Small towns are estimated to contributes 15.3 % of mutual fund industry’s value of 25.64 trillion as of August-end. Maharashtra prevailed to be the largest contributors to the asset.
The Association of Mutual Fund Industry stated that the data gathered by rating agency
(Information and Credit Rating Agency of India ICRA) ,B30 (beyond top 30 cities) accounted for over 15 per cent of the industry.
The regulatory changes introduced by SEBI (Securities and Exchange Board of India) have refined the global ranking of the country’s mutual fund industry.
India was among the four most expensive markets for investing in equity funds.
Lack of interest by investors towards this fund tends to be much cheaper than their equivalents. The expensive markets for the investment have almost had no value funded on average.
Investors opting for the distributor mode of investing could be one of the reasons for relavtively hiher value now.