Zerodha Fund House Revenue Jumps 79%, Losses Shrink in FY26

Zerodha Fund House, operating as Zerodha Asset Management Pvt Ltd, reported a substantial 78.7% surge in its operating revenue, reaching ₹16.8 Cr in FY26. This significant growth from ₹9.4 Cr in FY25 coincided with a notable reduction in the company’s net losses.

Financial Performance Highlights

The company’s financial results for FY26 showed key shifts:

• Operating revenue increased 78.7% to ₹16.8 Cr from ₹9.4 Cr in FY25.
• Losses narrowed by 37.8%, decreasing to ₹5.1 Cr from ₹8.2 Cr in the prior fiscal year.
• Total income, including ₹36.6 Lakhs in other income, reached ₹17.1 Cr.
• Total expenses grew 29.4% to ₹21.1 Cr in FY26, up from ₹16.3 Cr in FY25, including a ₹1 Cr tax expenditure.

Established in 2021 through a collaboration between Zerodha and investment tech firm CASE Platforms, Zerodha Fund House secured its final approval from SEBI to operate as an asset management company in July 2023. The firm launched nine passive mutual fund schemes, including index funds and exchange-traded funds, during FY26.

Asset Under Management Expansion

The company’s assets under management saw considerable expansion.

• Quarterly average assets under management (QAAUM) surged nearly 196% to ₹14,448 Cr by March 2026.
• This represents a significant increase from ₹4,887 Cr reported in March 2025.
• ETFs constituted ₹12,107.6 Cr of the QAAUM, with non-ETF QAAUM at approximately ₹2,340.5 Cr.

Zerodha Fund House operates under a SEBI-mandated three-tier structure. Zerodha Broking serves as the sponsor, with CASE Platforms acting as the co-sponsor, and Zerodha Trustee Pvt Ltd as the trustee. Zerodha Asset Management Pvt Ltd functions as the operational AMC. In August 2026, CASE Platforms assumed the role of corporate parent and received approvals to co-sponsor Zerodha Mutual Fund, with smallcase continuing as the brand for model portfolios.

Detailed Expense Increases

A closer examination of FY26 expenses reveals specific increases:

• Employee benefit expenses rose 23.6% to ₹13.1 Cr.
• Subscription and cloud charges increased 47.1% to ₹2.5 Cr.
• Legal and professional fees saw a 110% jump to ₹2.1 Cr.
• Fund expenses significantly increased to ₹1.2 Cr from ₹31.4 Lakhs in the prior year.

The revenue growth and loss reduction indicate a period of operational scaling for Zerodha Fund House as it solidifies its position within the passive mutual fund segment, driven by increasing AUM and the strategic backing of its co-sponsors.