Ladies and gentlemen, good day and welcome to Nippon Life India Asset Management Q2 FY25 earnings conference call hosted by InCred Equities. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing the star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Jignesh Shial from InCred Equities. Thank you, and over to you, sir. Yeah, thank you to you, and good evening, everyone. On behalf of InCred Equities, I welcome all to Nippon Life India Asset Management Q2 FY 2025 earnings conference call. We have along with us Mr. Sundeep Sikka, Executive Director and CEO, Mr. Parag Joglekar, the Chief Financial Officer, and the senior management team of Nippon Life India Asset Management. We are thankful to the management for allowing us this opportunity. I would now like to hand it over to Mr. Sundeep Sikka, Executive Director and CEO of Nippon Life India Asset Management, for his opening remarks. Over to you, sir. Thanks. Good evening, everyone, and welcome to our Q2 FY 2025 earnings conference call. I have with us our CFO, Parag Joglekar, who has recently joined us, Chief Business Officer, Saugata Chatterjee, Deputy Chief Financial Officer, Amol Biloy, Chief Digital Officer, Arpanarghya Saha, Head of ETF, Arun Sundaresan, Head of AIF, Ashish Chugani, and Matsui-san, nominee of Nippon Life Japan. I would like to share some comments on the recent industry trends and our performance prior to addressing your questions. I would like to start by mentioning that in Q2 FY 2025, NIM India has achieved its highest ever quarterly profit after tax of INR 3.6 billion, as well as the highest ever quarterly operating profit of INR 3.65 billion. Further, our equity sales market share and SIP market share remain well above our equity AUM market share. Beginning with the markets, equity markets in Q2 FY25 displayed another strong performance overall. The Nifty moved up at 7.5% quarter-on-quarter, while Nifty Midcap and Smallcap indices rose by 7.1% and 7.6% respectively. RBI held the repo rate steady at 6.50%, while the ten-year G-Sec yield moderated by 26 basis points quarter-on-quarter to 6.75. Coming to the data on mutual fund industry, industry quarterly average AUM grew by 12% quarter-on-quarter and 41% year- on- year in Q2 FY25 to INR 66.2 trillion. Strong momentum in equity segment sustained as the share of equity in overall AUM continued to increase, ending at 60.9% for Q2 FY25, up from 53.5% in Q2 FY24. Now moving to the industry flows. The equity category, excluding index and arbitrage, witnessed a gross inflow of INR 2.78 trillion and a net inflow of INR 1.32 trillion. Both gross and net inflows were higher on quarter-on-quarter basis for a 5th successive quarter. Categories with the highest inflows were sectoral, thematic, multi-cap and multi-asset allocation funds. Moving on to SIPs. Investments via SIP route further increased, with the SIP contribution for the quarter being INR 714 billion, up 52% year- on- year and 14% quarter-on-quarter. Monthly SIP flow in FY-- in September 2024 stood at INR 245 billion, which was another all-time high. The fixed income category, that is, debt and liquid, witnessed a net inflow of INR 507 billion, which was lower on a quarter-on-quarter basis. The ETF category had a net inflow of INR 204 billion. At the end of the quarter, unique investors in mutual fund industry increased to 50.1 million. That is an increase of 24% year- on- year. Now moving to our business performance. We closed the quarter with total assets under management of INR 6.54 trillion. This includes mutual funds, managed accounts and offshore funds. Our mutual funds quarterly average AUM grew 14% quarter-on-quarter and 57% year- on- year to reach INR 5.49 trillion. This made us the fastest growing AMC among the top five over a period of six months, one year and three years time frame. We also had the highest increase in quarterly AUM market share on a year- on- year basis among all AMCs. Now, I would like to share a few key highlights for the quarter. Starting with the market share. Our market share increased nine basis points quarter-on-quarter and 83 basis points year- on- year to 8.29, with the market share increases across most asset categories. This is the sixth consecutive quarter of market share increase that we have witnessed. Our equity market share also continues to improve. It increased by eight basis points quarter-on-quarter and 43 basis points year-on-year to 6.96. This is the highest equity market share post-2000 December, post-December 2020. The share of equity AUM in our overall AUM continues to increase and stood at 51.1% for Q2 FY25, up from 49.8% as of Q1 FY25. We achieved a high single-digit market share in equity and hybrid categories in Q2 FY25. However, excluding NFOs, our market share would be in double digits. We continue to have the largest base in the mutual fund investor base in the mutual fund industry with 18.9 million unique