Striving Success Stories 8_July

OUR PARTNER’S JOURNEY OF DETERMINATION AND PERSEVERANCE

Amar Shah Head - Retail & Institutional Business ICICI Prudential AMC For many of you, some of the most defining moments in personal space set course to be where you are today. Through the ICICI Prudential Mutual Fund Striving Success Story Series, we present 13 success stories of individuals who have not only trail blazed in their journey but also have emerged to be an inspiration and mentors to several more around them. Through this series, we bring the human element of a successful journey. Behind the numbers, is a story of grit, determination and an iron will to make best of the circumstances life throws at them. In this Series we are sharing the stories of Achin Jain & Nitin Avasthi, Diwakar Sharma, Kushinder Singh Narula, Mrs. Mukul Pravin Kulkarni, Nalini Kanta Dhar, Nawendu Kumar Saha, Niraj Kumar, Raji Reddy, Rakesh Kumar, Ramkumar H Barchha, Sadanand Thakur & Sujay Thakur, Shirish Baburao Dantkale & Vijay Ravindranath Javalgekar and Vishal Sodhi & Manpreet Singh. In the quarters ahead, we will be sharing more of such inspirational stories. We hope these experiences shared become a beacon of light for all the members of the distributor fraternity. At ICICI Prudential Mutual Fund, we firmly believe the journey thus far has been enriching thanks to the active participation of the distributor, investor community. Over the years, based on the feedback received, we could bring forth investment products, solutions across asset classes which could resonate with the needs of the masses. Along with this, thanks to your perseverance, mutual fund today has created an edge for itself in the personal finance space. Finally, if you have any feedback or suggestion, feel free to reach me at [email protected].

Striving Success Stories Achin Jain & Nitin Avasthi About their approach towards the clients in general, Achin said, “We provide the service of wealth Dehradun management in totality. Our main focus is thus on clients' expectations from the investments that they wish Achin Jain, 41, and Nitin Avasthi, 43, business partners at to make.” ESGL Client Alley Money Services Private Limited started the mutual fund distribution business in the year 2014. Not only this, both Achin and Nitin also ask the clients Today, their company, based in Dehradun, has assets about any prior investment experience, good or bad. It under management worth ` 400 crore in mutual funds is also important for them to know if a particular client and a monthly SIP book of ` 1.7 crore. has an aggressive or moderate approach towards investments in general. “The process of acquiring clients With an experience of around two decades working at is lengthier in our case as only after all the due diligence various banks in the wealth management sector, Achin on their investment experience in the past, pros and cons and Nitin had always been confident of being able to set of the present investments, future goals and risk appetite, up a successful business of their own. we recommend suitable asset allocation to them,” Nitin shared. “We were well-known and had good credibility among our clients, while in our full-time jobs. So, when we Due to this approach, their clients have high satisfaction decided to start a business together as partners, many and retention rate and they do not face any panic-driven clients chose to support and follow us,” Achin said. They redemption even when the markets are volatile. believe that having an independent business has its bright side. “We have the liberty to remain unbiased and Talking about the DIY apps that have enabled many guide the clients purely on the basis of their risk appetite investors to invest in capital markets in recent times, and financial goals,” Nitin said. Achin said, “I think this is indeed beneficial for the business. These apps have enabled the people to get a As per Achin and Nitin, clients generally face some glimpse of the capital markets, who otherwise would common challenges when they seek guidance for their have invested in the traditional investment instruments finances from a bank employee. “Normally, in case a only. Now they are at least becoming more aware through particular bank employee leaves the job, his clients have these apps.” to adapt to the advice and nature of working of the new employee. This is something that they do not have to face Having said that, he emphasized that lack of proper in our company as we will always be present to guide knowledge and guidance can lead to considerable losses them, this being our own business,” Nitin said. when investors invest through such platforms, leading them to become discouraged to invest in future. Thus, Both Achin and Nitin being trained management Achin and Nitin suggest the clients and investors to professionals (MBA), believed that they had the valuable always discuss their financial situation with MFDs in domain experience and knowledge required to become order to ensure proper asset allocation as per their needs successful entrepreneurs. and future goals. “From the very beginning, we had decided to ignore all Their advice to those who have just started as MFDs is to the challenges and never look back once we start on our be passionate about the business and give unbiased own. We decided to talk to our existing clients who advice keeping only the clients' benefits in mind. “As an already trusted us. They supported us and soon, we also MFD, one also needs to educate the clients from time to got referrals from them which further helped us expand time about the importance of being patient which will our business in a short time,” Achin said. lead to considerable gains in the long-run,” Nitin said. Today, their company has a team of eight service Going forward, Achin and Nitin wish to improve the managers in different cities of the country to handle the portfolios of their existing clients by better research on portfolios of over 350 families based in India and abroad. the products and solutions across different asset classes in the market.

