Risk Intelligence
Exit load removal impact on backbook yields
View Risks →Prudent Corporate Advisory delivered a solid FY26 with revenue growth of 19.4% and operating profit growth of 18.2%, despite market headwinds.
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Prudent Corporate Advisory delivered a solid FY26 with revenue growth of 19.4% and operating profit growth of 18.2%, despite market headwinds. Key drivers included record equity net sales of ₹13,900 crore and strong insurance premium growth (health +35%, life +28%). The launch of the AI platform 'Prudent Age' aims to enhance distributor productivity. Management expects employee cost to rise ~14% in FY27 and net yields to remain stable despite regulatory changes (GST rationalization, exit load removal). AUM has rebounded to ₹1.33 trillion as of May 5, 2026, providing a revenue tailwind. Risk: The impact of the 5 bps exit load removal on backbook yields remains uncertain, with potential 2-3 bps compression.
Exit load removal impact on backbook yields
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Read Transcript →Highest ever annual equity net sales, driven by SIP flows and industry acquisition.
Record quarterly net sales, partially offsetting mark-to-market losses of ₹14,550 cr.
Strong rebound from March lows; provides revenue tailwind for FY27.
Outstanding performance in health insurance vertical, driving overall insurance growth.
Salary bill increased from ₹8.93 cr in March 2026 to ₹10.2 cr in April 2026, indicating ~14% growth for existing employees.
The removal of 5 bps exit load benefit may compress backbook yields by 2-3 bps; full impact still unclear as some AMCs haven't communicated.
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