investors. We are humbled to have over one in three mutual fund investors in India who invest with us. I would like to touch upon some important aspects on our systematic book. I'm happy to share that there has been a continued uptake in our systematic flows over the last thirteen quarters, which has led to an increase in market share. The SIP's market share increased by 52 basis points to 9.88% over June 2024 to September 2024. This also represents an increase of 385 basis points over March 2023, when our SIP's market share was 6%. Our monthly systematic book rose by 22% quarter-on-quarter and 81% year- on- year to INR 31.4 billion for September 2024. This resulted in an annual systematic book of INR 376 billion. I would now like to update you on an increase in headcount witnessed in the quarter. Our employee headcount increased by 85 employees in Q2 FY 2025. As stated in the previous call, we have inducted 55 management trainees from premier institutes in July 2024. As AIF remains an important focus area for us, we have also added resources on this front. We will continue to invest in future growth, including talent, technology, and other areas. Now moving briefly to ETF segment. We continue to be one of the largest ETF players with an AUM of INR 1.48 trillion and a market share of 18.2%, which increased by 37 basis points quarter-on-quarter and 414 basis points year- on- year. Our share in industry ETF portfolios is 57%. We are 56% of ETF volumes on BSE and NSE. Our ETF average daily volumes across key funds remain far higher than the rest of the industry. Further, our gold ETF is now the eleventh largest passive gold fund globally. To further strengthen our passive offerings, we launched two new products in index fund category during this quarter, namely Nippon India Nifty 500 Equal Weight Index Fund and Nippon India Nifty 500 Momentum 50 Index Fund. Moving to our digital franchise. Digital purchase contribution rose to INR 3.97 billion in Q2 FY 2025, up 160% year -on- year. Digital business contributed 70% of our total new purchase transactions in Q2 FY 2025. ONDC is one of the major initiatives taken by Government of India towards financial inclusion. Nippon India Mutual Fund was a part of the first-ever mutual fund transaction on ONDC platform that happened at the Global Fintech Conference in August two thousand and twenty-four. Now, I would like to briefly update you on our subsidiaries, namely AIF and Singapore operations. Starting off with our AIF, under Nippon India AIF, we offer Cat II and Cat III AIFs and have total commitments of INR 67.7 billion across various schemes. Fundraising is currently underway for our listed equity AIF, performing credit AIF, and direct venture fund. During the quarter, we have undertaken closing of one of our real estate credit AIF, a follow fund to the existing real estate mandate from Japanese investors. On the offshore front, we have witnessed good equity inflows in the quarter from various international geographies. Offshore AUM grew by 56% year- on -year to INR 172 billion. Our US equity fund has crossed an AUM of $500 million, and we continue to explore new and niche offerings in the Indian equity space for international investors. Now, onto our financial performance. For Q2 FY25, revenue stood at INR 5.771 billion, up 44% year- on- year and 13% quarter-on-quarter. Other income stood at INR 1.21 billion, up 55% year- on- year, and down 8% quarter- on- quarter. Operating profit stood at INR 3.65 billion, up 57% year- on- year and 19% quarter-on-quarter. Profit after tax stood at INR 3.6 billion, up 47% year- on- year and 8% quarter-on-quarter. The tax component in the quarter includes a one-off impact owing to the change in the tax regime post the budget. That is removal of indexation benefit on debt funds invested prior to March thirty-one, two thousand twenty-three, and increase in short term and long term capital gain on equity mutual funds. For H1 FY25, operating profit grew by 58% year- on- year. Profit after tax grew by 44% year- on- year. Further, the board of directors have declared an interim dividend of INR 8 per share, along with the Q2 FY25 results. To conclude, I would like to again mention, we have been the fastest growing AMC over six months, one year, three years, and we will endeavor to grow our journey of profitable growth going forward as well. With this, I would like to conclude my remarks and open the floor for questions. