GDP growth to propel mutual fund industry: George Heber Joseph, ITI Mutual Fund

GDP growth to propel mutual fund industry: George Heber Joseph, ITI Mutual Fund

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Escalation in GDP growth in the country is likely to propel mutual fund industry in the coming years despite a slow growth in 2018, according to George Heber Joseph, CEO and chief investment officer of ITI Mutual Fund.

“With GDP expected to quadruple in the next ten years, the quantum of money flowing to financial assets particularly in equity and debt instruments will swell,” said Joseph, who was here to open ITI Mutual Fund’s Kerala office.

According to him 2018 was not a good year for the mutual fund industry with FIIs withdrawing money from the Indian market. The funds under systematic investment plan (SIP) fell to Rs 8,500 crore from Rs 12,500 crore a month in the year. “We have seen some signs of revival in 2019. I feel SIP investment may even touch 20,000 crore monthly in the coming years,” he said.

ITI Mutual fund will open offices in 30 cities and has targeted to become one of the top ten mutual funds in the next decade. It has already launched a debt and an equity fund . “We plan to introduce ELSS and arbitrage funds soon,” Joseph said.

In Kerala with Gulf remittances fast drying up, and sluggish real estate and gold market, more money is likely to flow into equity and debt funds for want of a viable alternative, he said.

[“source=economictimes.indiatimes”]