India’s mutual fund ecosystem, managing ₹75.6 lakh crore across 24.3 crore investor accounts, is preparing for major disruption following SEBI’s October 28 discussion paper. The regulator proposed steep brokerage cuts—from 12 to 2 basis points for cash transactions and from 5 to 1 for derivatives. Analysts estimate annual revenue losses between ₹15,000 and ₹18,000 crore, directly hitting AMC profitability and fee structures. Industry experts anticipate consolidation among smaller fund houses and a shift toward automation-led efficiency. While asset managers assess margin impact, investors are expected to benefit through reduced costs and greater transparency in fund operations.