Individual investors’ holdings in passive funds jump in FY21
May 14, 2021
Low cost, simple structure of funds drive global trend
Passive investing is gaining more currency among Indian retail investors and high net worth individuals (HNIs) as they increasingly look for simple, transparent and low-cost investment options. This is reflected in index funds and exchange traded funds (ETFs) witnessing a significant jump in retail and HNI assets over the last two fiscals.
According to AMFI data, the asset under management (AUM) of HNIs in index funds have jumped 176 per cent to ₹8,267 crore as of March 2021 while index fund AUM of retail investors grew 157 per cent.