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Home / Business News / HDFC MF paid its chief Milind Barve Rs 26.21 cr last yr

HDFC MF paid its chief Milind Barve Rs 26.21 cr last yr

The disclosure follows a diktat from market regulator Sebi to all fund houses to reveal their respective top-management salaries

business Updated: May 02, 2016 20:45 IST
Press Trust of India
Press Trust of India

Top fund house HDFC Mutual Fund’s chief Milind Barve has got a total remuneration of Rs 26.21 crore for the latest fiscal 2015-16, but a large portion came from exercise of ESOPs previously granted to him.

Barve’s pay package included Rs 6.25 crore as salary component and Rs 19.96 crore came from exercise of ESOPs (Employee Stock Ownership Plans) that were granted to him earlier.

Prashant Jain, executive director and chief investment officer (CIO) with HDFC Mutual Fund, earned Rs 6.16 crore as a salary component and Rs 16.33 crore from ESOPs.

These ESOPs were granted over the period of 2008-2013.


The disclosure follows a diktat from markets regulator Sebi to all fund houses to disclose their respective top-management salaries. As several fund houses failed to comply with the Sebi order, the regulator said on Monday that it is a ‘non-negotiable’ requirement and investors must be provided data without any ‘extra filters’.

Many fund houses wanted the regulator to relax the rules or at least extend the deadline, and made a representation through industry body AMFI (Association of Mutual Funds in India) Monday evening before Sebi chairman UK Sinha, but were told in clear terms that “the requirement is non-negotiable” and must be complied with immediate effect.

Sebi told the fund houses that investors in any scheme are entitled for the information and “unhelpful and unnecessary filters in providing the information should not be applied”.

Regulatory sources said Sebi is of the view that fund houses with good profitability records have been forthcoming with the disclosure requirements, but others have been resisting the move.


The other executives of HDFC MF took home salaries ranging from Rs 13 crore to Rs 1 crore. As many as 38 persons received remuneration in excess of Rs 1 crore.

Sundeep Sikka, the top honcho of Reliance MF, received a pay package of Rs 13.74 crore -- which included Rs 3.5 crore as salary and over Rs 10 crore as a one-time payout. Sunil Singhania, CIO (equity investment) took home Rs 8 crore, which also included a significant one-time component.

Reliance MF paid a total compensation of Rs 41.5 crore to its top executives, which included one-time payouts comprising ESOPs as well as perks for marking the completion of 20 years of the fund house.

ICICI Prudential MF paid Rs 5.4 crore to its Managing Director Nimesh Shah, while S Naren, CIO at the fund house earned a salary of Rs 4.75 crore. A total of 15 executives received remuneration of more than Rs 1 crore.

ICICI MF is the largest fund house with an assets under management of Rs 1,75,880.87 crore, followed by HDFC MF (Rs 1,75,779.38 crore) and Reliance MF (Rs 1,58,408.45 crore)


In March, Sebi directed fund houses to disclose annual salary of all employees earning Rs 60 lakh or above within one month of a financial year, starting with 2015-16.

Accordingly, all fund houses needed to publish the details by Monday, after taking into account the weekend holidays for the last two days. This is part of Sebi’s effort to promote transparency in remuneration policies so that executive salary is aligned with the interest of investors.

While all fund houses ask for investor details like folio number and registered mobile number and email IDs for giving access to these details, a few of them have put in additional requirements such as name of the executive whose salary the investor wants to know.

Asking AMFI to ensure uniform compliance by all fund houses, Sebi has told them that ESOPs or incentives pertaining to other years may be indicated separately as an explanation.

After the meeting with the Sebi chairman, AMFI also told its members that the fund houses that no “impediments” should be created in providing the information and the remuneration for the purpose of disclosure would include all forms of income as defined under the IT Act.

It asked all fund houses to take suitable action for disclosure by tonight itself.

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