Now Reading: Mutual fund AUM hits ₹85 lakh crore, SEBI warns on trust
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Mutual fund AUM hits ₹85 lakh crore, SEBI warns on trust
SEBI whole-time member Amarjeet Singh said the mutual fund industry's assets under management have crossed ₹85 lakh crore, an eight-fold jump from ₹10 lakh crore in 2014. Folios have exceeded 27 crore…
The Story in Brief
SEBI whole-time member Amarjeet Singh said the mutual fund industry's assets under management have crossed ₹85 lakh crore, an eight-fold jump from ₹10 lakh crore in 2014. Folios have exceeded 27 crore and unique investors top 6 crore. Active AMFI-registered distributors rose from 2.4 lakh to 3.4 lakh in five years, with 71% of retail and HNI assets still coming through them.
Speaking at an industry event, Singh stressed that growth not built on investor trust would be unsustainable. He warned distributors against mis-selling even when investors do not immediately realise it. He also flagged risks from AI-enabled tools, including 'AI washing', and said technology cannot replace the human touch. SEBI has proposed a mutual-fund-only PMS framework with a minimum investment of ₹25 lakh.
The Indian Opinion
The 'investor-first' talk is welcome, but SEBI's own data shows 71% of retail money still flows through distributors, the very channel where mis-selling thrives. A simpler test than the family question: will the regulator actually ban trail commissions or force uniform disclosure of all expenses in a single number? Until that happens, the warning sounds like a press note, not a policy.
Source: businesstoday.in
This story was synthesised by AI from the source linked above.