Striving Success Stories Diwakar Sharma Diwakar reveals that it is the attitude of MFDs towards the investors that makes all the difference. “If as an MFD, we Ranchi are positive and show the brighter picture to our clients during the times of market volatility, it will help to Diwakar Sharma, 42, is a mutual fund distributor based in convince them not to redeem but instead, to remain Ranchi, Jharkhand with assets under management worth patient with their investments,” he said. ` 63 crore and monthly SIP book of ` 50 lakh. Diwakar encourages his clients to invest in Systematic Diwakar worked in the insurance sector for about three Investment Plans (SIPs) regularly. He considers SIPs as a years before starting his own mutual fund distribution win-win proposition for both - clients and the MFD. “I have business in 2008. He believes that sales and marketing clients who belong to diverse financial backgrounds. had always been his niche. There are clients who have amounts as low as ` 1000 invested in SIP and others with amounts in lakhs invested So, even though he did not have an educational in SIPs,” he explains. background related to finance, he worked hard initially to update his skills and knowledge about the various He aims to build his SIP book further in the coming years. investment instruments to cater to his clients during his He feels that in a place like Ranchi, it will be quite a initial days as a freelance insurance advisor. milestone to achieve a monthly SIP book amounting to ` 1 crore. At present, he considers having a monthly SIP At present, he has an active client base of more than book of ` 50 lakh as the biggest achievement of his 700 investors, spread across the country. Diwakar career so far. also shared his experience of gradually maturing in the MFD business. When asked about the most important qualities that could make an MFD successful in the long-run, “When I started this business, I targeted clients whom Diwakar said, “I believe the most important thing to I did not know personally. At that time, this profession build credibility in this business is to be honest with was not much valued in general. Also, it was a big the clients.” challenge to acquire clients as mutual funds were not as popular as the traditional methods of investments He further shared how some clients completely depend like fixed deposits or life insurance,” he said. on the MFDs to make their investment decisions. He believes that any person can theoretically become an Now, he believes that there has been a sea-change in the MFD by learning and updating one's skills and knowledge financial literacy among common masses in the city of about mutual fund schemes but if he is not trustworthy, Ranchi. “People have become more aware and they have he will not be able to become a successful MFD. started choosing mutual funds over fixed deposits now,” he said. Talking about those investors who are investing in direct equity through the DIY (do-it-yourself) apps, Diwakar said, Diwakar's approach towards his clients is to first know “I do not think that investors who are investing through about their financial background, number of dependent these platforms are having a proper financial plan. Even if family members, age, and future goals. Accordingly, they start with a plan, they tend to redeem their money as he guides them to invest in the most suitable mutual soon as they feel that they are getting a profit and this is fund schemes. not how investments should work.” When asked about how he handles them when the According to him, MFDs play an important role in guiding markets fall, he said, “I show my clients the positive the clients to plan their investments taking their risk side of it. I showcase all the events in the past when the appetite and future goals into consideration. markets fell but after a point, the markets went up. In this way, I convince them to invest more when the Going forward, Diwakar aims to achieve an AUM of ` 100 markets fall.” crore and monthly SIP book of approximately ` 1 crore in the next two years.

Striving Success Stories Kushinder Singh of high returns to the clients while suggesting mutual Narula fund schemes. Our job is to make them aware that investment in mutual funds requires patience and only if Saharanpur they remain invested even when the markets fall, only then, they will be able to gain when the markets rise later Kushinder Singh Narula, 35, is the Founder of Narula on,” he said. Investment and a mutual fund distributor based in Saharanpur, Uttar Pradesh. With assets under With 1,700 clients at present based in Saharanpur and management worth approximately ` 50 crore and other parts of the country, Mr. Narula believes that the key monthly SIP book of around ` 50 lakh at present, Mr. to being successful in this business is to remain updated Narula started the mutual fund distribution business about the latest developments in the financial sector and in 2014. to always remain loyal to the clients. Before starting his own business, Mr. Narula had “If MFDs are well-educated and constantly updated, it will worked as a banking and insurance professional in boost their confidence when they handle their clients' various reputed companies. Remarkably, he had started queries. Also, it is very important that MFDs suggest the assisting in account opening with a bank even before mutual fund schemes to their customers based on their his graduation. risk appetite and future goals and not just because a particular scheme is popular at the time or it provides After he completed his graduation, he chose to continue better commission,” he said. working in the financial services industry. He considers the experience he gained while working in his full-time Mr. Narula also shared his thoughts on investors starting jobs at mid-level and management positions in various investing in direct equity through the various do-it- financial services organizations really valuable. It came in yourself (DIY) platforms. “I do not believe that this handy when he decided to start as an independent MFD. advancement in technology is going to affect the MFD business in the long-run. In fact, it is quite the opposite. When asked about his inspiration to choose the MFD As the investment amount of the new investors business, Mr. Narula shared, “I was working as a manager increases, they would definitely require someone to give in my last full-time job in Saharanpur. I thought that in them the right advice and handle their portfolio. So, I feel order to improve my standard of living, I would have to it is actually a boon for the MFD industry as new investors change the place of work itself or start my own business. are constantly entering the market through these apps,” Many people I knew were doing quite well in their he said. independent financial services businesses,” he said. This is when he felt that despite the competition, considering Talking about the financial literacy in the city of his prior work experience in the financial sector, he could Saharanpur, Mr. Narula shared, “Presence of social media also set up a successful business. He decided to quit his has brought about a slight shift in the awareness about job in 2013 and start his own business the next year. investments among people here. ButI feel knowledge also depends on a lot of other factors like infrastructure. When asked about his approach towards his clients, The city is still in its developing phase. I am sure that specially at the time when the markets are volatile, Mr. gradually, as it will become more resourceful and Narula said, “First of all, it is quite natural for the clients to developed, it will lead to better opportunities for people panic whenever the markets are volatile. Our job as MFDs to become more aware of the importance of investments is to educate the clients about it in advance. I focus on in general.” the risk appetite of my clients before suggesting any investment schemes to them.” Going forward, Mr. Narula aims to grow his business in the next 20 years for his children. “I want my children take According to him, clients need to be made aware in my legacy forward and run this business in the future. My advance about market fluctuations and also about the aim is that my children should be able to generate benefits of long-term investments in case of mutual employment through this business in the coming years,” funds. “I personally do not think that the MFDs should talk he said.

