India’s mutual fund sector discusses responsible growth at Moneycontrol Summit

New Delhi: As India approaches the $1 trillion mark in assets under management (AUM), the fourth edition of the Moneycontrol Mutual Fund Summit convened fund managers, regulators, distributors, and market participants to discuss the sector’s future trajectory and the principles underpinning its expansion.

Held in Mumbai, the event featured discussions on the changing role of mutual funds in wealth creation, investor trust, and the increase in new fund offerings, particularly thematic ones. Speakers emphasised the importance of ensuring innovation is accompanied by responsibility, transparency, and investor-centric practices.

Delivering the keynote, SEBI Whole-Time Member Amarjeet Singh stated, “Growing the right and responsible way becomes very important… people are trusting mutual funds with their money, and that trust is very important, and that should not get disturbed.” He noted that reaching the $1 trillion milestone was once a “very distant dream”.

Navneet Munot, Managing Director and Chief Executive Officer at HDFC Asset Management Company, said, “Truth is the foundation, transparency is the path, and True North can be like our compass,” while also acknowledging SEBI’s approach as “co-creative” rather than adversarial.

Axis AMC’s Chief Investment Officer, Ashish Gupta, addressed the broader market environment, observing that “no market is insulated” from global risks. “If I look at the sum total of risk, whether on trade or geopolitics, the whole world is affected,” he said, while noting that liquidity remains a key driver of asset prices.

Radhika Gupta, CEO of Edelweiss AMC, highlighted the need for investor education. “We’ve created many pieces like Lego. What’s missing is education. We need to tell people kaunsa mutual fund sahi hai, which one fits their goals.” She also described SEBI’s approval of Social Impact Funds as “a forward-looking move.”

D P Singh, Deputy Managing Director and Joint CEO of SBI Mutual Fund, referred to ongoing efforts to educate investors through digital initiatives. “We are already taking investor education to the next level, powering a website titled mutualfundskyusahihai.com,” he said.

Kotak AMC Managing Director Nilesh Shah pointed to the need for wider investor participation. “India has 30 crore vehicle owners but only 5.5 crore mutual fund investors. The next leg of growth lies in smaller towns and newer investors,” he remarked.

The event included sessions on macroeconomic risk, portfolio strategy, regulatory frameworks, and product innovation, outlining industry approaches as India’s mutual fund sector moves towards its next growth phase.