Retail Investors and Mutual Fund Industry- An Investing Dilemma

Abstract

The indication of economic growth for any country can be assessed by observing investment pattern in stock market. Retail investors are the backbone of the financial market of any country. In this respect the Indian financial market is performing very poorly. Not even five percent of total participation is from retail investors. Why are they not joining this fabulous financial market growth? What is holding them back? Is it the risk-return fear psychosis or just blunt risk averseness? Financial assets available to individual investors are manifold, having different concomitant benefits to choose from. All financial investments are risky, but the degree of risk and return differs from each other. An investor must use his/ her discretion, which is an art acquired by learning and practical experience. The knowledge of financial investment and the art of its management are the basic requirements for a successful investor. Are Indian retail investors ready to go this extra mile to get the fruit of financial growth? Let's find out!.