Mutual funds AuM reach record highs for the first time in the last seven years.

Mutual Fund SIP

Mutual fund assets in India have recorded the highest growth since December 2009, thanks to the furor created by demonetization, RBI’s decision to maintain status quo on key rates in its policy review and hike in Fed rate.

The key logic behind this noted increase in investment activity is that short-term debt schemes are relatively firm investment options than long-term debt schemes, in times of unpredictability. Indian investors who display a knack for “opportunistic buying” during times of tumult in the market situation, appear to have made the most of the circumstances, taking advantage of the decline in prices.

Demonetisation, for its part, has impacted and boosted cash inflows into banks, which in turn have mobilized the same into investment avenues including the mutual funds.

Based on retail investment activity, most of the investment inflows into mutual funds seem to have come via the Systematic Investment Plans (SIPs) route. AMC sources have confirmed that average monthly retail investments had risen as high as Rs. 4,000 Crore per month in 2016. This corresponded to an increase in AMC assets by a solid 30%.

Mutual funds AuM to hit record highs in the near future

There has also been a notable increase in retail investment activity from B15 regions in the country. According to information furnished by AMFI, around 4.7 million investors have been recorded to have forayed into mutual fund investing between December 2015 and September 2016 alone.

The last few days have been abuzz with prospects for further increase in investment activity. Thanks to extensive investor awareness programmes that have been hosted all over the country, the earning population in the country are gradually turning to investing in investment avenues such as mutual funds. With the dawn of this realization, experts have predicted that mutual funds AuM would reach the much-anticipated Rs. 20 Crore mark quite sooner than expected.

CAMS – adding value to mutual fund operations in times of robust business

As the country’s premier RTA, Computer Age Management Services (CAMS) provides multifaceted services to AMCs, keeping pace with massive volumes of transactions.  The company continuously improves its IT infrastructure, while meeting the growing demands of its client AMCS, with innovative technology enabled service designs that deliver speed, standardization, transparency, regulatory compliance, data confidentiality and cost efficiency. In Mutual Fund services , CAMS handles approximately 130 Million transactions per annum with near zero failures.

CAMS eKYC and myCAMS are other key initiatives that have greatly reduced time and effort to be invested in KYC and mutual fund investment processes.

About CAMS:CAMS Logo High Resolution

Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit www.camsonline.com

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Weekly Roundup – November 26

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CAMS brings you a weekly glimpse at the key happenings in the BFSI sector, in India and abroad. Regulatory updates or important news, here are some which might have had an impact on the sector.

With strong signs that are affirmative of a surging US economy, it is highly likely that Federal Reserve may go in for a hike in rates this December.

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‘Make In India’ reports spanning developments in the textiles, automobiles and telecom sectors released. The report covers impact of 100% FDI and other reforms on the growth of the three sectors as mentioned above.

Committee led by CEO of Niti Aayog set with the task of identifying digital payment modes to be instituted across various sectors as the nation veers towards cashless economy.

Income Tax Department sends out missives to banks and post offices to gather details of high-value deposits, such as PAN and other key details pertaining to such deposits.

RBI

In a bid to ease liquidity operations in the wake of demonetisation, RBI sanctions GoI issued oil bonds the status of a valid collateral.

SEBI ushers in a fresh wave of hope for start-ups, via liberalisation of regulations governing angel-investments.

MF

Reports confirm 200% growth in the number of SIPs held in the country in the last 31 months. The robust rise has been attributed to increasing investor awareness and emphasized focus on regions beyond T15 cities.

Mutual Fund industry predicted to touch Rs 1 trillion worth of assets in the aftermath of demonetisation.

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Andhra Pradesh is all set to be the first state in the country to institutionalise and issue family insurance scheme. WHO and Bill Gates Foundation and other reputed health organizations have been quoted as institutions that support the state-run initiative.

About CAMS:

CAMS Logo High Resolution

Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit http://www.camsonline.com

Weekly Roundup – November 12

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CAMS brings you a weekly glimpse at the key happenings in the BFSI sector, in India and abroad. Regulatory updates or important news, here are some which might have had an impact on the sector.

Around the world, markets rose to an all-time high since 2014 and plummeted down, displaying a visibly volatile trend. Speculations and predictions surrounding Federal Reserve Rate add to the flurry.

Mutual Fund SIP

Japan seeks transparent and open investment climate in India; Business leaders from the Land of the Rising Sun express appreciation towards the ‘Make in India’ and ‘Digital India’ campaigns launched by GoI.

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Service tax of 15% to be imposed on all downloads from websites outside India. Central Board of Excise and Customs to implement the tax from December 1, 2016.

RBI

 The Central Bank here announces that sufficient cash is available with banks for exchange of demonetised notes. RBI also confirms that exchange of demonetised currency notes will be facilitated for another 50 days, underlining the adequate scope of time that is available for the procedure.

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SEBI expresses support towards expediting listing of firms, taking into account the concern of investors during times of market volatility.

Market regulator SEBI roots for uniform process for calculation of Debt Security Interest, in a bid to establish consistency across the various practices in vogue.

MF

Good times ahead for debt mutual fund investors in India, thanks to the change of regime in the USA.

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Centre for Investment Education and Learning (CIEL) explains key features pertaining to Travel Insurance as offered by IRCTC.

About CAMS:

CAMS Logo High Resolution

Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit http://www.camsonline.com