Are there too many mutual funds?
7 years, 5 months ago

Are there too many mutual funds?

Live Mint  

Policymakers have been debating whether there are too many mutual fund schemes in the industry. Investors must wonder why asset management companies send communication about every new product launch but seldom about reinforcing the decision to invest in the fund that one already owns. Ltd The mutual fund industry, across 40 AMCs, offers around 2,100 schemes. In that context, Sebi rules will help the industry build very sharp focus around few products and help mutual funds not get distracted with too many short-term themes and niches.

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History of this topic

How many mutual funds should your portfolio really have? Find out
6 days, 16 hours ago

How many mutual funds should your portfolio really have? Find out

Live Mint  

As of 28 February 2025, India’s mutual fund industry’s assets under management stood at ₹64.53 trillion according to data provided by Association of mutual funds in India. Nearly all mutual funds are putting 50 to 60 stocks in most of their equity mutual fund schemes, and thus you are left with double the holdings without reducing the risk at all. …

Sebi proposes sachetization of mutual funds to boost financial inclusion
2 months ago

Sebi proposes sachetization of mutual funds to boost financial inclusion

Live Mint  

The Securities and Exchange Board of India has unveiled a proposal for promoting financial inclusion through the "sachetisation" of mutual fund investments. The initiative proposes offering small-ticket investments, starting at just ₹250, to encourage low-income groups to begin their investment journey in mutual funds. To encourage financial distributors and platforms to participate in this financial inclusion effort, they will be …

What should be the maximum number of mutual funds in your portfolio?
3 years ago

What should be the maximum number of mutual funds in your portfolio?

Live Mint  

One way to earn returns from the stock market is to invest in shares. With investors inclined to earn good returns compared to that offered by bank deposits and other fixed-income instruments, more people are now putting their money in mutual funds. Deepali Sen, founder partner, Srujan Financial Services LLP shared, “Over more than two decades, I have observed that …

Sebi eases profitability criteria for mutual fund sponsors
4 years, 3 months ago

Sebi eases profitability criteria for mutual fund sponsors

Live Mint  

Market regulator Sebi on Wednesday decided to relax profitability criteria for becoming a mutual fund sponsor with a view to facilitating innovation and expansion in the MF sector. The regulator has also decided to segregate and ring-fence assets and liabilities of mutual fund schemes, Sebi said in a statement after its board meeting. The Sebi board also approved proposals including …

Does your fund portfolio have a problem of plenty?
5 years, 11 months ago

Does your fund portfolio have a problem of plenty?

Live Mint  

Shalabh Agarwal, 28, began investing in mutual funds when he started working in the merchant navy in 2013. This is partly due to the historical method of selling mutual funds, as the distribution agent was incentivised to push new funds,” said Sanjiv Singhal, founder and COO, Scripbox, a mutual fund startup company. Having too many funds impacts the overall portfolio …

2018 Round-Up: Mutual funds get cheaper
6 years, 3 months ago

2018 Round-Up: Mutual funds get cheaper

Live Mint  

Mumbai: Do you invest in a mutual fund? If you have, a lot has changed for your mutual fund this year starting from—slash in expense ratio, re-categorisation of schemes and ban in commission and distribution fees. If you are wondering how these regulatory changes impacts you, here is how: Drop in expense ratio In September, the regulator Securities and Exchange …

Here’s how to pick a mutual fund from 14 new Sebi categories
6 years, 8 months ago

Here’s how to pick a mutual fund from 14 new Sebi categories

Live Mint  

If mutual funds are often touted as one of the best vehicles for you—the small investor—to invest in equity and debt markets, then picking a fund should be easy, right? “In most cases and for a normal investor, focus should be on broadly diversified multi-cap funds and large-cap and mid-cap categories; these will serve well,” said Deepak Chhabria, CEO and …

The paradox of choice
7 years, 4 months ago

The paradox of choice

The Hindu  

It was very satisfying to see so many of you writing to me about starting your investment journey. Decision-making woes It is understandable that some of you are confused by the bewildering choice of mutual fund schemes available on the market. The middle men’s motto of “If you can’t convince them, confuse them” is going to end soon, at least …

Regulation 3.0—Indian Mutual Funds
7 years, 5 months ago

Regulation 3.0—Indian Mutual Funds

Live Mint  

The Securities and Exchange Board of India’s circular on mutual fund schemes’ categorization and rationalization was released on 6 October 2017. Two, over the years, clutter has built up in the mutual fund industry with too many similar schemes even within a fund house. When investors would compare returns across the balanced fund category, the funds with equity higher than …

A to-do list for mutual funds in 2016
9 years, 2 months ago

A to-do list for mutual funds in 2016

Live Mint  

The mutual fund industry has grown at a rapid pace in the past two years and assets under management are at an all-time high. The number of people who actively sell mutual funds are in the thousands, compared to the millions who sell insurance policies, real estate, gold and ponzi schemes. Mutual funds are marketed with jargon-laced facts without creating …

Sebi eases norms for MF's below Rs 50 cr net worth launch schemes
10 years, 2 months ago

Sebi eases norms for MF's below Rs 50 cr net worth launch schemes

Firstpost  

Mumbai: Market regulator Sebi has notified new rules that allow launch of two new schemes in a year by mutual fund houses with net worth below Rs 50 crore. However, such permission would be considered on a case-to-case basis, depending on such Asset Management Companies demonstrating that serious efforts are being made by them to meet the net worth requirements …

Sebi raises cash transaction limit in mutual funds to Rs 50,000
10 years, 10 months ago

Sebi raises cash transaction limit in mutual funds to Rs 50,000

The Hindu  

To expand the reach of mutual funds in the hinterland, market regulator Sebi on Thursday increased the cash transactions limit in such funds to Rs 50,000 from Rs 20,000. The Securities and Exchange Board of India,, in September 2012, >had allowed fund houses to accept up to Rs 20,000 in cash per investor, per mutual fund in a financial year. …

Mutual Fund industry set for a churn
11 years, 1 month ago

Mutual Fund industry set for a churn

The Hindu  

The recent decision by the Securities and Exchange Board of India to hike the minimum net worth requirement for asset management companies from Rs.10 crore to Rs.50 crore is likely to change the face of the mutual fund industry drastically. To encourage merger and consolidation of equity mutual funds schemes, the SEBI said that “similar to merger/consolidation of companies, the …

Reliance, ICICI Prudential discontinue 190 schemes to comply with Sebi rules
12 years, 5 months ago

Reliance, ICICI Prudential discontinue 190 schemes to comply with Sebi rules

Firstpost  

Five mutual funds, including leading players including Reliance and ICICI Prudential MF, today listed out a total of 190 schemes that would be discontinued for fresh SIP investments to comply with Sebi guidelines. The move follows new Sebi regulations, which require fund houses to launch only one plan per scheme with effect from this month. However, many fund houses have …

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