Striving Success Stories Mrs. Mukul Pravin order to be successful in the mutual fund distribution Kulkarni business, one needs to be very clear and transparent with the clients. Sharing her advice for those who have just Nashik started as mutual fund distributors, she said, “Only the trust of the clients will help in client retention in the long- Mrs. Mukul Pravin Kulkarni, 52 is a mutual fund distributor run. Gaining the confidence of a client is a gradual based in Nashik, Maharashtra, with assets under process. So, an MFD must always be patient and deal management worth ` 240 crore approximately and a with the clients with utmost honesty.” monthly SIP book of ` 60 lakh. Talking about the fact that many investors are choosing Being a science graduate, Mrs. Mukul was a teacher to invest in direct equity through the various DIY (do-it- before she started the financial services business with yourself) apps, Mrs. Mukul said, “I feel that it might pose her husband, a Chartered Accountant. a bit of a challenge for the MFD business. But, at the same time, it can be misleading for the investors as well. “My husband was always interested in the financial I have met with a couple of clients who redeemed their investments field and wanted to start a business in that investments at an unsuitable time due to lack of direction. As a Chartered Accountant, he already had awareness when they first invested through such apps.” clients who used to take his advice for tax-related purposes. He encouraged me to acquire all the necessary Then, when such clients approached her, Mrs. Mukul said certifications related to insurance and mutual funds so she had to convince them that long-term investments are that we could then provide other investment services to the preferred method of getting good returns when it our existing clients and target new clients who would be comes to mutual funds. “Patience and proper guidance interested for investment advice,” she shared. are key for long-term returns in mutual funds. Most of the times, this kind of guidance and support can be provided This is when in the early 2000s, she started preparing for only by an MFD,” she said. the necessary certifications with the support of her husband. Today, she, along with her husband run a Sharing some of the important initiatives that she and her successful financial services business in Nashik with husband take to spread financial awareness among over 2,500 clients (retail and HNIs). people, Mrs. Mukul said, “We regularly hold awareness programs in our office, especially for women and When asked if it was somewhat difficult for her when teenagers. According to me, it is very important that the she had just started meeting the clients as it was a youth should start investing as soon as they start earning. completely different field for her, she said, “It was not very Also, I have seen cases where after the unfortunate death difficult to encourage those clients to invest, who were of the investment holder, the women of the family were already taking my husband's advice for taxation purpose. not even aware that they were the nominees on those Initially, it was just a bit difficult to encourage and retain investments. We helped them through the entire new clients as there was not much awareness about process,” she said. Mrs. Mukul noted that there is still a mutual funds when I started,” she said. lack of financial awareness in the city of Nashik, especially among women. However, it was not something that posed much of a challenge for her and her husband as the business Sharing her experience of the Covid-19 pandemic, she started gaining momentum gradually due to client believed that it has proved to be a transforming phase for referrals. Now, their daughter, who is a Certified Financial her business. “Before the Covid-19 pandemic, only about Planner (CFP), has also joined them and she mostly half of our business operations were done through online handles the clients from outside the country or those who platforms. Now, almost 90% of our business operations are young or have just started their investment journey. are online,” she shared. Mrs. Mukul shared that her basic approach towards the Going forward, Mrs. Mukul aims to achieve an AUM of clients is to suggest investment options on the basis of ` 300 crore in the coming years and improve the client their risk appetite and future goals. She believes that in base as well.

Striving Success Stories Nalini Kanta Dhar Talking about many investors investing in direct equity through the various do-it-yourself (DIY) apps and if it Odisha would affect the MFD business in the long run, Nalini said, “It might affect a bit but one needs to be practical. Nalini Kanta Dhar, 59, is a mutual fund distributor based There will always be limitations of how much business in Odisha, with assets under management worth ` 130 one can handle. Also, considering that a large chunk of crore and a monthly SIP book of ` 45 lakh. the population is still not investing in mutual funds, there is a lot of scope for the MFDs. I feel that if one can focus An MBA in Marketing and an Engineer by training, Nalini on a particular segment of people, then there is no dearth chose to enter into the mutual fund distribution business of clients in this business.” solely out of his passion for investments and finance. After several years of being in full-time engineering jobs, Also, according to him, as the investment corpus of a he decided to quit a well-paying job and start as an client increases, they would not mind spending a little independent MFD in 2004. extra on consulting MFDs to save the effort of handling their portfolio on their own. When asked about the inspiration to start on his own, Nalini shared how his journey started with his own He believes that a responsible MFD can actually generate investments. “In 1986, I started saving and investing in a higher alpha for an investor during their investment bonds for my personal gain. Gradually, the subject of journey through proper asset allocation, fund selection economy, finance and investments started capturing my and managing emotions at crucial junctures. curiosity. I began reading up a lot on the subject and was always updated about the latest developments in the One such example he shares is clients' emotion- markets. Over time, I also started suggesting and management during times when the markets are volatile. discussing investments with my friends and colleagues,” Nalini shares that he advises his clients to remain patient. he said. Over time, his passion became his profession. “When the clients panic at such instances, I share all the Now, he is also a Certified Financial Planner (CFP), the first past events when investors had similar experience and MFD to become one in the city of Rourkela, Odisha. only those who were patient and remained invested throughout the difficult phases, were able to gain in the With 1,600 clients at present, Nalini shares that he long-run,” he said. helps most of his clients in their retirement planning, as a major chunk of his clients are those who are about When asked about his advice to those who have just to retire in the coming years. One of the important started as MFDs, Nalini said, “The first step is to develop aspects of his approach towards his clients is to cordial and trustworthy relationship with the clients. Also, prepare his own literature like presentations, articles and one needs to remain updated all around.” even calculations. According to him, India is now a coupled economy and All of this material mainly covers each and every most companies have a global presence. In order to important market development such as issues of NFOs, be successful, MFDs must constantly remain updated market risks and volatility due to various global events about the latest developments, not just in India, but and what to do in such situations. He presents these across the world to help their clients take the right articles to his clients during their meetings regularly for investment decisions. their better understanding of the market and take investment decisions accordingly. In order to gain clients' trust, he also believes in providing value added services to them like helping them Notably, he is also a contributor in leading Odiya with tax filing even if it does not necessarily provide newspapers and a guest faculty in management colleges. additional revenue. Accordingly, his social profile also adds to his credibility among the clients who are able to readily trust him with Going forward, Nalini plans to expand his business their investments, given his knowledge about the markets. presence to more cities in Odisha, from two - Rourkela and Bhubaneswar - at present.

