Don't expect markets to correct sharply: Axis Mutual Fund's Chandresh Nigam

Bigger fund sizes are making fund houses more conscious of liquidity and capacity management, says the CEO

Domestic investors have become meaningful participants in the Indian equity market, said Chandresh Nigam, chief executive officer, Axis Mutual Fund. In an interview with Ashley Coutinho, he said generating alpha would be a bit more difficult unless investment processes gather pace. Edited excerpts:
 
The total size of the mutual fund (MF) industry is at Rs 22 trillion, with equity assets of over Rs 8 trillion. What changes do you foresee as the industry grows in size?
 
The large size will fundamentally alter many things. To highlight a few, domestic investors are now meaningful compared to foreign investors in