[Music] you [Music] hello and welcome and let's talk about the generation ishutin that has been that set a record marked where you love you have had now 1 million pledges that have been taken and we are still counting jena mesh by this entire 1 million number becomes a path breaking initiative it becomes a world record by itself and journey which you know has hit over 10 lakh pledges for this entire event this is another milestone for ET now journey wish investor you know for future is probably what we are trying to say use mutual funds to bolster your financial products that's essentially you know what you know one is one is trying to say one is trying to do so in this special programming we have a whole host of guests and you know largely you know we are going to talk to them take their views on generation what essentially do they believe is the way going ahead so that's that's probably what we're trying to do and trying to reach out as to what's happening in terms of you know Jen nyesha now let's go across first to my colleague AJ he's with us now the rise of new HR 2018 has been one of the biggest victories of this year that is going to go by where retail investors have continued to participate into this boom with create attendance Ajay Sharma tells us the trend and s IP flows for the year take it away Joe but clearly a success of the generous program the world's largest investor outreach program clearly in a way tells about how the retail investors come of age in fact if we did see that not only is the penetration of financialization and financial assets and preference towards si peter cetera is increasing in the country but the size and magnitude is only going higher about a billion dollar plus monthly SI p flows this year YTD also indicate that the retail investor doesn't get perturbed by falls in the market they in fact help neutralize a lot of a fire flow this year in fact there is a clear preference towards the investor community towards financial assets because of low or absolutely no return in some cases from bullion from gold precious metals and even real estate a property across the country is very subdued so there is a general tendency which is being observed a major shift which is happening which also was a big factor for the Jewish et now AM free generation program becoming a mega success so 1 Million number and the count is on and who knows that in coming years we would actually see from four four and a half percent of the population choosing to invest in financial assets equities in particular the number could go up to thirty forty percent in the next decade or two just like any other large developed markets have are witnessing like us France and even UK has got almost 25 to 30 percent preference towards si P then equity is in general so we are with the finger tectonic shift among the retail investor community right this is a tax holiday for joining us with that I'm going to very soon go across to Jewish for the math behind that Janovich is a very proud moment for ET now not only do we bring you up to speed with what's happening in the markets you also trying to be a responsible stakeholder in the markets all with the idea of helping you get richer and secure your future before you go to Jess Michaels let me ask you a question did you take the gender wage pledge I didn't I did it on the very second day when we launched it I did only once I did VT I just wanted to say that on air that I did it on day one anyway now going to judge a large part of the domestic influence and mutual funds have come in by the S IP route this validates the premise of a movement like Janovich that has encouraged investors to invest regularly and we also producer to keep showing you the phone number that all if you have to give a missed call to to pledge your one day's income to secure your future that number coming up for you on your screen as well but Josh bring us up to speed with the map well clearly the success of the journalist initiative was in fact also reflective in the am fees numbers that came out earlier this month so if you have a look at the data that was released earlier this month for the month of October the net inflow in fact stood at about 35,000 or close now this is significant given the fact that the previous month we had seen an overall outflow of about 2.3 lakh throws and that was a you know the most in about 10 years that we had seen such a big outflow number now if you look at equity that as an asset class did extremely well because equity in flows which is inclusive of for the ELSS that came in at about twelve thousand six hundred odd crores and it in fact climbed on a month on month basis from about 11 lakh eleven thousand one hundred crores and it was the highest level inflow number that we saw for the equity asset class since the month of feb 4 the asset under management now that in fact came in at about twenty two and a half lakh crores you know that's all marginal jump on a month on month basis but nothing are you know significant over there but if you have a look at the equity asset class the assets under management that has been steady at about the seven and a half to eight lakh crores so you know that's the larger trend that we're seeing for the industry itself given this year but what a surprising was that the s IP number which are you know shows the confidence of the retail investor that has been displayed and the maturity of the retail investor as well so if you have a look at the SI p number that has come in nearly eight thousand cross which is once again a record high so you know or thumbs up for the retail investor and the generation initiative as well and so much for that generation we have a very special panel now joining us to discuss about the success of John newish what's the way ahead and what are the benefits of regular in investment let's first go across to NS Venkatesh chief executive of she's a chief executive at MP mr. Venkatesh you know generations at 1 million pleasures your thoughts and importance on regular investments it's indeed a wonderful day for us in the sense that over a million people have pledged to invest one day of their salary per month into the mutual fund sort of thing which is which is new investors coming in so to that much extent the investor education efforts that amphi along with The Times Network has put in through the