Striving Success Stories Nawendu Kumar Saha Sharing some of his achievements as an MFD, Nawendu said that he has a client who started with a SIP of ` 2000 Bhagalpur with him and gradually invested more. “At the time when he became my client, his daughters were quite young. At Nawendu Kumar Saha, 44, is a mutual fund distributor present, he has purchased a house and funded the based in Bhagalpur, Bihar with assets under management education of his daughters from the gains that he has worth ` 25 crore and monthly SIP book of around been able to achieve through regular mutual fund ` 45 lakh. investments,” he said. A commerce graduate, Nawendu started the mutual fund He considers such contributions that he has made in distribution business in 2009 with a prior experience of people's lives as the biggest milestones of his career. working in life insurance companies for a couple of years. “There are clients who started investing in mutual funds “I started in the financial services industry in 2008 by only when I guided them, and today, because of my working for a life insurance company. Gradually, I became guidance, they prefer mutual fund investments over the aware about mutual funds and decided to enter the MFD traditional instruments like Fixed Deposits and Post business,” he said. Office Savings,” he said. Initially, due to lack of knowledge about mutual funds, he Talking about financial literacy in the state of Bihar, worked really hard to update and improve his knowledge Nawendu said, “When I started, people were not aware and technical skills respectively by attending trainings about mutual funds. I needed to explain everything in and seminars. “Firstly, the challenge was to remain detail to my clients at that time. Today, people have updated about the latest financial products or mutual definitely become more aware about mutual funds.” fund schemes. Choosing the right scheme as per the needs of the clients was the next step,” he said. However, he said there is still a lot of scope as most people still do not know how to choose the appropriate Being a new MFD, it was initially difficult to make the mutual fund schemes as per their needs or goals. right recommendations, but today, with an experience of “Choosing the right mutual fund scheme depends on over a decade, he serves close to 900 clients, spread all each person's individual needs. This is where taking the over India. advice of an MFD is recommended,” he said. “I used online modes and methods to connect with my He also explained how some of his clients, who had clients, when I started mutual fund distribution. As a started investing in direct equity through do-it-yourself result, I have clients all over India, some of whom I have (DIY) apps, came back to him after incurring losses due to not met personally. I guide them through virtual meetings lack of proper guidance. or over phone calls from time to time,” Nawendu said. Nawendu believes that challenges like changes in His approach towards his clients is to have a detailed government policies or volatility in the markets due to discussion about their needs, expectations and goals in various domestic or global socio-political events are part the first couple of interactions. “My approach is to make and parcel of the MFD business. the clients aware in advance about the pros and cons of mutual fund investments. I encourage them to think it His advice to new MFDs is to focus on their aims despite over and take their time before deciding to invest in any any challenges. “MFDs must focus on the targets that mutual fund schemes,” he shared. they have set for themselves and work hard with patience to achieve them,” he said. At the same time, he also This approach enables him to build his credibility and recommends disciplined investments from time to time trust among his clients. “Once my clients invest with my to his clients to reap benefits in the long-run. guidance for the first couple of years, they develop ample trust in whatever I recommend and are ready to invest Going forward, Nawendu wants to expand his business without hesitation,” he said. and open more offices in different parts of the city of Bhagalpur and other parts of Bihar.

