Mutual funds- Unlocking opportunities for Investors

Authors

  • Mandakini Garg, Dr. Shobhit

Abstract

Mutual funds act as focal point in Indian financial system as it acts as preferred destination for investors (retail and institutional). Investment in mutual funds is not too much effected by economic variations like covid-20. In case covid-20, Asset under management grown tremendously in last year from Rs.6.26 trillion as on December 31, 2010 to 31.02 trillion as on December 31,2020. Though the growth rate of mutual fund industry is accelerating still factors like less access to all cities (B-15 cities are captured), financial literacy (semi-urban areas are still untapped), investors’ awareness (promotional campaign are confined only to urban areas) etc acts as a hurdle. Financial reforms like recession in 2008-2009 attracts many foreign firms to enter in Indian financial market which gave more capital for expansion, demonetization in 2016 stimulate the growth from retail investors(AUM rose by 32% as compared to 2015), re-categorization of schemes into six broad categories(2017-2018)brings transparency in existing schmes,covid-2020 attracts many small investors to invest etc. Proportion of private players (joint venture with foreign player) is dominating the mutual fund industry. Inclination of investors towards debt schemes (tax advantage under income tax 80 C) is always dominating as compared to other schemes. Asset management companies are engaging in various innovative areas for enhancing the growth of other schemes (Equity, balanced, hybrid etc).The research objective is to analyze the impact of various financial reforms (2008-2020) on the growth of asset under management of mutual fund industry.

Published

2021-09-15

How to Cite

Mandakini Garg, Dr. Shobhit. (2021). Mutual funds- Unlocking opportunities for Investors. Drugs and Cell Therapies in Hematology, 10(1), 2442–2452. Retrieved from http://www.dcth.org/index.php/journal/article/view/455

Issue

Section

Articles