• Providing instant insights into business performance

Instead of spending time compiling data, MFDs can focus on client servicing and portfolio strategy.

Final Thoughts

Modern platforms not only track AUM automatically but also organize it into meaningful insights. This structured visibility helps MFDs understand their business better, manage client portfolios more effectively, and make informed decisions without relying on manual calculations.

As the mutual fund distribution industry becomes more data-driven, automatic AUM tracking has become one of the most valuable capabilities inside the software.

FAQs

Can mutual fund software calculate AUM automatically?

Yes. Mutual fund software automatically updates portfolio valuations and calculates total AUM based on the current market value of client investments.

What is AUM by client in mutual fund software?

AUM by client shows the total investment value held by each individual investor. This helps MFDs identify high-value clients and manage relationships more effectively.

Can mutual fund software track AUM by scheme?

Yes. The software can show scheme-wise AUM, allowing distributors to understand how much investment is allocated to each mutual fund scheme.

Why is AUM tracking important for MFDs?

AUM tracking helps distributors measure business growth, analyze portfolio allocation, identify key clients, and make better investment and servicing decisions.