Striving Success Stories Niraj Kumar His trust-based long-term relationships with clients and his honesty in doing business and focus on clients' Darbhanga benefits helped him develop a strong goodwill among his investors. \"I am a very service-oriented person. I know my Niraj Kumar, 38, is a Darbhanga-based mutual fund existence is all because of my investors. If they grow, so distributor in the state of Bihar. Managing investors' will I,\" explains Niraj. assets worth ` 30 crore, he caters to nearly 1500 retail clients. Niraj, who is in deep love with his profession, The strong connect with investors, whom he considers commands a monthly SIP book of ` 70 lakh and firmly like his extended family, did not let him face any brunt of believes that investing in mutual funds is not only right but the direct plans. \"This business is all about relationships is necessary for all. and trust. The day it is broken, business won't flourish,\" he says with a conviction. A higher secondary pass out, Niraj, eldest among the four siblings, wanted to pursue engineering. However, the Trail-based model was fast being adopted by many family's poor finances did not let him fulfil his dream. distributors post 2013. However, Niraj remained on Right from a very early age, the financial burden of the upfront till it was eventually banned in 2018. \"To run my family and looking after his three younger sisters came on expenses, I needed upfront payment. Possibly, I could not his young shoulders. understand the long-term benefits of trail,\" adds Niraj. He got into tailoring business with his mother post his A sudden shift to trail did hurt his business for a few higher secondary but in vain. In 2005, when Niraj was months. Now, however, Niraj says trail commission is way barely in his 20s, he entered the financial distribution better than upfront. \"It's a win-win situation for all and I business by joining a broking firm. Markets were in the feel as if I get a monthly salary,\" he laughs. bull rally, investors' experience was good and a young Niraj could learn finance-related matters and honed his During the 2020 pandemic, Niraj faced no redemption skills in distribution. from any of his clients. \"In fact, they called to invest more,\" he says asserting the fact that an educated client does After gaining knowledge and confidence, in 2008, he not panic during tough times. began mutual fund distribution independently. \"The initial two years, I did my business on foot as I did not even have In the next five years, he aims to reach an AUM of ` 150 a cycle,\" says Niraj with a smile. crore and endeavours to take his SIP book to ` 2 crore. The timing of his entry in the fund business could not be According to him the fund industry has tremendous any worse to coincide with the 2008 market crash. growth potential going forward. He advises new entrants However, he had a clear understanding about the long- in the fund distribution business to be knowledgeable term growth prospects of mutual funds and encouraged and come with a lot of patience. \"There are no shortcuts in clients for additional purchases. this business to grow. It takes time,\" he asserts. \"No client exited,\" says Niraj proudly who considers As things stand today, he is a proud brother as two of his educating clients and offering services are his primary sisters have got settled and married well. One is a doctor task. The 2008 crisis helped Niraj gain experience and his and the other one is a practising CA. Meanwhile, the confidence strengthened. youngest sister is pursuing Masters in Technology. The 2009 entry load abolition did hurt him, but finding no Niraj got married in 2019 and encouraged his wife for other options, he stayed put in his business with a higher education. \"Recently, she completed CA,\" he says positive attitude that whatever happens is for a better with pride. tomorrow. \"I had to look after my family and sisters' education. So, I continued with mutual funds and focused Summing up his journey, Niraj says his success mantra is on generating volume,\" narrates Niraj. honest hard work and up to date knowledge while keeping investors' interest first.

Striving Success Stories Raji Reddy lost,\" he puts his thought process. It was here that referral business picked up big time which propelled Hyderabad Reddy further. Raji Reddy, 59, is a Hyderabad-based mutual fund By now, Reddy was inching towards an asset size of ` 100 distributor managing investors' assets worth ` 200 crore. crore. The entry load abolition in 2009 did create some Serving nearly 2000 clients, he commands a monthly SIP tremors but he chose to stay in the business. \"Given my book of over ` 1 crore. With a motto of creating wealth two decades of experience in the financial world by then, I for people and enriching the society, Reddy considers was sure that measures taken by the regulator are for his profession as a noble one offering him happiness good and there is no need to unnecessarily panic about and peace. the same,\" says Reddy. Reddy, son of a farmer, did his graduation in fisheries in He opted for the trail model as he understood the power 1987. Having a tilt towards finance, he joined a national of trail much ahead. \"Since my business was for life time, distributor in 1990 and continued there for over a decade. trail was a much better proposition,\" explains Reddy. During this period, he gained experience and sharpened his financial management skills. During the consolidation phase of 2009-13, Reddy cleared his CFP and started focusing on building up SIP In 2002, he quit his job and began his independent book. \"This was the time of accumulation of units at lower journey. A man of strong ethics, Reddy started from prices which I told my investors. The learning at the CFP scratch and did not shift investments of his clients at his course helped me tremendously and in the last one previous employer. \"I don't believe in that. I firmly knew decade I could double my AUM,\" pinpoints Reddy. that I had to work hard and create my own client base. Thanks to my experience and knowledge, I was confident During the 2020 pandemic, the strong technology I would do it,\" says Reddy. support did not let him feel the pain of transactions. Though some SIPs were stopped and some investors As years passed, he saw traction and the investor base redeemed to take care of the financial strain, Reddy's steadily got built up. He was quick to adopt technology clients were mature enough about the long-term during 2005-06 which proved highly beneficial. With the prospects of investments. \"In the initial few months rally in the market, his investors were happy as their during the pandemic, there was not much fresh inflows. portfolios rose and they gained confidence in mutual But later, business picked up well and investors put in funds. A believer in asset allocation and continuous additional funds for investments,\" he reminisces. education as keys for a successful investment journey, he ensured his investors have diversified portfolios Reddy has a conviction in strong growth prospects of the across assets. mutual fund industry from here on. He sees himself at an AUM of ` 500 crore in the next five years. According to Amid the 2008 crash, his investors were worried. \"Though him, mutual fund distribution is fast evolving as a I was witness to several market cycles earlier, as an reasonable paying sector. independent player this was my first crisis,\" recalls Reddy. He wasted no time and established contacts with his He encourages newcomers to join the distribution investors and explained why they needed to remain industry but adds, \"this business needs patience, up to invested without getting into panic mode. date knowledge, relationship building and client-centric approach,\" he outlines his advice. Majority of his investors listened to him and acted accordingly. As the market bounced back within a year, Summing up his journey, Reddy says he wishes to open a clients who gave heed to Reddy could see the strong rural branch as he feels still a lot has to be done in recovery while those who quit, regretted later. \"It educating masses. Coining his success mantra, he says, happens. You can't ensure all investors will stay put. \"Hard work along with smart work, honesty, taking this Some do panic and move out only to see the opportunity profession as a social responsibility and enriching the nation is the road to success.\"

