The Bombay Stock Exchange’s StAR MF platform, the country’s largest online distribution platform for mutual funds, has witnessed a stellar performance in the first half of FY25, processing an impressive average of 50.6 million transactions per month, a significant rise from 30 million during the same period last year. This surge in activity translates to a remarkable 68% year-over-year (YoY) increase, with total transactions processed reaching 162.8 million in Q2 FY25 alone.

With more than 85% of market share by number of transactions among exchange-based platforms in the mutual fund industry, BSE StAR MF processed 42 crore (420 million) transactions in FY24, a 59% growth over 26.5 crore transactions clocked in FY23. At the current run rate of 50.6 million transactions per month, the platform is projected to clock approximately 607.2 million transactions in FY25.

The platform also registered 2,181 new members, taking the total network to over 75,000 distributors in India, as of March 2024. In FY24, the platform registered 2.71 crore new SIPs, a growth of 116% over 1.25 crore new SIPs registered in FY23. During the year, the platform contributed ₹100 crore to the overall consolidated revenue of ₹1,618 crore.

Fuelled by this unprecedented growth, the platform's revenue doubled to ₹58.7 crore in the quarter, showcasing the robust scalability and adoption of BSE's mutual fund transaction ecosystem. October 2024 further set a new benchmark, recording the highest-ever monthly transaction volume of 60.5 million, underscoring the platform's growing relevance in India's mutual fund market.

The country’s oldest exchange continues to prioritise technology investments, including the development of an in-house data centre slated for completion by the end of FY25. With a clear focus on operational efficiency, as evidenced by achieving an overall operating margin of 52% in Q2 FY25, the exchange is well-poised to sustain and expand its leadership in the digital mutual fund transaction space.

Amid an evolving regulatory landscape and rising competition, the platform's consistent growth reflects its strong market position and the growing appetite for digital financial solutions in India.

India mutual fund market share

BSE StAR Mutual Fund Platform surges, processing 50.6 million transactions monthly in H1 FY25