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on your touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Ladies and gentlemen, if you wish to ask a question to the management, you may press star and one. The first question is from the line of Krupanshu from Thinqwise Wealth. Please go ahead. Hello, can you hear me? Yeah. Yeah, please go ahead. Yeah. So you mentioned, that ONDC, we had our first transaction. So I just wanted to understand, how is ONDC helping you and the industry at large, basically? And if you could just speak about, ONDC in general. I just wanted to understand that one thing. Thank you. Sure. I will request my colleague, Arpan, to give some inputs on this. But I just like to give an initial comment. ONDC is Government of India's largest initiative, equivalent to or bigger than UPI, and it will help a lot, for financial inclusion in India. I think, our transaction is in spirit of, continuous innovation that we plan to do and launch new products and try to keep exploring new avenues to reach small investors in small cities and towns. In line with that, I think I'll request, Arpan, if he wants to add anything else. Thank you. Thank you, Sundeep, and thank you for the question so the Open Network for Digital Commerce is, as Sundeep mentioned, an initiative by the Government of India. The objective is to democratize digital commerce to reach out to the numerous sellers and buyers across the large masses in this country. Also at the heart of our digital strategy, we believe that in order to have inclusion of new customers for the mutual fund industry, it's important to go beyond the B2B partnerships and touch upon the retail space where people are still who still not got touched on the mutual fund industry, and we believe that ONDC would be a great platform, which will gain a lot of momentum in the years to come. Each and every Indian customer who would be able to, you know, invest in a Nippon India mutual fund along with the rest of the industry. Especially, the huge base of B2C customers in tier three, four locations at the grassroots, where, you know, internet has penetrated, but because of, you know, people's saving skills, the mutual fund is just starting to gather momentum. This is the right time to do that. Nippon India, in fact, was the first asset management company to partner and get an opportunity with ONDC to start the mutual fund business on this platform for the consumer. Thank you. Thank you, sir, for the detailed answer. So just, one follow-up on that. So are we, like, paying ONDC for some kind of, data analysis from that sense for those, cities where we cannot have reach? Just wanted to understand one thing. Thank you. We are not in any kind of payment structure because we believe that both ONDC and Nippon have the same vision of inclusivity for the digital commerce space, and therefore, it is important that, you know, we jointly get customers to the mutual fund forum. So I think that's the overall vision that we have jointly concluded for. Got it. Thank you. That's it from my end. Thanks for your question. The next question is from the line of Lalit Deo from Equirus Securities. Please go ahead. Good evening, sir. Congratulations on a good quarter. So just two questions. Firstly, on the SIP flows. So we have gained about more than 50 basis points of market share on a sequential basis. So just wanted to understand, like, which are the categories we are seeing a huge improvement in the SIP flows? And also you could talk. Could you talk about the different channels where we have been gaining market share? So let me, I'll request my colleague, Saugata Chatterjee, to answer this question. Yeah, thanks, Lalit, for this question. Yeah, so SIP for us, like, we have been mentioning in the previous calls, it's a very, very important part of our strategy. And, when we are trying to acquire these SIPs from the various parts of India, we use multiple channels. For us, digital is a big channel. We also use the feet on street model, where our mutual fund distributors, the banks, and the various stockbroking arms, you know, they are all, you know, on board. They have all onboarded our funds, and, through the retail channels we acquire these SIPs in the market. The good part is we have a very strong franchise of beyond thirty channels who are participating in our SIP growth. So it's a cumulative effort of digital, non-digital, physical effort which we are putting on the ground to increase the SIP book. We also do a lot of digital marketing activities using our you know on our existing client base to enhance the SIP book, as well as to ensure that multiple products are you know acquired through the digital channel. That's the way we are increasing our SIP book. Sure, sir. Thank you. And so secondly, on the yield side, our calculations suggest that the revenue yields have broadly been remained stable on a quarter over quarter basis in the standalone business. But despite the strong growth in the overall AUM, so could you give us the segment-wise yields, like, have you seen any pressure across different segments? Yeah, hi, Amol here. On the yields, on the yield side, because of telescopic pricing as the AUM grows, I think the pressure on the yield would continue, as we have been maintaining this saying over the calls. For the current quarter, the yields stood at around 37 basis points, a