Prudent Corporate expects over 20% mutual fund revenue growth in FY27, despite new SEBI rules squeezing the fees it earns from clients.

Chairman and Managing Director Sanjay Shah shared this outlook this week, adding that the company’s insurance arm should grow even faster.

That confidence comes despite a rough patch on yields. Prudent’s average yield slipped from about 91.2 basis points to 88.4 basis points after SEBI revised how mutual fund trail commissions work, the ongoing fee distributors earn for as long as an investor stays invested.

Shah pointed to this change, along with the usual seasonal softness in the insurance business, as the main reason revenue softened during the April to June quarter.

Even so, the bigger picture looks stronger. Prudent’s assets under management have crossed ₹1.40 lakh crore, and its monthly SIP book keeps climbing too, touching ₹1,203 crore in June, up 21% from a year earlier.

Shah expects this rising AUM and steady SIP inflows to push revenue higher through the rest of the year, as long as markets stay stable. Insurance looks set to be the faster growing piece of the business.

The company is targeting 40 to 45% growth in health insurance premiums this year, with the overall insurance book expected to grow at least 30%.

Newer life insurance products launched over the past year should add to that momentum as well. These comments follow a strong Q1 FY27 print.

Consolidated revenue rose 18.3% year on year to ₹347.6 crore, while net profit jumped 44.4% to ₹74.76 crore.

Operating margin expanded to 25.6% from 22.9% a year earlier, helped by better commission economics and cost discipline.

Prudent Corporate currently commands a market capitalisation of around ₹11,882.68 crore.

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