Will schools and colleges teach us SIP investment?
, ET Bureau|
Updated: Nov 06, 2017, 06.38 PM IST
MUMBAI: Your daughter could well be the next educator for systematic investment plan savings as the Association of Mutual Funds in India (AMFI) will now drive efforts to impart investor education through school and colleges.
More than a week ago, the industry body got a new chief executive, NS Venkatesh, an ace banker with three decades of experience. Venkatesh takes on the mantle at a time when the mutual fund industry is growing at a scorching pace with assets under management surging to Rs 22 lakh crore from just Rs 10 lakh crore in May 2014. He aims to expand the reach beyond top 15 cities with fund schemes fast catching retail investor fancy.
“We will work with schools and colleges to impart investor education,” Venkatesh told ET in his first interaction with media after he assumed the AMFI charge. Venkatesh believes investor education plays a major part in building wealth and helps investors choose the right product. He believes investors need to understand the benefits of the power of compounding as it helps create wealth in the long term.
“One of our mandates is to spread and promote mutual fund industry through this important channel as we want to catch them younger,” he said.
AMFI plans to start dialogues with different educational institutions and boards on how to make mutual fund investment education as a part of curriculum.
The mutual fund industry has gained significant momentum, especially after the government’s currency note ban a year ago. It has a total asset base of about Rs 22 lakh crore involving equity, debt and balance schemes from 42 mutual fund houses.
Data from the Securities and Exchange Board of India (Sebi) on total investor accounts showed a 12% rise in the number of folios rose to a record 6.20 crore at the end of September from 5.54 crore in March-end.
“Demonetisation has helped formalisation and financialisation of the economy,” said Venkatesh.
Total assets under management (AUM) from the North East, a far-flung region that lags economic development, have grown 65.76% a year to Rs 14,454 crore as of August this year with fund houses aggressively running marketing campaigns.
Venkatesh has gained expertise on technological upgradation as he was involved in dealing with different financial products from high-end IT-companies like Oracle and Microsoft during his stint at Laksmi Vilas Bank.
A three-pronged agenda using technology in MF industry for market development and raise financial literacy will remain key thrust area for Venkatesh. He focuses more on technology to streamline mutual funds industry, billed as best capital market savings route for retail investors.
“Bank deposits are not growing much. We plan to promote third-party mutual fund sales through bank counters, which will also help curb mis-selling,” said the chief executive who spent decades in public and private sector banks.
More than a week ago, the industry body got a new chief executive, NS Venkatesh, an ace banker with three decades of experience. Venkatesh takes on the mantle at a time when the mutual fund industry is growing at a scorching pace with assets under management surging to Rs 22 lakh crore from just Rs 10 lakh crore in May 2014. He aims to expand the reach beyond top 15 cities with fund schemes fast catching retail investor fancy.
“We will work with schools and colleges to impart investor education,” Venkatesh told ET in his first interaction with media after he assumed the AMFI charge. Venkatesh believes investor education plays a major part in building wealth and helps investors choose the right product. He believes investors need to understand the benefits of the power of compounding as it helps create wealth in the long term.
“One of our mandates is to spread and promote mutual fund industry through this important channel as we want to catch them younger,” he said.
AMFI plans to start dialogues with different educational institutions and boards on how to make mutual fund investment education as a part of curriculum.
The mutual fund industry has gained significant momentum, especially after the government’s currency note ban a year ago. It has a total asset base of about Rs 22 lakh crore involving equity, debt and balance schemes from 42 mutual fund houses.
Data from the Securities and Exchange Board of India (Sebi) on total investor accounts showed a 12% rise in the number of folios rose to a record 6.20 crore at the end of September from 5.54 crore in March-end.
“Demonetisation has helped formalisation and financialisation of the economy,” said Venkatesh.
Total assets under management (AUM) from the North East, a far-flung region that lags economic development, have grown 65.76% a year to Rs 14,454 crore as of August this year with fund houses aggressively running marketing campaigns.
Venkatesh has gained expertise on technological upgradation as he was involved in dealing with different financial products from high-end IT-companies like Oracle and Microsoft during his stint at Laksmi Vilas Bank.
A three-pronged agenda using technology in MF industry for market development and raise financial literacy will remain key thrust area for Venkatesh. He focuses more on technology to streamline mutual funds industry, billed as best capital market savings route for retail investors.
“Bank deposits are not growing much. We plan to promote third-party mutual fund sales through bank counters, which will also help curb mis-selling,” said the chief executive who spent decades in public and private sector banks.
