Tuhin Kanta Pandey: SEBI to Attract Women with Fund Incentives

The Securities & Exchange Board of India (SEBI) is preparing a new initiative to encourage more women to invest. According to Chairman Tuhin Kanta Pandey, the authority is considering special incentives for Mutual Funds houses that can attract first-time women investors.

Women account for a smaller share of direct investors in financial markets than men. With this step, SEBI aims to promote and ensure that women participate actively in wealth creation and long-term financial planning.

Why SEBI is Focusing on Women's Participation?

Mutual funds have become popular among Indians, especially among young professionals and urban households. However, the participation of women remains limited due to several factors such as lack of awareness, financial hesitation and societal barriers.

By providing targeted incentives to fund houses, SEBI aims to create an environment where women feel encouraged to begin their investment journey. Mr. Pandey highlighted that bringing women into the financial sector will also support the government's broader goal of financial inclusion.

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Possible Incentives for Fund Houses

While details are yet to be finalized, industry experts suggest that incentives could include:

• Reduced compliance costs for fund housesmeeting women investor targets.
• Extra benefits for schemes with a higher share of first-time women participants.
• Awareness and education programs are supported jointly by SEBI and mutual funds.

According to SEBI, such options will help the industry grow and build a more balanced investor base across genders.

Also Read: SEBI Plans Standard Code for Nominee-to-Heir Security Transfer.

Industry Reaction and Way Forward

The mutual fund industry has welcomed their proposal. Market participants believe giving women easier entry points into investments will majorly expand India's investor base. Fund houses are already experimenting with financial literacy campaigns and SEBI's initiative may create the necessary momentum.

Experts add that empowering women through financial independence often multiplies household savings, children's education and economic growth.

From now on, SEBI is expected to release a formal framework after discussions with mutual fund companies and industry stakeholders.

In simple terms, SEBI's plan is about making it easier and more attractive for women to start investing, ensuring that financial growth in India is inclusive and sustainable.