Mutual fund rules are going to change, now you can become a millionaire by spending only 250 rupees!

Market regulator SEBI has taken a big decision to increase the number of investors through mutual funds. SEBI Chairperson Madhabi Puri Buch said that soon people will be able to do SIP in mutual funds for just Rs 250 per month. Its purpose is to make this scheme accessible to a wider section of the population and make mutual funds more accessible to investors.

Speaking at a CII event, Buch said that this initiative is being worked on in collaboration with the mutual fund industry. Through which investors will be able to avail the benefit of monthly SIP of Rs 250. He said that the industry is in discussion with the Association of Mutual Funds in India (AMFI) and major players in this sector to implement this initiative.

Now you can avail SIP facility for Rs 250 per month

He said that efforts are being made to popularise the Rs 250 SIP so that it can reach the masses. Aditya Birla Sun Life Mutual Fund has reportedly played a key role in creating this Rs 250 SIP format, which, if successful, will be the first of its kind by any mutual fund house in India.

Butch believes that when people get the option of investing with ₹250 per month, they will participate enthusiastically and will be able to create a big fund in the future. The formula of about 3 dollars per month is surprising people around the world. But for India, this is the path to ‘developed India’.

Will SIP reach every home?

Madhabi Puri Buch said the mutual fund industry is prepared for this potential change, stressing the importance of co-creation and collaboration between the regulatory and industry stakeholders.

It is worth noting that till now SIPs with a minimum amount of Rs 500 per month are available. At the same time, in this program, Buch refused to comment on Real Estate Investment Trust (REIT) and said that rules for simplification of such units are present.

He said, ‘If I say even one word on REIT, I will be accused of conflict of interest.’ Buch said this at a time when American short selling company Hindenburg Research has raised questions in a report about possible conflict of interest related to him and private equity firm Blackstone.