NEW DELHI: Helped by growing interest from retail investors and aggressive buying of stocks, mutual fund industry grew at a rapid pace in 2016 with addition of almost 4 lakh crore, or 28 pct, to its asset base and is looking to cross 20-trillion mark in the new year.

Having already attained a record asset under management (AUM) of 16.5 lakh crore in November, the fund houses are looking to end the year 2016 with a total kitty of 17.3 trillion, industry experts said.

Fund houses are also upbeat about the industry performance in the new year while expecting investment from new investors to fuel the growth of the sector.

Also, demonetisation of high-value currency notes could have a positive impact, with the industry betting big on conversion of cash assets into financial investments.

“The assets under management of the mutual fund industry is quite likely to cross the 20 lakh crore mark in next year,” Quantum Mutual Fund Chief Executive Jimmy Patel said.

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