SEBI: Mutual fund investor base to reach 26 crore in next decade

SEBI Chairman Tuhin Kanta Pandey said India's mutual fund unique investor base could grow from 6.6 crore to 24-26 crore over the next decade, at an annual growth rate of 13-15 per cent, based on a compound annual growth rate.

India's mutual fund unique investor base could grow from 6.6 crore to 24-26 crore over the next decade, at an annual growth rate of 13-15 per cent, Securities and Exchange Board of India (SEBI) Chairman Tuhin Kanta Pandey said on Thursday.

Speaking to reporters on the sidelines of the Samwaad India Open Finance Summit 2026 in Mumbai, Pandey said the growth projection was based on a compound annual growth rate of around 14-15 per cent. "If you apply a 14 to 15 percent compound growth rate, in 10 years their numbers will reach 24, 25, or 26 crore," Pandey said.

SEBI's Regulatory Initiatives

He said simplifying market access for both foreign portfolio investors (FPIs) and domestic investors was a basic responsibility of the regulator, rather than an additional burden. "I don't say it's heavy lifting. In my opinion, I consider it a basic job to make it easier for everyone—FPIs as well as domestic investors—to invest seamlessly. So why shouldn't it be basic work?" he noted.

Pandey said SEBI and other regulators have introduced measures to simplify the process of entering financial markets and make investing easier for domestic and international investors.

On integrating financial information across sectors, the SEBI chief said he had written to the Insurance Regulatory and Development Authority of India (IRDAI) to bring insurance holdings into the financial data network. He said the move would help create a consolidated account statement (CAS) covering investments and financial assets, including stocks, mutual funds, National Pension System (NPS) holdings, bank deposits and insurance policies, under the Account Aggregator framework.

Emphasis on Investor Awareness and Protection

Pandey, however, said SEBI would not set specific targets for increasing the number of mutual fund investors, stressing that investor awareness, discipline and caution were equally important.

He also called on market infrastructure institutions, depositories, brokerages and other intermediaries to invest in technology and strengthen security systems to ensure the safety of investors and their investments.

Highlighting the importance of financial literacy, Pandey said SEBI's Project Jagruk initiative aims to make investment awareness an essential life skill, similar to the ability to use mobile phones and applications. He said the regulator had sent nearly 44 crore investor awareness messages in nine days, using digital platforms to expand its outreach.

The initiative is available in 13 languages and aims to reach investors in remote areas, including Ladakh, Kashmir and Arunachal Pradesh.

Pandey encouraged people to access investment awareness information in their preferred languages to improve financial literacy and help them make informed investment decisions. "Please try the language you speak and comment whether what we are saying sounds good across regions." Pandey noted. (ANI)

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