The committee also has to study the regulatory provisions in these markets which can be adopted for the growth of the Indian market.
The mutual fund advisory committee has been asked by SEBI to study the regulatory provisions prevalent globally and accordingly suggest ways that can be implemented in Indian market to direct retail savings into mutual funds. The committee has been asked to present their recommendations through a report within next 5 months.
The advisory committee is supposed to suggest ways in which mutual funds can increase its penetration in retail clients for long term investments.
The finance minister in his meeting with the mutual fund officials had stressed the need to route more retail investments in mutual funds. Last month, the committee had been asked to prepare a long-term policy paper on mutual funds illustrating policy objectives, measures to increase penetration, obligations on the industry and other stakeholders, tax and other measures to help in the growth of the industry.
