1 Finance gets in-principle approval for India's first MF Lite AMC licence

1 Finance has received SEBI's in-principle approval to establish India's first MF Lite asset management company, targeting a Q4 FY27 launch. The proposed AMC will offer passive investment products, including index funds and ETFs, subject to final regulatory registration.

1 Finance has received in-principle approval from the Securities and Exchange Board of India for India's first MF Lite asset management company licence, paving the way for the personal finance advisory and wealth-tech firm to enter the mutual fund industry.

The proposed AMC will focus on passive investment products, including index funds and exchange-traded funds, under SEBI's MF Lite framework. The launch is targeted for the fourth quarter of financial year 2026-27, subject to the company completing regulatory and operational requirements and receiving final registration.

Mutual fund schemes can be launched only after SEBI grants final registration.

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The approval marks a key step in 1 Finance's plan to build a broader personal finance ecosystem combining financial planning, investment solutions and wealth management. The Mumbai-based firm has more than ₹17,000 crore in assets under advice.

"For us, financial planning and investing are deeply interconnected. We believe the real value of financial advice lies not in chasing market returns, but in helping families make better financial decisions through the right asset allocation, tax efficiency and disciplined investing," Jeet Marwadi, co-founder and managing director of 1 Finance, said.

He said the proposed entry into asset management was a natural extension of the company's approach, with a focus on "low-cost, diversified and rules-based investment solutions".

MF Lite is intended to provide a regulatory framework for passive investment schemes such as

index funds and ETFs. For 1 Finance, the proposed AMC would extend its existing financial-planning platform into investment products designed to be integrated with clients' long-term financial goals.

"Our proposed entry into the MF Lite segment reflects our ambition to make investing a more integrated part of personal financial planning," Keval Bhanushali, CEO and co-founder of 1 Finance, said.

"We believe investment solutions should be simple, transparent and cost-efficient, while helping investors stay aligned with their long-term financial goals," he said.

Bhanushali added that the company's immediate focus would be on building a foundation for sustainable growth, with investor interests at the centre of its approach.

1 Finance is a personal finance advisory firm focused on holistic, goal-based financial planning. It provides hyper-personalised advice through qualified advisers and is backed by the Marwadi Chandarana Group, which has interests across education and alternative energy.