Equity Investing: Journey From Exclusivity To Accessibility

In India, the practice of saving has been passed down through generations. However, the modes of saving have undergone a sea change. While earlier, parents guided their newly-employed children to open recurring deposits in banks or buy life insurance, now many are emphasising on systematic investment plans (SIPs) of mutual funds. Over the last 25 years, investing in mutual funds and stocks has evolved significantly as has people’s mindsets. The primary reasons for this change are increase in awareness and smoother transactions than before. As far as returns are concerned, equity has always had an edge over other traditional investment products. In the initial days, fund houses chased investors with guaranteed returns. When capital markets regulator Securities and Exchange Board of India (Sebi) substituted mutual fund regulations, 1993 with mutual fund regulations in 1996, it...