drop of around point five basis point, quarter-on-quarter. As far as asset class-wise is concerned, the yield on the equity stood at around 58 basis point. On debt, it stood around 25 basis point, on liquid, around 12 basis point, and on ETF, around 15 basis point. Sure. And so, like, just another thing is, like, so one of our competitive peer has probably cut distribution yields on the back book of the distributors. So going ahead, do we see any similar kind of action from our side just to protect our revenue yield? Lalit, I think as a process, we continue, always keep evaluating wherever there's an opportunity. As I mentioned in my closing remarks, I think we will continue focusing on profitable growth. As a part of that, we have in the past also, we looked at our brokerages, and we will continue doing that. Irrespective of what the competition does or not do, I think we continue our focus on yield. While we have seen a lot of increase in the market share, but between market share, top line and bottom line, our focus is always going on bottom line. Sure, sir. Yeah, that will be helpful. Thank you, sir. The next question is from the line of Shreya Shivani from CLSA. Please go ahead. Hi, thank you for the opportunity. So just wanted to check on the tax bill that has come in. So whatever was the expense that we would have incurred because of the change from March 2023 till now, we've taken all of it in Q2, we should not expect anything higher than this coming up in the coming quarters? I'm just asking because this tax rate was a big question mark for this quarter, and your tax rate and what probably your peer has reported is very different. And I understand the mix is very different, and so many things could be different for the calculation of it, but just to I just wanted a clarification on that. Second, I wanted to check that, on the employee addition, you've mentioned, you had mentioned 55 management trainees will join in July. And had you also mentioned about 45 new employees to be addition in this financial year? So it looks like there are 90 people added in FY25. This is my second question. And my third question is, just something that I was wondering, that on your small and mid-cap fund, so I understand that, if I take Nippon Small and Mid-Cap Fund as a market share of the total small and mid-cap industry, then it dipped a little back to about 13% or so. Do we internally keep any market share limits over here, or any market share limits in the non, in the other, large cap, et cetera? Because there you've significantly gained market share in the ex-small and mid-cap equity portfolio. So do we internally keep any limits, any ranges that we want to be in? Those are my three questions. Thank you. Yeah. Thanks, Shreya, for the question. So I will take the tax part of it, and then probably, other colleagues can take the other part. For the tax one, see, how we go about when we provide for taxes on a yearly basis, what is the effective tax rate that we foresee that is going to happen? So on that basis, what we foresee is, the tax rate for the year is, as of now, the tax rate, forecasted 25.7% of, roughly around 26%. A nd that is, that is what you will see in the half-yearly results, tax rate, if you look at it. So we, that is how we proceed. As mentioned, so we have taken the full impact of the change in the tax rate and the, indexation benefit, that is for one. We have taken the full impact of that in this quarter. So I think on the other two questions on the employees, I think we have added hundred and thirty employees in H1. Forty-five were added in Q1, and eighty-five have been added in Q2. I think we broadly feel for this financial year, we broadly have been, this number will not go up, maybe by about, another ten or, ten, fifteen, but, we have finished our recruitment for this year. That is point number one on the employees. Coming to the other question on the small cap and market share, I think we do not like to approach it like from a market share of a segment point of view. I think from our focus is very simple, that I think we'll continue. Every fund, every category is important for us. We will ensure that we continue to deliver superior returns and let the investor decide where he wants to come. I think they have to put individual market share targets in a subcategory. I think we feel that is not a very customer-centric approach. Let customer take the decision whether he wants to come based on this appetite. From our perspective, overall, as a portfolio, every fund is equally important, so we should. It's not small cap is more important than others. And, as we have mentioned in the past, the inflows for us, even after we put a cap on small cap, inflows we are seeing across the various funds. So I think, I don't know, I hope this answers your question. Yeah, that's useful. One more question if I can add, on your managed account, that