Passively managed funds will gain market share in future: NJ India's Choksi

Indian investors don't understand smart-beta products yet, says Neeraj Choksi

NJ India Invest, the largest mutual fund (MF) distributor in the country in terms of commissions, has sought approval from the Securities and Exchange Board of India (Sebi) to start its own MF business. Neeraj Choksi, co-founder of NJ India, tells Jash Kriplani in an interview why his firm wants to diversify into the fund management business and shares his views on the changing industry dynamics following the new fee structure. Edited excerpts:

What drew you to the fund management business?

We want to create a business centered around exchange-traded funds. Globally, we are seeing huge demand for smart-beta products. Passive funds