40–50% Of Indians To Benefit From Mutual Funds Under Viksit Bharat? What Industry Leaders Say
Since April 2021, mutual funds have invested over Rs 9 lakh crore in the market, encompassing both primary and secondary markets.
The Mutual Funds Sahi Hai campaign does not get the recognition it deserves as a landmark campaign, according to Radhika Gupta, chief executive officer at Edelweiss Mutual Fund.
At the NDTV Profit Conclave in Mumbai on Tuesday, Gupta pointed out a unique aspect of the mutual fund industry that makes the campaign a fascinating case study in the making.
"Which industry or part of the world do you find fierce competitors later coming together to collaborate and pool money and assets? This unique aspect of the mutual funds industry makes the campaign a fascinating case study in the making," she said.
"When we discuss Viksit Bharat, we should envision the future with 75 crore investors," Gupta said. "Imagine a scenario where 40–50% of the population benefits from the mutual fund story. This vision requires a shift from Mutual Fund Sahi Hai to Mutual Fund Sabke Liye Hai."
There is still a long way to go for the mutual fund industry in terms of beneficiaries, according to Munot, CEO of HDFC AMC.
Since April 2021, mutual funds have invested over Rs 9 lakh crore in the market, encompassing both primary and secondary markets, said Munot, who is also the chairperson of the Association of Mutual Funds in India.
The role of mutual funds in capital formation is significant, and their participation across all asset classes contributes to the country's growth. He also emphasised that the job creation and economic impact of mutual funds is essential to understanding their importance and potential for future development.
From fiscals 2021 to 2023, people have invested more money in currency notes than in mutual funds, according to Nilesh Shah, managing director at Kotak Mahindra AMC.
He emphasises the need to convince investors to choose mutual funds over buying lottery tickets. "While the Mutual Funds Sahi Hai campaign has made progress, it still has a long way to go."
Shah also stresses the importance of working hard to protect the interests of minority shareholders. He believes that today, "we are investing in good companies, but there will be a day when we invest in struggling companies and turn them around for the better".
Swarup Anand, CEO of Mirae Asset Investment Managers (India), highlighted a significant milestone in the mutual fund industry. "Before the Covid-19 pandemic, there were 2.3 crore folios, but in the last year alone, 1 crore new folios were added."
Anand added that the financialisation of assets is now beginning. He mentioned that the industry is witnessing three generations investing together.
