MODELLING THE CONTRIBUTORS OF ADOPTION OF DIGITAL INVESTMENT SERVICES OF MUTUAL FUND DISTRIBUTION

Rapid digitalization has transformed financial services and yet the adoption of mutual funds in India remains low. The purpose of the study was to explore the factors, influencing the adoption of digital investment services of mutual fund distribution. Further, the study aims to develop a model, using Interpretive Structural Modeling (ISM), to understand the dynamics between the factors and find out the driving power of factors, using Matrice d'Impacts Crois & eacute;s Multiplication Appliqu & eacute;e & agrave; un Classement (MICMAC) analysis. Findings revealed that financial literacy, socioeconomic status, and social influence reported the highest driving power. Attitude and trust were highly responsive to system changes, while regulatory support, investor protection, transparency, service quality, and interoperability, contributed gradually. The study would provide insights for mutual fund distributors and policymakers, to enhance the adoption of digital investment services. The development of a hierarchical model, to identify the contributing factors, is a unique contribution of this research.