book. Okay, I'm not very sure of this, but that includes your AIF business, right? The INR 825 billion. Yeah. Yeah, that includes. Yeah. So, I was just trying to understand that book has been largely flat between June and September. So any color around that? What has happened, and some color around that would be useful. So broadly, I think you're right. I think it's broadly been flat. There has been some fundraise, but there's also some maturities. There are some funds which have matured, I think, and they have seen an outflow. From our perspective, I think as I mentioned earlier, we are currently underway in our a fundraise for our listed equity, performing credit and a direct venture fund, which is a venture fund technology fund. So, as you can understand, unlike mutual fund, many of these things, and some of these are also firms, so they take a little time, and they are more binary. You know, it takes, it's not like a SIP which is ticking in, you know, every day. Mm-hmm. I think we believe we are building up a strong foundation. Even maybe in the next quarter or two, also, you might see it as relatively flat, because it will take a little time, but I think all I can say, this is going to be an important business for us. Got it. So should I interpret it as it is an account whether inflow, outflow can be chunky? That bit is correct, right? If the money can come in huge amounts and then exit in huge amounts, right? So I think, again, I think there are two parts to it. You know, I mean, definitely when you look at the offshore mandates and all, they are chunky, and they are chunky. You know, so what happens is, many times, you know, you'll see one mandate kind of going out. But I want to also clarify, I think what you're seeing in the managed account, a very large part of the managed account is also the PLI, the Postal Life Insurance mandate that we manage, you know? Mm-hmm. I think that also has a reflection of mark-to-market, their flows and inflows, but your bigger question on, I think what I want to touch is the AIF remains very critical for us. A lot of things, when I talked about recruitment also, headcount. I specifically mentioned we are adding a lot more, you know, senior resources in our AIF business, and I think we're building a strong foundation for future. Got it. This is very useful. Thank you so much, and all the best. Thank you. Thank you. Ladies and gentlemen, if you wish to ask a question, you may press star and one. The next question is from the line of Prayesh Jain from Motilal Oswal. Please go ahead. Yeah. Hi, good evening, everyone. Firstly, I just wanted to understand the behavior of the customers, especially coming in from the digital players like, you know, Groww, Angel One, and those kind of digital customers. Is it, you know, that a lion's share comes to the top three schemes top-ranked in the category and the lower schemes get much lower share? So basically trying to understand whether the quartile importance of quartiles is kind of receding and the top three ranks is kind of holding up better? So that would be my first question. I think, I would not like to go with the for, customers of a particular channel, you know, coming to ABC distribution, you know, which digital partner. But I think broadly what we have seen in digital, I think, investors which are coming through digital are also offline. They are, they can be divided in two different categories. There are investors who are, you know, especially, you know, some of the first-time investors for whom the returns become a very, very important thing. I think they look at the, only the returns. But I think what we have seen as investors mature and, they try to see a longer track record of the companies which have been... How they have performed over different market cycles. And no two investors are the same. I think these are the investors. I think there will be investors who like to see funds which have a track record of twenty years. I think for them, some investors, that could be a very important thing. For some investors, performance of the last quarter for that one year could also be important. There's no single trend that we can figure out from digital channels. But I think one thing that we will see that works, whether it's digital or offline, funds having a long-term track record and have performed through different market cycles, they tend to get away with the lion's share. You know, irrespective in one or two quarters, you can see a little bit of slip here or there, but consistency over a long period of time is what, you know, I think that's about it. G ot that. Secondly, you know, on the international fundraising and international, what are the recent developments and what are the things that you guys have planned for the next couple of years? So I think we are at this point of time. I think there are two parts to it. I'll break it down, Japan and ex-Japan, you