When we talk about India and Investment only two word associated to it i.e Gold and Property. But since 1963 after introduction of Mutual fund and asset management firm things have changed a lot.
It started with various big companies used these investment avenues. Gradually it gained trust of Indian people and people started investing into Mutual funds.
These are some picture how assets have grown over the years. What we have seen in past is just tip of iceberg. Back then there were very limited Financial literacy and education was not that good, Hence Mutual funds inflow.
But now things have things have changed people are more aware of stock market. Everyone has seen the historical return of stock market and power of compounding. Market is giving on an average 14-15% of return in past 50 years. Each and every one have understood this things and that why we have seen rise in investments and Demat accounts.
Let’s talk about statistics now inflows over past years. Since 2016-2020 2, 86,529 crore Rupee have been fused into the market. 2 Lakh new SIP accounts have opened in February to march this year i.e. 3.09 Crore to 3.11 Crore. Inflows of January to March have broken all past record. In just three months we have seen highest ever money flowing into market. It stand about 23,491 Crore which is highest in short span of time.
There are various factors for massive flow of money. Recently on 23March Nifty have hit lowest levels of five year i.e 7610. This is mouth-watering level. This type of opportunity is once in Life time stock were trading nearly at 50% discount and return of 7-8 years of investment have ravaged due to uncertain situation of COVID-19. But know it been now market is bit range bound and things are getting better. As investors are getting their confidence back now buying have come and there is fear of missing out prices of stocks.
All domestic funds and various financial institutions are again started buying and many company are again buying back there share. Lots of share is being traded and smart money is coming into various stock. All seasoned investor are very well aware of such type of Golden opportunity. While new investor are riding roller coaster ride of market. Funds flowing in 2016-17 (43,900), 2017-18(67000), 2018-19 (92,700) and 2019-2020(82929) Crore. But what we the figure of 2020-21 inflow will be mind boggling.
We are heading toward new era of equity culture and in this most of the individual are informed about financial literacy and sound investment avenue. Things will grow compound from 2020 and will be stepping into new investment culture.
The above Post is Written By Navin Kumar