gender-based program is showing a good amount of traction and I should thank times network for assisting amphi in launching this generation program and I'm quite confident that this will this program will succeed and we should we should see more and more new investors taking the pledge having said that I would say that the new investors the number of folios the new investor folios are really growing at somewhere around 19 19 20 percent per month over the last six months so that is a healthy sign that we are seeing and the markets may be volatile and that is that is a very nature of a market and I would always say that the investors should be very very disciplined and they should continue to invest in a disciplined manner towards that the systematic investment plan or sip as we call it is very very well received by the investors and we are seeing a poor traction in sips numbers over the last six months the SIP numbers are showing an upward trend only come despite the market being volatile we are seeing an upward trend in ships that's that's a good sign that that actually indicates that the investors are getting matured and more disciplined when they are investing into the equity markets through the mutual fund vehicle ok time now to invite a ball on the show is of course the CEO of auditable a Sun Life AMC you see him very often and et now he's also been one of the those who have helped Germany very to kind of success it has always a pleasure chatting with you Bala you know you've been a part of this initiative it's in a mentis occasion for all of us that are trying to improve the penetration of the markets the mutual fund industry to you know make and secure the life of all of 18 our viewers what does it see or experience being like yes the great pride moment for the entails MF industry I still remember the discussion that we had with the vamp networks and Raquin in the team and along with the MC literacy committee members and brainstormed as to how do we actually take the industry to the next level and then we came with the beautiful ideas the name of such any wish and every city in the country has to take a pledge to pick that's it and while the initial numbers were sticking in 2000 life and to life and I see the number of million pledges that's definitely say it's a it's a big achievement equipment and something with all of it you take pride and being part of MF industry for long actually I'm honored to take this as NP R in this PSS right baller do you think it is just the first milestone the idea is to bring more and more awareness about investing into ships that the trail has been going actually the last great self sometimes I think sometime aware I am saying maybe not for some second I'm saying after nine crisis the investors understanding of investing in which is perceived in growing rapidly and there has been increased the realization among the investing public that the best to it in verse in mitchell furnaces SAT and sometimes one day when we ask people about investing in mutual friend sometimes they even say that I ignore any it was a lot of ignorance that said that they're in the gym ASAP and not individual funds activating is a in the momentum and if agenda which program jointly with the time set work and they say to promotion that all of says do as an industry body and it would definitely industry to not only close the size also they have a large pool of so a customer base across industry they average it another time having a boolean Mitchell front accountant a Barra hang in there I'm just going to go across one of my other guests NS Venkatesh what I want to get a sense from you is on how one should be navigating their way through this volatility look at the kind of volatility you've seen in the markets it's not going to go anywhere for the next six to eight months of all the time times ahead whether it's global in nature the general elections 2019 or the crude market what I want to ask you is it is it now more than ever relevant to perhaps I'll be safer approach si PS be more discipline is that the right way to approach the markets and of course make our wallets fatter and thicker I definitely agree with you in the sense that there are very very many volatile factors which are on the horizon so the that that could actually take the market up or market down both ways it is possible having said that I would I would definitely say that the mutual fund investors should continue to use SIPP as an investment vehicle and continue to stay investor because what happens is despite the market moving up and down if you stay invested over a longer period of time for the goals that the investor has set then they tend to accumulate wealth or that longer period of time and meet their goals so I would I would always say that it is better for them to invest through sips this was somatic investment plan and the remain invested despite the market moving up and down because that is a very nature of the market so I think I think the investors are behaving well the credit for that should also be given to the registered investment advisors and the mutual fund distributors who are reaching out to these investors and having a holding and a helping hand where they are able to communicate this mantra of stay invested for a longer period so that they reap the benefits of investment over a longer time period it's only about 1 million do you think more such effort needs to be taken to further encourage Omni shock I would say so I would acknowledge the support of times now for coming up with this generation program and this is only the beginning of that program we are we are quite clear that this program will keep on unfolding over the next six to twelve months so that more such investor initiatives will be there where the investor awareness will be the key point for MP to deliberate upon and deliver and we are we are quite sure that more such programs will unfold and with that we are we are confident that the investing public will take mutual funds as the investment vehicle for them to test the equity markets and then once having tested they will continue to remain with the mutual fund here as an investment vehicle using SIPP as the investment process the macroeconomic fundamentals of the country looks to be very very decent and looks to be promising so that that in turn will bring a lot of wealth for