The Indian mutual fund industry: Road ahead

From a single-player monopoly in 1964, the Indian mutual fund industry has evolved into a high-growth and competitive market on the back of favorable economic and demographic factors. As of now, 44 asset management companies (AMCs) are operating in India with assets under management (AUM) of 24.55 trillion as on May 31, 2020.This was the second consecutive yearly rise in the industry's assets, after a drop in asset base for two preceding years. Most of the gains in 2020 came on the back of strong inflows into liquid and debt funds since investors are only cautiously positive about investing in stocks.This paper aims to provide the opportunities which are unexplored and the challenges which the Mutual Fund Industry is facing in the current slow economic growth scenario.