On 31st August 2018, TAPMI invited Mr. Mahesh Chhabria, VP (new projects) SBI Mutual Fund to engage the student community in a guest lecture. The topic was “The AUM game: Where is India heading?”.
Mr. Chhabria started the discussion by explaining the importance of interpersonal skills as a Portfolio Manager and it is vital to know when to sell the stocks. He also mentioned that there is a constant need to interrogate the reason behind investments and evaluate if it has been achieved or not. Mr. Chhabria focused on the importance of acquiring and applying fundamental knowledge and theories behind the investments when one is managing funds.
While speaking about Asset Under Management(AUM), Mr. Chhabria vividly explained various factors contributing to AUM growth. He also mentioned that India’s mutual fund business has doubled itself in the last 10 years. Mr. Chhabria described the evolution of the mutual Funds industry in India and how people now see mutual funds as a savings platform. With the advancement of technology and application of data science and analytics in the investment industry, there are tools available to suggest people where and when to invest. These tools analyze the investing style of an investor along with the risk-taking capabilities and provide suitable options to an investor. He opined that while digital innovations can help in applying the required technical and analytical skills, use of technology lacks the creative and intuitive human skills which are equally important to analyze the market.
Mr. Chhabria concluded the discussion by elaborating on the future of the mutual funds industry and various challenges it is facing in India.