the investors who remain invested over the longer term so I would submit to the investors that they should use this as an opportunity and start investing early and take advantage of their early investments through the SIP route okay gentlemen hang in there it's time for a short commercial break are you watching the special in 18-hour janda fish special remember the times Network initiative I will be back in less than 2 minutes and we've got many more experts lined up for you [Music] welcome back you're watching this special program on the thais network initiative janab Asia which has received 10 lakh pledges so it's a resounding success that much is given now let's get you to big market voices nimisha of ICICI through and synthetic our Alliance Nippon life with their experience on as far as Janovich goes and their advice to investors to all of you that is I am very happy with the way mutual fund industry has been structured overall in the way the way it has been regulated so very pure product for the file and investor now what was the challenge the challenge in front of us is that India is growing at 7 to 8 percent if you see the nominal growth it is more than 10 to 12 percent now how does the common man of India participate in the growth of the country and beats inflation in the country that was a question mark so since this product is regulated so well by the regulator I believe over a period of time it will make wealth for the investor so I am very happy that the common man has started coming into mutual funds by this what will happen he will be able to participate in the growth of the country so that's up your right I think if you look at the mutual fund the industry has been growing and if you look at the theme of the conference also today has been distribution it's not only about mutual funds but it's across all product 0 insurance banking life insurance general insurance I think one thing clearly comes out you know across all industries if you were to see the penetration of financial products in India is very low and if you have to reach out to these investors I think distribution is going to hold the key so I think there is no debate I think it's a foregone conclusion I think the industry and any industry cannot grow till the time we have well oil distribution machinery so today also in the conference I think that what came out clearly is distribution is going to be must how do we ensure I mean the entire distribution is done in a manner which takes care of the interest of the customer also as well as helps in the growth of the industry right let's welcome in SRAM leave our sue or HDFC AMC charlie the s IP flows as well I you know have remained particularly strong despite volatility that you are seeing in the market is this an indication that investors have become matured too now the industry is around to eight thousand crores per month as si piece which is a very big achievement and if you can keep this momentum on it certainly is an indication of majority of markets and financial inclusion I think it gives a lot of reason for all of us to push this concept of si piece which is small savings encourage small savings so that everyone can participate in this big movement that we have what about the contribution of advisers and helping investors with their asset allocation decision sham do you know how important a role is that and let's be honest you know what is your experience being to investors choose the fun house or the choose the fund manager I think advisors are very very crucial because you know you need the way you need like a family doctor or a lawyer or a chartered accountant you need a wealth creator for you in the form of an advisor it makes sense for an advisor to teach your client what an asset allocation is and if it is sold properly then the client does not get unnerved when the markets dip or tanked so it's very important that our investors who are walking in in this industry for the first time are sold correctly so that they don't have an unpleasant experience in mutual funds and a role of an advisor is extremely crucial because our financial literacy levels are still not the best and we will it's a concept that we are trying to sell it will take a long time but if you're on the right path I think our advisors will contribute immensely to this well-being and wealth creation for the economy okay now let's invited in the commodity of value research I didn't you know I know you're very strong views on this one so active and passive funds which was deeply furthermore importantly what's the advice to all of those that are joining Genovese that are watching you right now what should be the preferred investment instrument for investing index funds are making small intro'd the index funds are making you know becoming popular they look like becoming popular they are actually not popular simply because you know employee Provident Fund organization started investing in in the index fund so that has turned out to be one of the largest equity fund largest fund which which is an index fund very quickly to date if close to you know forty thousand crore built in the you know shortest period of time and it will keep getting bigger so index funds are and it's a very low cost and so I would say that index funds are becoming popular and against the large cap funds one should you know the mutual that the large cap mutual funds they have lost the game I don't think they stand a chance and it is entirely their creation because they are expensive the 2% you know expense charged on a carrier and the compounding effect of that as compared to you know if you invest in the index fund and if you invest in a good large cap fund which is able to you know once in a while beat the index by a by two three percent margin they will be equal so you will be assured of you know doing just as good as the index you guaranteed to do that and that you are not guaranteed to do with a actively managed large cap fund but apart from that I think the KFOR mutual funds and the actively managed mutual fund for most individual investors still remains very strong very completely running out of times at this juncture like to thank all of you for joining us in as we celebrate the success of Genoveva 10 lakh that is in here's a hoping for another 10 lakh pledges in half the time many thanks for watching [Music] [Music]