Investing in India has evolved, with many people exploring mutual funds and seeking guidance on building wealth systematically. Questions around choosing the right fund, understanding risk and making informed decisions are becoming increasingly central to the investment journey. In a special episode of NDTV Profit's Building Bharat's Wealth, Mindfully, Ujjwal Jain, CEO of Share.Market (PhonePe Wealth), and Nilesh D Naik, Head of Investment Products, Share.Market (PhonePe Wealth), shared how the company is helping investors make smarter and more informed investment decisions.
Post-Covid Transformation
According to Ujjwal Jain, the pandemic triggered a shift in how Indians approach wealth creation. He says pre-COVID, most people relied on traditional instruments like fixed deposits, gold, or residential real estate. “Post-Covid, investors have increasingly moved away from traditional wealth instruments toward financial products, with mutual funds emerging as a key option,” he says, adding that SIPs in equities are now widely seen as instruments that offer better long-term returns than fixed deposits. Jain also highlights the role of technology in this transition. He says UPI has made it very easy to onboard digitally and set up SIPs. “These factors collectively have helped people shift to financial assets, especially mutual funds,” he adds.
Smart Investment Choices
While access to mutual funds has improved, Jain stresses that “what is the right mutual fund to get into” is the bigger challenge. Usually investors follow trends or choose funds randomly in the fear of missing out. This is an opportunity for platforms to guide investors with the right information to facilitate long-term wealth creation. Adding to this, Nilesh D Naik, said “Sticking to core products like large and mid cap, flexi cap and value funds are ideal for investors looking to start SIPs to create long-term wealth.” More importantly, investors should focus on SIPs because it takes away the timing risk, he adds. To address the investor challenges, Share.Market has launched the CRISP methodology which stands for Consistency, Risk, and Investment Style of Portfolio. Naik explains,
"We look at the risk in terms of standard deviation of funds, and compare it with the peer group."
Jain adds that the team examines five years of fund data, holdings, and rolling performance to provide a forward-looking perspective. Naik highlights a critical insight: “Previous three years' returns and the next three years' returns are close to zero,” meaning past performance alone isn't a reliable guide. Therefore, it has become important for platforms to help investors avoid big mistakes and maintain investment discipline that matters more than chasing historical returns. Choosing the right fund is essential as it directly impacts returns, risk, and long-term wealth creation.
Making Mutual Funds Accessible
To further ease entry into mutual funds, Share.Market has introduced daily SIPs starting at Rs 10, enabling daily wage earners and lower-income households to cultivate disciplined investing habits. This approach is gaining traction, especially in tier 2 and tier 3 cities, making wealth creation achievable for a broader population. “Mutual funds are out there available to most at a lower entry barrier,” says Mr Jain. But access alone isn't enough. Platforms must provide the right knowledge so investors can make informed choices and build wealth over decades.
Long-Term Growth And Discipline
Both Jain and Naik emphasize that long-term wealth creation requires patience and the right guidance. According to Naik, retaining investors and ensuring a positive experience is as crucial as attracting new ones. A long-term approach works best when investors stick with suitable, well-structured products. By managing risk, helping investors choose the right funds, and leveraging accessible technology, Share.Market is empowering Indians to invest smarter and grow wealth steadily, whether starting with Rs 10 a day or building a diversified portfolio for the future.
