Mutual fund derivatives exposure nears Rs 2 trn on increased arbitrage play

Turnover share in segment under regulator scrutiny also shows signs of increase since 2018-19

Mutual funds are becoming a larger force in the derivatives segment, accounting for greater exposure by value and as a percentage of the total money they manage.

The net value of mutual fund derivative exposure was Rs 1.9 trillion as of July 2024, according to data compiled by primemfdatabase.com. Aggregate data on mutual fund industry exposure to derivatives is not readily available. The numbers were compiled from disclosures by individual asset managers and shared with Business Standard. This is the highest value in numbers going back to 2018. The money that mutual funds manage