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The MF industry has witnessed tremendous growth over the last 5 years. This was due to a confluence of many favourable factors – market rally, AMFI MF sahi hai campaign etc. How can the industry sustain this growth and ensure that this momentum remains intact?
The mutual fund industry has successfully created wealth for many investors in recent years. There is no trust deficit amongst investors about mutual funds. I think the industry will be able to sustain its growth momentum due to this trust factor.
What are the main opportunities and challenges for the MF industry in the upcoming year?
The biggest challenge for the mutual fund industry is that we need to remain focused on investor centricity. Any wrongdoings of even smallest player impacts the reputation of the entire industry. So, the industry will have to be vigilant and remain loyal towards the investors.
Despite volatility in the markets, SIP inflows have still been high. Do you see this trend continuing? Please give reasons.
SIPs have been sold in the market for years to take care of volatility. During volatile times, investors understand the importance of SIPs and the benefits of rupee cost averaging. So, I see SIPs continuing to remain popular among investors.
What are your aspirations for 2025? Share with us a few initiatives to strengthen your business.
The fortunes of SBI MF are linked to the fortunes of the market. If the market grows, we grow. Our aspiration is to bring more investors into the mutual fund fold.
What is your expectation from regulation in 2025?
There is no specific expectation. Like every industry, there is always scope for improvement in regards to efficiency.
What would be the key message you would like to give to your distribution partners for 2025?
India is at the cusp of high growth. However, what has happened in the past few years may not repeat in the future. So, it is better to moderate expectations in terms of returns.
