Title: Is technology an enabler in the growth of mutual fund sector? A comparative study of BRICS nations

Authors: Aman Grade; Tanmoy De

Addresses: Symbiosis Institute of Business Management, Hyderabad, Symbiosis International (Deemed University), Pune, India ' Symbiosis Institute of Business Management, Hyderabad, Symbiosis International (Deemed University), Pune, India

Abstract: The paper analyses the progression of technology as an enabler in the mutual fund industries of the five emerging economies, i.e., Brazil, Russia, India, China, and South Africa. The paper discusses the growth in terms of their FinTech adoption, total asset size, number of funds and average size for each industry. It compares the percentage of total assets under management in terms of global market, their equity mutual funds as a percentage of total market value, market concentration, technology as an enabler to facilitate transactions, and the distribution channels. The paper finds China as the biggest contributor among BRICS to the global mutual fund industry. Their direct digital distribution channels hold more than 80% of the sales. Following China is India, with their direct channels contributing almost 50% of the sales. While traditional channels are the norm in Brazil, South Africa and Russia, predictions indicate a digital future for them.

Keywords: mutual funds; emerging economies; asset allocation; asset management companies; AMCs; assets under management; AUM; FinTech; BRICS.

DOI: 10.1504/IJESB.2022.126725

International Journal of Entrepreneurship and Small Business, 2022 Vol.47 No.2/3, pp.336 - 375

Received: 15 Jan 2021
Accepted: 07 Jan 2022
Published online: 03 Nov 2022 *

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