History Of Mutual Funds In India
5paisa Research Team
Last Updated: 02 Jan, 2025 12:54 PM IST

Content
- What Is Meant By The History Of Mutual Funds In India?
- A Detailed History Of Mutual Funds In India
- Facts Concerning Mutual Fund Industry Growth
- Future of Mutual Funds
- Conclusion
Mutual funds have provided retail investors with the opportunity to restructure their financial landscape. It serves as a fascinating vehicle for investment that has played a crucial role in the mobilization of savings from individuals and channeling them into different financial instruments, thereby fostering the creation of wealth and rapid growth in the economy of the country.
But are you aware of the history of mutual funds in India? It marks a fascinating journey reflecting the facial growth of the country. This article will delve deep into the roots of mutual funds and how it has brought about significant transformations in the oeuvre of finance.
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Frequently Asked Questions
UTI (Unit Trust Of India) is the first mutual fund of India, established on 1st February 1964 through a joint attempt of the Reserve Bank of India and the Government of India.
SIP, or Systematic Investment Plan, was introduced in India in the late 1990s. The credit for launching the first SIP in India goes to Kothari Pioneer Mutual Fund in 1993, which has now merged with Franklin Templeton Mutual Fund.
In December 2000, UTI launched the very first index fund in India named "UTI Nifty Index Fund," whose main objective was to track the performance of the index of Nifty 50, which serves as India's key stock market indices entertaining the top 50 largest and most liquid stocks that are listed on NSE (National Stock Exchange).
The Reserve Bank of India, along with the collaboration of the government of India, introduced the first mutual fund in India.