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AMFI data shows that 35% of the total MF folios are from investors aged 45 and more in FY 2022-23, the highest among all other age groups.
Bengaluru MFD Srikanth Matrubai of SriKavi Wealth said, “This age group represents mature investors who know the benefits of investing in mutual funds. Also, many people in this age group have investible corpus.”
However, further analysis shows that the trend has not changed over the last 10 years. In 2012-13, 35% of the total MF folios came from 45+ year old investors. Viral Bhatt of Money Mantra said, “Investors in this age group prefer increasing their investment amount which does not translate to rise in folios.”
The share of investors in the age group 36 to 45 increased from 19% in FY 2012-13 to 24% in FY 2022-23. Likewise, it increased from 16% in FY 12-13 to 25% in FY 22-23 for investors aged 36 to 45.
Both Srikanth and Viral attribute this rise to the rising awareness of mutual funds.
However, the share of investors aged 18 to 24 increased marginally from 3% to 4% in the said period, and the share of investors below 18 years declined from 6% to 3%.
Linking this decline to regulatory changes, Srikanth said, “Revised regulations require bank accounts in the name of minors and not all investors have opened bank account for their minor children yet.”
Agreeing with this, Viral stated, “Investors usually experience operational challenges while investing in the name of their minor children. Thus they now prefer setting aside funds for them rather than investing in their name.”
* In 2012-13 around 21% of the folios did not have date of birth details
** In 2022-23 around 8% of the folios did not have date of birth details
