India’s mutual fund industry must evolve beyond merely expanding digital access to focus on enhancing overall investor outcomes, strengthening advisory services, and fostering long-term confidence amid market volatility, according to financial leaders at the Business Standard BFSI Insight Summit 2026. Participating in a panel discussion titled ‘Reinventing Financial Intermediation amid Fintech Disruptions,’ industry executives highlighted how technological innovation, artificial intelligence, targeted education, and trusted advice will shape the sector’s next growth phase. Gaurav Rastogi, founder and CEO of Kuvera, noted that while unique mutual fund investors grew from 10 million to over 60 million over the past decade, future expansion depends on broader economic growth, warning against comparing India’s penetration directly with wealthier nations without considering income disparities. Innovation continues to lower entry barriers, with Nilesh Naik, head of mutual funds at PhonePe, demonstrating how tailored products like daily Systematic Investment Plans cater to self-employed individuals with daily cash flows, successfully acquiring 500,000 users within six months. Supporting this approach, Swapnil Bhaskar, MD and CEO of JioBlackRock Investment Advisors, emphasized that technology enables firms to understand customer needs deeply while reducing operational costs, making micro-investing commercially viable for a wider population. The role of artificial intelligence in financial advisory was another central theme, with Rajiv Bajaj, chairman and MD of Bajaj Capital, stating that AI acts as an empowering tool for investors to validate recommendations rather than a total replacement for human advisors. Bajaj stressed that investors are increasingly utilizing AI-based portfolio analysis to seek independent second opinions on existing investments or direct mutual fund portfolios. Finally, addressing market fluctuations, panellists highlighted the critical need to educate investors on market behavior to prevent impulsive, performance-chasing decisions. Rastogi underscored platform responsibility in providing context through historical data, pointing to initiatives like Kuvera’s weekly newsletter reaching 150,000 readers as essential tools for explaining market cycles and sustaining long-term investor alignment.
