BUSINESS STRATEGY DEVELOPMENT TO IMPROVE THE MUTUAL FUND ASSET UNDER MANAGEMENT (AUM) GROWTH: CASE OF PT HENAN PUTIHRAI ASSET MANAGEMENT (HPAM)

• Main Author: Fimansyah Wiyatno, Oki
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/62884
• Institution: Institut Teknologi Bandung

The Covid 19 pandemic that hit the world in April 2020 shook the Indonesian economy so that in the second quarter of 2020 it brought Indonesia to the brink of recession. The contracted Indonesian economy certainly caused turmoil in the capital market, especially the mutual fund industry. This condition is also felt by HPAM as one of the local investment managers. HPAM's Asset Under Management (AUM) decreased by 12% in 2020. Competition among investment managers has also become tighter with the increase in the number of investment managers since 2018. Cases of corporate default involving local investment managers and generational shifts forced HPAM to formulate a new business strategy to overcome various challenges to successfully increase AUM. Strategy formulation is carried out using a combination of general reviews such as environmental analysis using the PESTEL framework, Porter's Five Forces, and Core Competence Analysis. Internal analysis is also carried out using the VRIO framework. The data is then analyzed to produce a business strategy through the TOWS Matrix, Diamond Strategy, and Business Model Canvas (BMC) frameworks. The results of the analysis show that HPAM must overhaul its business strategy by making improvements to its internal resources, especially the marketing and sales team in selling mutual funds, improving product performance, maintaining the performance of mutual fund selling agents (APERD), and continuing to improve cooperation with various APERDs, improving customer service. , retargeting the customer segment to millennial investors, and continuing to maintain and actively communicate HPAM's Good Corporate Governance (GCG) to increase investor confidence to invest in HPAM products.