Mutual Fund Industry in India: Recent trends & Progress

Abstract

Mutual Fund is an institutional arrangement wherein savings of millions of investors are pooled together for investment in a diversified portfolio of
securities to spread risk and to ensure steady returns. These funds bring a wide variety of securities within the reach of the most modest of investors. It is essentially a mechanism of pooling together savings of large number of investors for collective investment with an approved objective of attractive yield and appreciation in value. The Mutual Funds offers different investment objectives such as growth, income and Tax planning. In the recent times the Indian Capital Market has witnessed new trends, one of them being the spectacular growth of Mutual Funds. There are more than 600 schemes offered by Mutual Funds, and these funds have mobilized substantial amount of the household savings. The present paper focuses on the growth of Mutual Fund Industry in India over the past few years.