India’s Retail Participation May Have Reached its Peak: Saurabh Mukherjea
The retail investor’s participation may not boom as much as the market believes, said Saurabh Mukherjea. During a candid podcast with INDMoney, the Marcellus Investment founder challenged the popular belief that a vast number of Indians are yet to enter the stock market. He argued that the growth story may have already reached its peak. “Only 6% of Indians invest in stocks—and that’s actually a good number,” Mukherjea said, highlighting the latest RBI data. “Net household savings are at a 50-year low. That tells you how few people have formal employment and consistent prosperity. So 6% makes sense.” As per Mukherjea, the argument that stock market participation will skyrocket overlooks economic reality. “We have about 100 million Indians with reasonable, steady jobs. But we already have nearly 200 million demat accounts,” he pointed out. “Even after adjusting for people with multiple accounts, we’re looking at around 150 million unique individuals. That’s already more than the number of people who can afford to invest responsibly.” He dismissed the “wait till the masses arrive” theory as outdated. “The idea that millions more Indians are yet to come into equities? I don’t think that number’s going to grow much,” Mukherjea said. “This narrative has no logical basis.” While discussing the increased participation of new investors he said, “A lot of these people have overextended themselves financially—drawn in by excitement, apps, and bull runs,” he said. “They’ve stretched to get into the market. And when it crashes, they’ll get crushed. They’ll be under the truck,” he added. Mukherjea’s remarks came at a time when retail investor enthusiasm remains elevated, as the equity market is already witnessing record-high opening of demat accounts and booming online brokerage activity. However, he also cautioned those investors who don’t have regular streams of income or emergency buffers. He said, “Now’s the time to focus on financial safety for those already in—not cheer for a wave that may never come.”
India’s Retail Participation May Have Reached its Peak: Saurabh Mukherjea
The retail investor’s participation may not boom as much as the market believes, said Saurabh Mukherjea. During a candid podcast with INDMoney, the Marcellus Investment founder challenged the popular belief that a vast number of Indians are yet to enter the stock market. He argued that the growth story may have already reached its peak.
“Only 6% of Indians invest in stocks—and that’s actually a good number,” Mukherjea said, highlighting the latest RBI data. “Net household savings are at a 50-year low. That tells you how few people have formal employment and consistent prosperity. So 6% makes sense.”
As per Mukherjea, the argument that stock market participation will skyrocket overlooks economic reality. “We have about 100 million Indians with reasonable, steady jobs. But we already have nearly 200 million demat accounts,” he pointed out. “Even after adjusting for people with multiple accounts, we’re looking at around 150 million unique individuals. That’s already more than the number of people who can afford to invest responsibly.”
He dismissed the “wait till the masses arrive” theory as outdated. “The idea that millions more Indians are yet to come into equities? I don’t think that number’s going to grow much,” Mukherjea said. “This narrative has no logical basis.”
While discussing the increased participation of new investors he said, “A lot of these people have overextended themselves financially—drawn in by excitement, apps, and bull runs,” he said. “They’ve stretched to get into the market. And when it crashes, they’ll get crushed. They’ll be under the truck,” he added.
Mukherjea’s remarks came at a time when retail investor enthusiasm remains elevated, as the equity market is already witnessing record-high opening of demat accounts and booming online brokerage activity. However, he also cautioned those investors who don’t have regular streams of income or emergency buffers. He said, “Now’s the time to focus on financial safety for those already in—not cheer for a wave that may never come.”
