In an exclusive email response to The Economic Times, Vetri Subramaniam, MD & CEO Designate of UTI, shared his insights on the Government’s recent GST reforms. Highlighting UTI’s pivotal role, he emphasised how the institution is committed to channelling household savings into productive investments that will fuel India’s long-term economic growth. Excerpts:
UTI AMC has been a trusted name for Indian investors for decades. How do you see UTI’s role in channelling savings into productive investments that drive India’s long-term economic growth?
UTI has always seen itself as a steward of household savings, with the responsibility to serve investors’ long-term interests and contribute to the nation’s economy. Over the decades, we have helped crores of investors make this connection by offering access to capital markets. Our focus remains on enabling investors to participate in India’s growth and building long-term wealth.
With GST fostering greater formalisation and transparency in the economy, how has this reform enhanced investment opportunities, and how is UTI AMC positioning itself to help stakeholders benefit from these structural changes?
GST has been a pivotal reform, improving compliance, reducing inefficiencies, and creating a unified market that supports formalisation and prevents cascading taxes. For UTI, India’s growth is about building a conducive, resilient and formalised economy. Our focus is on identifying businesses that can benefit from such structural shifts, while ensuring investors participate in ways aligned with their goals and risk appetite.
In your view, how do reforms like GST complement UTI’s mission of deepening financial inclusion and empowering retail investors across the country?
GST has expanded the formal economy by bringing more businesses into transparent, accountable systems. Transparency and trust form the foundation for financial growth, aligning with our emphasis on discipline, diversification, and patience. While reforms like GST set the stage, lasting financial inclusion depends on combining formalisation with sustained investor education and trust building.
Which sectors do you believe have benefitted the most from GST, and how does UTI AMC evaluate these opportunities in portfolio strategies?
GST has been especially positive for consumer goods, automobiles, logistics, and building materials, where efficiency and scale matter. The government’s proposal to simplify GST into two slabs is expected to further boost consumption and GDP growth. We focus on businesses that sustain growth in a competitive environment, emphasising governance, capital efficiency, and adaptability.
Looking ahead, how do you envision UTI AMC’s contribution in shaping India’s growth story of becoming a $5-trillion economy?
India’s $5 trillion journey rests on channelling its high savings rate into productive investments, and mutual funds are central to this process. Our focus is on enabling wider participation through accessible and transparent products, while managing investor savings with prudence and a long-term perspective.
Disclaimer
The views expressed are the author’s own views and not necessarily those of UTI Asset Management Company Limited. The views are not investment advice, and investors should obtain their own independent advice before taking a decision to invest in any asset class or instruments.
Mutual Fund Investments are subject to market risks, read all scheme-related documents carefully.
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