Striving Success Stories Rakesh Kumar by then that mutual fund was a great product but somehow the fund business got sidelined as I focused Muzaffarpur more on postal instruments,\" admits Rakesh. Rakesh Kumar, 45, is a Muzaffarpur-based mutual fund In 2013, one of his investors put in a sum of ` 10 lakh and distributor in the state of Bihar. Serving 500 clients, within a year the portfolio gave over 30% return. This mostly retail, he manages investors' assets worth ` 50 encouraged Rakesh and soon he started getting referrals. crore. With a monthly SIP book of ` 25 lakh, Rakesh \"Understanding the power of mutual funds, I started believes that there is no alternative to mutual funds when putting more effort and since then I never looked back,\" it comes to long-term wealth creation. he says happily. He shifted to the trail model as he developed a clear understanding about the long-term An economics student, Rakesh completed his graduation benefits of trail-based income. in 1996. Given the financial stress in the family, he entered the insurance sector a year before passing out The trust and long-term relationships with his clients did from college. not let Rakesh face the brunt of the direct schemes. \"Initially, there was a lot of noise that direct would push \"I would ride cycle to conduct distribution business,\" distributors out of business. But nothing of the sort reminisces Rakesh. He soon added postal instruments in actually happened in my business. My value additions his product basket which greatly helped him make a and continuous services did not let the direct impact me. I strong client base. am not afraid of direct plans as I am confident that investors need hand holding,\" he explains. In 2005, one of his friends in the financial sector advised him to start mutual fund distribution. \"I had heard about Rakesh adopted technology and started offering digital mutual funds but did not know anything about it,\" says services to clients in 2016. He acknowledges that Rakesh. Nevertheless, he joined his friend as an assistant technology has helped him considerably in reaching and learnt the basics of mutual fund distribution and where he is today. Especially during the pandemic, his gained knowledge. digital presence was very helpful. His continuous impetus on imparting education among his clients and making In 2008, he got his own ARN and stepped into mutual them aware about long-term and goal-based investing did fund distribution on his own. His strong postal client base play a role during the lockdown. \"Barring a very few gave him the initial push. \"Barely I had entered the sector clients, none panicked. Rather, I was successful in that the financial market crashed. I wondered whether I convincing them to invest more as the deep crash during made a mistake?,\" says Rakesh with a smile. For him, it 2020 was an opportunity to create wealth,\" adds Rakesh. was altogether a new experience. His clients' portfolios have more than halved within a year and he faced Five years down the line, Rakesh aims to reach an AUM of questions from investors. ` 100 crore as he firmly believes that the mutual fund sector has a very bright future. \"Sky's the limit for mutual \"I was new to the sector and did not have the confidence funds. If people have to improve their standard of living, during those days. Still, I tried to make investors there is no other option but mutual funds,\" he says with understand that they should stay put in the market. a conviction. Majority listened to me as people had faith in me,\" narrates Rakesh. Those clients who acted as per his He advises newcomers to join the sector and boosts their suggestions could see a strong and robust recovery in confidence. According to him, the distribution demands their portfolios within a year. patience and honesty which one must have. However, the entry load abolition did slow down his Summing up his journey, Rakesh says his success mantra business and the long range-bound movement in the is honest behaviour with a client-focus service. \"If you are market during 2009-13 did not let Rakesh fully a good service provider and want growth of investors, concentrate on mutual funds. \"Though I had understood nothing can stop you. My growth is in my clients' growth,\" he signs off.

Striving Success Stories Ramkumar H Barchha When the 2008 crisis hit the market, his clients were in a state of shock. \"I knew, in difficult times, running away Rajkot was not the solution. I believed in the theory that corrections are temporary and growth is permanent,\" he Ramkumar Barchha, 49, is a Rajkot-based mutual fund says with conviction. distributor with an investors' assets of ` 500 crore. Catering to over 200 families - mostly HNIs, he has a Ram took the opportunity to explain about the crisis to monthly SIP book of ` 1.2 crore. investors. \"I ensured my clients withstand the crisis and did not let them convert their notional losses into He says he is mainly into emotional management of permanent loss,\" emphasises Ram. clients so that they remain on the track of wealth generation. His preference for maintaining transparency As the market bounced back within a year, trust and by adopting technology quite early and conveying all confidence of his investors strengthened in Ram. The investment related details to clients made him a 2009 entry load ban did not bother him. Rather, he was trustworthy name. quick to adapt to the new trail model. A commerce graduate, he completed his MBA in 1996 \"Though my income had not substantially risen but and assisted the family's business. Himself being an volume was. I had a fair understanding about the investor, he would sometimes give investment ideas to beneficial impact of trail, which is marked to market his close friends and relatives. At times, he would get valuations, and stayed put in the business,\" he explains. the relationship managers of financial institutions to help Soon he crossed his dream target of ` 100 crore in 2009. his friends in their investments. However, often the financial agents offered a wrong product to clients. This The direct plan launch was a non-event for him. \"Though did not go well with Ram. initially there was a lot of noise about direct and clients did experiments only to come back to me. They realised the His father asked him to start the distribution business on importance and relevance of distributors who handhold his own. Ram was a little reluctant but then agreed to them during different phases of the market,\" he adds. pursue. \"This was the turning point in my life,\" recalls Ram. In July 2002, Ram entered the mutual fund During the 2020 pandemic he raised a lot of money as his distribution. Those days, awareness about mutual funds investors were educated by now. \"I told them upfront that was poor in Rajkot and there were hardly any offices this was the time to buy more and accumulate to create of mutual funds. \"I had to go to Ahmedabad to submit larger wealth,\" says Ram with conviction. forms and attend training sessions by fund houses,\" he reminisces. According to him, the mutual fund industry is unstoppable with very bright prospects. \"Earlier people \"Once during the training session, we were asked to write would ask what mutual funds are but today they say on the canvas our dream. I had written ` 100 crore. Many Mutual Funds Sahi Hai,\" says Ram. of my colleagues had told me to be reasonable. I had told them, what's the big deal in simply writing it,\" he laughs. He aims to reach an AUM of ` 1000 crore in the next 5 Ram ensured that he began with unknown faces. \"I knew years. Ram tells newcomers to distribution to be serious. that close relatives and friends could be tapped anytime. \"A casual approach won't take you anywhere. Managing Slowly and steadily as his business picked up, the client people's money is a highly responsible job for which one base increased. needs to adhere to certain basics and keep upgrading knowledge. The business needs time and no shortcuts During the rally which lasted till 2008, his clients turned work,\" he says in a piece of advice to new entrants. wealthier and their confidence in Ram increased. Ram was predominantly into hybrid funds and focused more Talking about his success mantra, Ram says, \"Don't sell. on educating clients on a continuous basis. \"If your clients Not selling is the biggest selling.\" Treat clients as are aware, they tend to make fewer mistakes,\" says Ram. your patients while taking care of their interest first, he concludes.

