You attend any Mutual fund gathering these days, they are gung ho about how the industry is going to double in the next 2/3/5 years depending on whom you ask. Let me tell you what I think can go wrong:

1. One banker told me “during demonetization we got just too much cash, so we had to push it out” – that is what we did. We pushed it out to the mutual funds. It was not a sale. It was just an attempt to get rid of the money which was costing us 4% p.a. and we did not want to lend with the NPA hanging over our heads.
2. The money that they have got from some geographies is far beyond the EARNING of that location. I have no clue how the industry collected so much money from various geographies. Caveat.
3. 2 basis points collected for INVESTOR EDUCATION. 1 bps spent on #Mutualfundssahihai campaign.
4. 1 bps spent on doing workshops of ‘Investor Awareness Program’. Excellent. All IAP used as sales pitches.
5. I am sure that the Union of mutual fund managers and the Regulator are the only 2 people who do not know about point 4 above.
6. If the industry has to grow 100% in 3 years for a few years, they cannot be concentrating on 8000 IFA who hold 90% of the aum that is outstanding
7. ……………..THere are many more points I guess…