know? I think as a regular day-to-day basis, with our unique structure, and we have some advisory mandates globally, which keeps happening. But I think we've also seen a lot of interest from Japan. We are at this point of time. I think while I won't be able to give specifics, but over the next six-to-nine months, you will see a couple of new funds, India-dedicated funds, getting launched in Japan, which will be managed by us. And ex-Japan? In the next six to nine months. So you said a couple of schemes in Japan in the next six to nine months, right? Yes. Yes. And, what about ex-Japan? Ex-Japan, I think we continue, you know, I think, because Japan is our home country, I think we're very strong there. But other than that, also there are a couple of years, I think we have seen money from a sovereign, a Middle Eastern sovereign wealth fund that we're managing. We are seeing flow coming from Europe also. But I think it is, that is in line with what we are seeing the flow coming, but Japan, we have a distinct advantage being the home country for us. I think we are very bullish for that. Okay. And last question is on the commission structure. You mentioned that you make corrective actions here and there. But, is it a trend that, you know, you basically to protect the further fall in yields from here on, you know, with respect to the growth in AUM, would you want to kind of link the commission structure to the TER and, you know, rather protect your yield as well by passing on the hit of the TER to the distributors? Is that a thought that we are working with so that, you know, our yields kind of get protected in further falling TERs because of the telescopic structure? I think I won't get into the nitty-gritty, but I think my sense is you will see industry moving towards that. Okay. Okay. Got it. Thank you so much, and all the best. Thank you. The next question is from the line of Madhukar Ladha from Nuvama Wealth Management. Please go ahead. Good evening. Congratulations on a great set of numbers. So just, you know, a couple of questions from my side. I don't know whether you have already addressed them, so if I missed a little bit of the call. First, is there any some reduction in prior quarter equity yields? And just want to get a sense of what is driving that. And if you could also give your segment-wide yields, that would be useful. Second, what is driving such a strong other income? And third, even if I adjust your tax amount by the 29.5 crores of the deferred tax liability, our tax rate for the quarter is still quite low. So what is happening there? You know, if you could help us with that. Yeah, Madhukar, I think I'll request Parag and Amol to take this question. Madhukar, I think Amol covered the realization which we have. There is a slight drop because due to this telescopic pricing in equity, it has dropped from 59 or so to 58 around. That is there. As telescopic pricing, there will be some movement in the yields which will happen on equity. Debt remained in the range of around 24-25 basis, and liquid remain in the range of around 12 basis. Got it. Yeah, on the other income front, Madhukar, I think it is more due to mark-to-market than anything one-off or something like that. It is purely mark-to-market. It is on the investment that we have in the mutual fund equity and debt scheme. So there's nothing- That's why the tax rate is low, because. Yeah, tax definitely. Yeah. The higher the other income, it could have a positive impact on the overall tax rate. Yeah. Yeah. Got it. Okay, thanks. Thanks. Thanks. Thank you. The next question is from the line of Darshan Shah from Multi-Act Equity. Please go ahead. Yeah, thanks for the opportunity. My question is on the commission rationalization part. So on what percentage of AUM have you rationalized the commission, and have you seen the full impact in this quarter? Yeah. Hi, Darshan, this is Parag this side. So commission rationalization, like we have mentioned in our earlier call, so we had done in our small cap fund, which was the largest fund of ours. We had done the entire on the entire book, the commission rationalization was done, which continues to fall in place, because we have now you know set up a system where as per the TER movement, the commercials keep going down in case of small cap fund. The similar logic has been applied to to all the new businesses which come in all the funds. So depending on the telescopic pricing drop or the telescopic method of drop in TER, the new brokerage structure to on the new flows continues to move in that direction. So we are technically, actually, it's the pass-through what is happening at this point in time. But there is no change in the back book commission side, except for the small cap fund? On the entire book, of course, it was the small cap fund, and we are evaluating. You know, as we progress, we will definitely keep assessing opportunities to, you