Influence of Demographic Variables on Mutual Fund Investors' Behaviour

Abstract: Mutual funds are pivotal in attracting small and medium investors and boosting the capital market. Investors favour them due to various benefits, including tax advantages, reduced risk, potential for capital appreciation, and cost efficiency. Over the past decade, the mutual fund industry in India has witnessed remarkable growth. Assets Under Management (AUM) surged significantly from 2014 to 2024, reflecting a rise in investor participation. The number of schemes available through Indian mutual fund companies has also increased, showing that investors are increasingly channelling their savings into these funds. Public and private sector mutual funds have been instrumental in this growth. For instance, they mobilized Rs. 314,706 crores in 2002-03 and reached a peak of Rs. 17,39,031 crores by 2023-24, with public sector funds contributing approximately 80% of the total mobilized funds. Despite this progress, the Indian mutual fund industry still lags behind its counterparts in developed countries. This study employs both primary and secondary data, using percentage analysis and Chi-square tests, to explore hypotheses related to mutual funds, investment trends, and investor awareness levels in the Delhi-NCR region. Keywords: Mutual Funds, Investments, Awareness Levels, Retail investors, Asset Management Company