Striving Success Stories Sadanand Thakur & kicked off well. In 2018, he reached an AUM size of ` 35 Sujay Thakur crore, over 8 times of what he started with back in 2014. His hard work paid off. Chiplun Sadanand wanted someone to assist him in his business. Sadanand Thakur (66) and Sujay Thakur (36) are He discussed this with his son Sujay Thakur who was in the Chiplun-based father and son duo mutual fund the banking sector for a decade. \"I told my son, this distributors in the state of Maharashtra. Serving nearly business has bright prospects and it will grow if we work 800 families, they manage investors' assets worth ` 80 hard. Sujay understood the business dynamics and crore while their monthly SIP book stands at ` 65 lakh. For decided to join me in 2018,\" says Sadanand with a smile. them building trust-based long-term relationships with investors is the key to be successful. The decade-long experience of Sujay readily helped the business and the father and son duo did not have to look After graduating in 1978, Sadanand did several jobs back. Now Sujay has taken up the role of meeting clients before starting his own tax consultancy in 2000. and roaming different cities and places to grow business. Alongside, he entered the insurance business also. The duo left no stone unturned to propel their business Within five years he brought in mutual funds too in his with passion. Digital presence helped them add value to product basket in 2005. their customers. However, there have been several ups and downs During the 2020 pandemic, the first major crisis for them, in Sadanand's life since 2000 till 2014. Financial stress they faced no difficulties when it came to transactions, due to losses in share market trading and family thanks to their digital presence. They engaged more with responsibilities did not let him concentrate on mutual the investors and explained about the situation. \"We had fund business. \"I did not take mutual fund business to handhold clients in such tough times. Educating them seriously,\" he openly admits. does help for long-term growth,\" says Sadanand. Though there were some redemptions, the duo managed to It was in 2014, after almost a decade of getting the ARN, convince the majority of investors to stay put and buy Sadanand got serious about the mutual fund business. more during this time. Those who acted accordingly \"My AUM was merely ` 4 crore in 2014. I decided to emerged wealthier. concentrate solely on mutual funds,\" he says. According to them, the growth prospects of the mutual He was already 58 years then but had a strong sense of fund sector is immense. \"I believe in India's growth story. humour. \"I got serious at an age when people retire,\" he If the economy is growing, the mutual fund industry has says with a laugh. But for him, age is just a number. \"Your to grow,\" says Sujay. Over the next five years, they aim thoughts define your stage of life,\" he adds. to reach an AUM of ` 250 crore. \"Educating, spreading awareness about mutual funds and convincing clients \"I don't have any control on yesterday. But, we can about the benefits of mutual funds is our job. Rest will be change our tomorrow by working hard today,\" he says taken care off by the market. We have to focus on our emphatically. Better late than never. By 2014, the industry work,\" the duo shares their thought process. already had undergone several changes and Sadanand wanted to have a fresh start. \"I knew I had to work hard. I They suggest to newcomers in the distribution industry to roamed a lot and started building my client base and have belief in themselves, work hard with patience, assets,\" he remarks. follow business ethics, upgrade knowledge and think long-term. He did a quick calculation about trail-based payout and concluded that trail would turn out to be a better business Summing up their journey, they say, \"Honesty and proposition. Consistency is our success mantra. We never mis-sell and remain away from any malpractices with focus on Sadanand wasted no time in shifting to trail and built clients' benefits.\" If clients' interest is looked after well, technology backup to serve investors well. His business nothing can stop you from moving ahead, they conclude.

