Delighted (and proud) to announce that Arjavam is now an Associate partner of Sapient Wealth, one of India's most respected Mutual Fund distributors. Sapient has consistently aligned thought, speech and action (as implied 'Arjavam') for decades.
No wonder, we've paired up!
Safety hazard , A 10 year old girl Crying with anxiety and panic helpless trapped for 15 minutes, security unable to help in lift of Rajlegacy one Chs , vikhroli west ,mumbai. Happens regulary in our society . Managing comitee waiting for disaster to happen to get in to action.
household Finacial Flows between FY 21 to 23 shows ( Source : The RBI )
Households put
- Rs 31,64,910 Cr (36.8%) in Bank Deposits
- Rs 17,28,331 Cr (20.1 %) in Pension / PF
- Rs 15,69,373 Cr (18.2 %) in Insurance
- Rs 889,253 Cr ( 10.3 % ) in currency notes.
- Rs 683,113 Cr ( 7.9 %) in Small savings
-Rs 4,03,772 Cr ( 4.7 %) in Mutual Funds
- Rs 110,183 Cr ( 1.3 % ) in Equities
- Rs 52,872 Cr ( 0.6% ) in other assets
Few things which are noticeable
Households are conservative investors
- 94% of flows goes towards fixed income
- equity gets paltry 6 % of flows
House holds prefer convenience over return
- higher yielding small savings gets 1/5 th of lower yielding Bank deposits
House holds prefer predictability over volatility
- predictable asset classes gets 16 times more flows than volatile asset classes
Household are earning below Inflation return on most of their portfolio
- No hope for generating real return / better than inflation as 10 % allocation is in currency notes which yields zero and 84 % to low yielding fixed Income.
Households prefer convenience / tax avoidance over return
- asset class like cash which helps in convenience / tax avoidance gets more than double flows than high return asset class like mutual funds.
If Indians have to become wealthy and financially secured than financial literacy is must among households whereby
- They invest for Real Return
- They take volatility in stride
- They prefer paying tax and generate higher yield
At Kotak MF we have made a small attempt to light candle to dispel the darkness in collaboration with CBSE in imparting financial literacy to 75000 + teachers ( majority women teachers ) across 100 + locations over 1000 + physical events.
PRAY THAT EVERY INDIAN IS FINANCIALLY SECURED WITH BETTER FINANCIAL LITERACY
Honorable PM Shri Narendra Modi spoke about the robust growth of the Mutual Fund industry, at GIFT City today. He mentioned that MF industry grew by 250% from ₹10 lakh crores AUM in 2014 to over ₹35 lakh crores in Jun'22. Proud moment for the industry!
https://t.co/ly8IsflhpP
It’s time to stop Communications and start Conversations ..!! Sapient Conversations are back after a long break.. the tour begins today @pune today.. @SapientWealth