LIC exposure to adani group is under 1% of AUM

Subject : Economy

Section: Financial market

Concept :

India’s largest insurer LIC on Monday (30 January) said that its exposure in the Adani Group is just 0.975 per cent of its total assets under management (AUM) at book value.
The statement by LIC comes amid reports about LIC’s exposure to Adani Group, which is mired in controversy after US-based short seller Hindenburg Research released a report.

Assets under management (AUM)

It measures the total market value of all the financial assets which a financial institution manages on behalf of its clients and themselves.
AUM is an indicator of the size and success of a given fund house.

About LIC

LIC stands for Life Insurance Corporation of India, it is a governmental organization established in the year 1956.
LIC is actually an insurance and investment organization that was invented from the Life Insurance Act of India (Statutory Body).
The aim of LIC is to provide the citizens of India with a larger return on their economic security.
The services and products offered by the LIC are comparatively good than the other investment companies in the market. Through LIC all the citizens can get a quality life with assured economic development.
LIC is fully owned by the government.
LIC has equity investments worth over ₹10 trillion, while its total assets under management are valued at around ₹41 trillion (Approx) as on 2022.