Markets regulator Sebi has asked several mutual fund houses to explain the rise in fund inflows from promoter group entities and associates to their overall assets under management.
While the regulator has been asking the fMutuaund houses to take steps to expand their asset base to smaller cities and retail investors, there has been a surge in the percentage of the contribution from promoter and sponsor group entities for several fund houses in the top-ten list.
Taking note of reports in this regard, the Securities and Exchange Board of India (Sebi) has written to the fund houses to seek their comments on this trend, sources said.
The fund houses have been asked to reply by April 18.
