MF Distribution Industry Moving Towards Consolidation

Misbah Baxamusa, chief executive officer at NJ Wealth—one of India's largest mutual fund (MF) distributors, with assets under management (AUM) of over ₹2.5 trillion—tells Puneet Wadhwa in an email interview that they're seeing growing interest from salaried individuals, small business owners, and first-generation earners in Tier-II and Tier-III cities, who are aspirational and open to exploring investment avenues. Edited excerpts:

- Misbah Baxamusa, chief executive officer at NJ Wealth

How would you describe the MF distribution (MFD) landscape in India?

The MFD landscape in India is undergoing a major transformation. While fragmentation remains common—especially among smaller independent distributors—the industry is clearly moving towards consolidation. This change is being shaped by clearer regulations, rising investor expectations for transparency, and, above all, the expanding role of technology (tech). In today's dynamic, tech-driven environment, smaller distributors need robust digital infrastructure and operational support to stay competitive. Our key strategy for the next three to five years will centre on strengthening our platform, expanding investor outreach, and deepening financial literacy.

Do you feel Indian retail investors are becoming more long-term oriented, or is short-term panic still dominant in equity/MF investing?