Mirae Asset India chief bets big on India’s growth story
₹7,625 in July from ₹8,367 crore the previous month, according to data from the Association of Mutual Funds of India. It is in this context that Swarup Mohanty, chief executive and director of Mirae Asset Investment Managers, shared some interesting insights on the future prospects of the asset management industry . “The question we ask everyone is: What is on your mind: the Sensex climbing to 65,000 or India progressing to become the third largest economy in the world," said the Mirae India chief at Mint’s Annual Mutual Fund Conclave, 2023, held in Mumbai recently.
Mohanty said those investing lump sum amounts, (also known as lump sum investors) are the ones withdrawing from mutual funds, but individuals with systematic investment plan (SIP) are staying put. He said lump sum investors are blatantly trying to time the market and then exit due to underperformance but they are the same investors who continue with their SIPs. “How many of you really know how much your SIP is yielding," said Mohanty, while stressing the importance of staying invested and not getting swayed by short-term underperformance.
Despite the high prices of tomatoes, people are still buying them, signalling that India is not a poor country and that it’s structurally equipped to grow in the future, he added. Edited excerpts from his address at the conclave. Room to expand Today, India’s asset under management (AUM) of the mutual fund industry as a percentage of the gross domestic product (GDP) is a mere 15%.
Contrast this with the global average of 75%-80%. Mohanty noted that the Indian mutual fund industry is just getting warmed up and there is plenty of room for growth. India has a population of 1.4 billion people, out of which 610 million are PAN
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