The Securities and Exchange Board of India’s (Sebi’s) decision to relax the profitability criteria for sponsors could pave the way for digital disruption in the Rs 30-trillion mutual fund (MF) industry.
Market players say the move will entice technology-oriented firms to set up assets management companies (AMCs), which could create a paradigm shift by popularising concepts such as quant funds, robo advisory, and smart exchange-traded funds (ETFs.) The Sebi board on Wednesday said entities without a 3-year profitability track record can act as MF sponsors, ...
