Mutual Funds & ETFs

What is Assets Under Management (AUM) in a mutual fund?

Assets Under Management (AUM) in a mutual fund is the total market value of all the money the fund manages on behalf of its investors at a given point in time. It rises and falls with both new investor inflows and the changing value of the fund's holdings, and it is often used as one indicator of a fund's scale. For example, a fund with Rs 5,000 crore AUM holds that combined value across all its unit holders. AUM describes size, not quality, so read it as context rather than as a measure of how a fund performs.