Sebi's one-scheme-per-category rule is harsh: Morningstar's Anthony Serhan

Interview with Anthony Serhan, MD, research strategy (Asia-Pacific), Morningstar

Markets regulator Securities and Exchange Board of India (Sebi) has said a mutual fund house can have only one scheme per category. The move will impact a number of fund houses, particularly the larger ones that operate as many as a dozen schemes in some categories. Anthony Serhan, managing director, research strategy, Asia-Pacific at Morningstar, says the new rule is harsh. In an interview to Samie Modak, Australia-based Serhan, an expert on investment themes and trends, says India’s mutual fund industry has a lot of potential to grow. Edited excerpts:

Indian equity mutual funds are getting over $3 billion every