know, look at the entire book on certain points. Okay. Thank you. Thank you. The next question is from the line of Santosh Kesari from SKK Wealth. Please go ahead. Hi. Am I audible? Yeah, yeah, please go ahead. Okay. Thank you so much for giving me an opportunity. A few queries from the financials. Like, I can see that our revenue quarter-on-quarter went up by 13%, whereas the PBT is up only by 10.78%. Now, in this kind of business, where the operating metrics is more in favor of the business, it should be more than the percentage of revenue that it went up by. So may I know the reason? It is because of ESOP cost? So if you look at it, you're right, the revenue from operation has gone over 13%, but the other income is down 8%, so that is also having an impact on the PBT level. So that's why the PBT is up by only 11%. Okay. And, what is the impact of ESOP cost in this quarter? And how long it will continue, if I can just, give full numbers? So the ESOP for the quarter it would be around INR 12 crores, 11 or 12 crores for this quarter. 11 crores, sorry, for this quarter. And for this year, as we have maintained that for this year, the ESOP hit on account of the ESOP granted would be around in the range of INR 42-45 crores. Ok ok. Second thing is from the business point of view, I guess, we haven't launched any new ETF or new fund for subscription by the investors. But even then, we can see that the fees and commission line is going up, like they are seeing an increase of almost 7% quarter-on-quarter and 23% year- on- year. So what's the reason that the fees and commission will go up while we are not launching any new fund? Sorry. Santosh, this is not only for the mutual fund, it is on the AIF side. That is why there is a slight increase on the fees and commission. What you're seeing is a consolidated basis. Yes, not mutual funds. Yes. Okay. Okay. And any reason, sir, we are not launching new funds? Because our competition is launching new funds, and they are collecting money in buckets. And, most of the subscriptions are hugely successful. A lot of funds are coming in, and their profits are also e ven though they are quite large, their profits are much more appreciating. quarter-on-quarter increment is much more than us. So any reason we are averse to launching new funds? Santosh, I think as we have mentioned in the past, you know, I think, we would not like to launch multiple NFOs. We'd like to focus, scaling up our existing schemes and, wherever we have good performance, continue creating wealth for investors and scale it up. We do not believe in launching NFOs, which is more an asset gathering strategy. From our point of view, the two principles guide us. Number one is to create wealth for investors, we focus on the existing schemes, and for the shareholders, we focus on profitable growth. So we do not want to be distracted by short-term increase in AUM, which comes with NFOs, which may or may not be sticky or sustainable from a long-term point of view. Okay, so that's the biggest call you have taken. And also, Santosh, Okay. Yeah. You were saying something, sorry. It's just, you know, a reference point should be that our net sales growth is very consistent over the last one year, month on month. So we don't get, you know, impacted by these NFOs, because there's a lot of term money which keeps coming in NFO. We are looking at fresh flows, which keeps giving us growth. Okay. Thank you so much. Basically, our share book has almost doubled. The market share has doubled in last three, four years. Yeah. We believe it is slow growth, but consistent and stable growth. Okay, thank you so much. Have a good day. Bye. Thank you. The next question is from the line of Amit Gupta, an individual investor. Please go ahead. Hello, am I audible? Please go ahead, Amit. Yeah, thank you for the opportunity. My question is, I think, most of the questions have been answered. The one question which I've been asking, looking to ask is, like, we are the leading player in the ETF and ETF segment, but we are not launching any innovative products like triple ETF, triple leverage ETF, which are like in US. Are we not allowed to launch such ETF in India, or we have not pitched those to SEBI to introduce such ETFs in India? Mr. Amit, I think already, I think we continue, like we had mentioned in the opening address, we launched two new products this time in this quarter, which was Nippon India Nifty 500 Equal Weight and Nippon India 500 Momentum 50 Index Fund. I think and these, some of these are industry first. We continue evaluating various products. Some of the products that you mentioned right now, some are not allowed by the regulator, and some also we believe very, I think we have a very strong view. I mean, in line with the earlier question which was asked, we like to launch products which are simple and easy for investors to understand. We do not want to get into complex