Striving Success Stories Shirish Baburao Dantkale As the markets recovered, the trust and confidence of & Vijay Ravindranath their investors increased in Shirish and Vijay. \"In such Javalgekar situations, investors need someone to give them comfort and confidence,\" they add. Solapur Meanwhile, in 2009, the duo took the cloud-based Shirish Dantkale and Vijay Javalgekar, both 58 years of software in order to ease transactions and service their age, are Solapur-based partners in their mutual fund clients effectively. \"We have always been adaptive to distribution business and manage investors' assets worth technologies which greatly helped us expand our reach,\" ` 300 crore. Serving over 3,700 huge client base, the duo says Shirish. command a monthly SIP book of ` 2 crore. The entry load abolition in 2009 did not have any bearing Shirish and Vijay are second generation friends and post on the duo. \"Right from the beginning we believed in the their college life both wanted to be in the financial market. trail-based business model. Since we think long-term, Being commerce graduates, they started their business nothing but trail would help us grow and sustain in the in the secondary market and tax consultancy after long-run,\" pinpoints Vijay. completing their chartered accountancy in 1990. \"Both of us have the same thought processes and always wished Post the recovery in 2009 as the market entered a long to work in the financial sector,\" they say. consolidation mode, the duo pushed SIP and told investors this was the time to accumulate units at lower Though they focused more on the secondary market costs. The launch of direct schemes too did not dent their business, they entered mutual fund distribution as well in business. \"The strong relationships and our clients' trust the mid-90s. However, absence of mutual fund offices or did not let them go away. Rather, we witnessed several relationship managers in their city posed difficulties and investors coming back from direct to regular plans,\" they did not focus much on the business. Shirish says with a smile. But as things started settling down and transparency The 2020 pandemic turned out to be a big opportunity for emerged, the duo began to take mutual funds seriously the duo. Their over two decades of continuous clients' by 2004-05. \"However, there were several regulatory education helped considerably. \"Hardly 4-5 clients were in changes in between which were quite unsettling but we panic mode. No one else redeemed. Rather they were kept on doing hard work. Investor base was building up encouraged to invest more by way of additional and markets were in the rally. Several of our clients could purchases. The strong digital presence immensely see the potential of mutual funds in creating wealth helped Shirish and Vijay during the lockdown period. during that phase,\" recollects Shirish. This helped his investors gain confidence in mutual funds as an According to them the mutual fund industry's growth investment product. prospects are bright and as penetration rises further the sector would do much better. Without disclosing where \"Our work is to show the right way to investors for they see themselves 5 years down the line, the duo say creating long-term wealth which should address their they are confident they would grow manifold from here on. financial goals. Continuous education and instilling confidence among clients has to be consistently done,\" Advising the newcomers in the distribution sector, Shirish explains Vijay. They believe that if clients are informed and says, \"It is a noble profession which takes a minimum 5 educated, they don't panic during tough market phases. years of hard work to bear the fruits. One needs to build confidence among clients. It is not a part time job, it The going was quite good for the duo and their clients till demands your full time.” 2008. The global meltdown in the financial market did make their clients worried. \"It was obvious for investors to Summing up their success mantra, the duo say, \"We panic in a situation like that. But it is here that our role would not have come this far without honesty, patience, increases manifolds. We hand held our clients, explained integrity and client first approach. Our success is in the situation and took them into confidence and kept investors' growth.\" them invested,\" narrated the duo.

Striving Success Stories Vishal Sodhi & Manpreet investors equally. Whether a client has a ` 100 SIP or Singh ` 10,000 SIP, every client needs to be given the same kind of attention, he said. Saharanpur According to Vishal and Manpreet, what is really Vishal Sodhi, 41 and Manpreet Singh, 41, are business important to become successful in the MFD business is partners in VM Financial Services, a financial services to address the clients' queries in a timely manner. partnership firm based in Saharanpur, Uttar Pradesh. The “Along with being really patient, an MFD must always be company has assets under management worth ` 60 crore ready to meet the clients or attend to them whenever and monthly SIP book of around ` 65 lakh. required. We work for around 10-12 hours everyday just because we try to accommodate the clients at their Vishal and Manpreet started working together as chosen time, whenever they want to meet us or speak to insurance agents in the year 2001. After dealing in life and us,” Vishal shared. health insurance for more than a decade, they decided to enter the mutual fund distribution business in 2013. Also, the team tries to meet at least 10 clients every day. They feel that if the clients' queries are left unanswered “We realized that diversifying our services was necessary for long, then they would try to seek guidance elsewhere at the time. We felt that only life or health insurance would and retaining them can get difficult. They also shared that not help our clients achieve their future goals,” Vishal it is important to regularly meet some of the long-term said. Today, their company has more than 3,000 or old clients also and guide them towards investing in clients (mostly retail) with around 95% of them based new schemes as per their changing risk appetite and in Saharanpur. financial goals. Vishal and Manpreet have a planned and structured Talking about many new investors presently investing in manner of looking after their clients' needs. They have direct equity through the various DIY platforms, Vishal divided their responsibilities to bring out the best shared, “I have a close relative who had invested some of results for their clients. “We have an 8-member team his savings with me and invested the same amount of that assists us. Planning and working accordingly money through a direct app. When the Covid-19 enables us to look after the varied requirements of our pandemic began, he panicked and withdrew the amount business accompanied by efficient results for our that he had invested through the app but I guided him to clients,” Vishal said. keep his money invested with me and remain patient.” Talking about any challenges that they faced when they After the markets went up post the Covid-19 pandemic, started the mutual fund distribution business, Vishal said, Vishal's relative realized that he should not have “We already had a strong client base as we had been withdrawn the money invested through the app dealing in insurance for about 12 years before we started immediately as he actually booked a loss due to the lack the mutual fund distribution business. So, it was not of proper guidance. much of a challenge for us as our credibility was already established in the financial services arena.” On the other hand, the similar amount that he had invested with Vishal doubled when the markets went up. As per Vishal said that most of the time, their focus has been on Vishal, some guidance is definitely necessary which is not building the AUM through investments in Systematic available when people invest through the DIY apps. “In the Investment Plans (SIPs). “Today, we have clients who DIY apps, redeeming the investment is just a click away. If have invested almost ` 1 crore with us but only gradually an investor is not adequately aware about how mutual fund through smaller SIP investments over a period of time. schemes work, then, he could take hasty decisions I feel that this in itself is a milestone for our business,” without realizing the long-term impact,” he said. he said. Going forward, Vishal and Manpreet wish to reach an Not only this, Vishal and Manpreet along with their team AUM of ` 100 crore and a monthly SIP book of ` 1 crore in follow a simple success mantra of treating all the the next three years.