Reports

Ideas That Generate Results

Indian mutual funds industry is witnessing a rapid growth on the back of infrastructural development, increase in personal financial assets, and rise in foreign participation. With the growing risk appetite, rising income, and increasing awareness, mutual funds in India are becoming a preferred investment option compared to other investment vehicles, like Fixed Deposits (FDs) and postal savings that are considered safe, but provide comparatively low returns, says our new research report “Indian Mutual Fund Market Analysis”.

The industry is expected to secure growth by catering to the needs of retail customers. The industry seeks to target an increased share of the customer pocket through the expansion of innovative products combined with deeper retail penetration by expanding reach into tier II and tier III cities. It will need to incorporate products, which yield maximum returns with low level of risk. By building investors trust and increased customer awareness, the industry can promote financial literacy in building greater retail participation.

It has been observed that, low customer awareness and financial literacy pose biggest challenge to the mutual funds industry in channelizing household savings into mutual funds. The industry has been largely product-led and not customer focused as the players are not concentrating on new product development as per the needs of the consumers.

Besides, the report analyzes factors critical to the success of the mutual fund industry. It has also identified key players in the market and included their detail business description. Additionally, the report sheds light on the emerging market opportunities, which are expected to decide the future of the Indian mutual fund industry.

“Indian Mutual Fund Market Analysis” provides a detail analysis along with the current and future outlook of the Indian mutual fund industry and explores the market developments and potential. Forecasts and estimations presented in this report are not based on a complex economic model, but are intended as a rough guide to the direction, in which, the industry is likely to move in future.