products, which basically it's difficult for investors to understand. And while in short term they look very exciting, but from a long-term point of view, they may or may not be good for the investor. But we'll continue evaluating. I would also like to share with you our EPF and passive product suite is one of the largest in the industry, and so and which is also gets reflected in the number of investors and the total market share we have. Right. Thank you. Thank you and all the best. Thank you. The next question is from the line of Abhijeet Sakhare from Kotak Securities. Please go ahead. Hi, good evening, everyone. I just have a one, number question. What would be your realizations or, or yields in the pension and the offshore business? Generally, we don't give out those numbers. It would be in the range it will receive on the... On the government, it will be on the lower side, but on the AIF and other businesses, it could be in the range of 0.5-1.5 basis points. Got it. And just one more, if you can share any outlook on expense growth for the next, six to 12 months? Thank you. Abhijeet, the expense growth we are looking at ends up that we saw should be in the range of around 50-odd%. That should be the outlook we are looking at. Got it. Thank you so much. Thank you. The next question is from the line of Gaurav Jani from Prabhudas Lilladher. Please go ahead. Thank you, and congratulations on the quarter. So two questions from my side. One is, you know, slightly broader question. I mean, also according to the industry, I mean, not only you guys, but, you know, the last two odd years we have seen, you know, elevated commissions, elevated payouts, which is sort of normalizing, right, across some of the MNCs. So now could this trend continue for, one and a half, two years? I mean, or, you know, how should we look at it? That's number one. And secondly, what would be the impact on, you know, next year's overall for the industry and especially for the players that are doing well? Yeah, thanks. If I was to, I think will be very difficult to answer it for the industry, but I think one thing is very clear. I think if you were to see like any industry, there will be different players depending on what the shareholders, the board and the shareholders guide, whether you want to work for top line or bottom line. I think what you're seeing is basically, I mean, there will be industry players who continue pay higher commissions, for whom the market share is more important. As over multiple quarters, and including my address earlier, I mentioned, as a company, we will focus on growth, but it will be profitable growth. While I think we have seen profit, market share go up, but if ever it's a question between market top line and bottom line, it will be the bottom line that will guide us. So, for us, that will be the guiding principle. So simply what I understand is, you know, certain amount of flows can be compromised. If incrementally they do not add to the profitability, yes, we will. Understood. Thank you so much. That is it from us. Thank you. The next question is from the line of Bhavin Pande from Athena Investments. Please go ahead. Hey. Hi, congratulations on the great set of numbers. I just had one question regarding the filing that we had done last month, in which we spoke about investments made by erstwhile promoters. So has there been any measurable progress on that front? I think we continue working with the regulator. There's no new update. I think till the last update, which has been informed to the stock exchanges, there's no further update after that, and if there is any, I think we'll keep you informed. Very good. Congratulations. Thank you. Thank you. The next question is from the line of Jatin, an individual investor. Please go ahead. Yeah, good evening. My question is, like, whether Nippon India Mutual Fund will look to expand in other verticals like health insurance or life insurance in near future? I think as mentioned earlier, I think our focus will be on profitable growth within the regulatory framework that we can do. As per Section 24, I think we can only continue focusing on asset management businesses. We will continue focusing and expanding our businesses and continuously evaluate both growing organically and acquiring any business that is related to asset management. As and when there's anything further update, we'll continue, we'll be in touch with you. Okay. Thank you. Thank you. As there are no further questions from the participants, I would now like to hand the conference over to the management for their closing comments. Thank you very much. As I, as mentioned earlier, the management team will continue focusing on profitable growth. Thank you very much, and wishing all of you very happy Diwali. On behalf of InCred Equities, that concludes this conference. Thank you for joining us, and you may now disconnect your line. Thank you.