Madhabi Puri says mutual funds industry is SEBI's elder son

Mutual funds play key role for financial inclusion and wealth-creation, Sebi chief Madhabi Puri Buch said, while adding that the Indian capital markets regulator want to push mutual funds' growth as a vehicle for such inclusion and will work together to create rules.

Madhabi Puri, while speaking at industry body Amfi's event on Thursday, called the mutual fund industry “SEBI’s elder son (bada beta)”.

The SEBI chief urged mutual funds to take a more active role by using the stewardship code to represent retail investors at company meetings and increase their involvement.


Puri added that SEBI values mutual funds for their role in the Stewardship Code.

Retail investors still do not fully exercise their voting rights at AGMs, limiting their ability to assert themselves as shareholders, Puri said while flagging the importance of the Stewardship Code, which has been adopted by both the mutual fund and insurance industries. She said it holds significant value in ensuring investors have a voice. Buch said she has faith that the mutual fund industry would continue to strengthen the code, ensuring the ecosystem operates in the best interest of shareholders.

"This is the Viksit Bharat we talk about, where the girl child is healthy, educated, has digital access and a smile. To get to that place, we as an industry have to make sure that every citizen of the country participates in this huge wealth creation that is happening in our country today," Madhabi Puri said.

(With ToI inputs)