Tata Mutual Fund CEO Sees Liquidity Supporting IPOs and Markets

Anand Vardarajan leads Tata Mutual Fund.

He says India has enough money moving through its markets to support both new IPOs and existing shares.

IPOs are offerings of shares by companies for the first time.

He believes large companies’ shares may be undervalued, even though investors have recently preferred smaller companies.

Many people have continued investing through monthly SIP plans despite limited market gains over the past two years.

He says this shows that newer investors are becoming more patient and aware of long-term investing.

Specialised investment funds, or SIFs, may use more strategies than regular mutual funds, including betting that some prices will fall.

He expects SIFs to grow faster than some earlier fund categories.

Passive funds, which generally follow market indexes, have also grown sharply, along with investments in gold and silver.