  As the Indian economy grows digitally and becomes more financially inclusive,
more and more investors have started to invest in the Indian capital markets.
The number of retail and institutional folios with Indian mutual fund schemes
have continued to rise for the 74th consecutive month. This study considers 139
mutual fund schemes (98 equity schemes) and aims to ascertain the various
metrics and parameters, retail and institutional investors continue to rely on
to make investment recommendations. We compare these with the results from a
data envelopment analysis model that generates an efficiency frontier based on
an optimal risk, cost, and return trade-off. We further put forth an iteration
of the DEA model, not only considering risk, cost, and return characteristics
but also incorporating metrics such as the information ratio which hold
significance for retail and institutional investors. We compare these results
with traditional metrics and fund rankings published by established industry
rating agencies.
