As per the information provided by Securities and Exchange Board of India (SEBI), as on October 31, 2021, there are around 2.75 crore mutual fund (MF) investors, 7.38 crore Demat account holders and 1,324 SEBI Registered Investment Advisors (RIA). This was stated by Union Minister of State for Finance Shri Pankaj Chaudhary in a written reply to a question in Lok Sabha today. The ratio of Mutual Fund investors and Demat Account holders to the Registered Investment Advisors (RIA) in India is around 76,510 : 1, the Minister added.

Giving more details, the Minister stated that the total number of Demat Accounts at the end of last three years and increase in number of Demat Accounts therein are as follows:

Data for the Financial Year	Total Number of Demat Accounts (in Lakh, at the end of year)	Increase in number of Demat Accounts compared to previous year (in Lakh)
2018-19	359	39
2019-20	409	50
2020-21	551	142
2021-22 (upto October 31, 2021)	738	187

The Minister further stated that SEBI (Investment Advisers) Regulations, 2013 were notified on 21.1.2013 in order to strengthen the regulatory framework for Investment Advisers. Subsequently, certain amendments to the Investment Advisers Regulations were notified on 3.7.2020, the Minister added.

Answering a question on whether the high barriers to entry have led to the reduced number of authorized financial advisors in India, the Minister stated that as per the information provided by SEBI, the registered Investment Advisers have increased from 1,298 (as on June 30, 2020) to 1324 (as on October 31, 2021).

Investment adviser regulation strengthened alongside rapid Demat account growth, highlighting adviser coverage and market participation dynamics. Demat account holders increased to 7.38 crore and mutual fund investors to around 2.75 crore as of October 31, 2021, with year on year increases in Demat accounts over recent financial years; the ratio of investors to Registered Investment Advisers highlights investor distribution. The SEBI (Investment Advisers) Regulations, 2013 and subsequent amendments of July 2020 are noted as the regulatory framework governing investment advisers, with a modest rise in registered Investment Advisers during the period.