Providers write to Sebi, FinMin; launches may hit pause.
Minimum investment size under portfolio management services may be raised, so that small players can avoid risk.
According to technical analysts, the Nifty could trade in the range between 7,400 and 7,700.
Bluechips underperform in recent rally.
Of the 280-odd equity schemes that have been in existence for five years or more, 190 funds or about 70 per cent of those funds have outperformed their respective benchmark indices.
The return of investor confidence in the equity markets is bringing some of the large companies back to the fund-raising table.
Sensex gains 2.4%, Nifty crosses 7,000; investors feel exit polls have vindicated their stand
Besides foreign flows, corporate earnings and US Federal Reserve chief Janet Yellen's testimony to the nation's legislature are also likely to impact investor sentiment.
Any change in rates would mean more volatility; else, poll outcome-fuelled rally expected to continue.
Of the 70 international feeder funds, more than half have made losses in 2014.
Gripped by the pre-election frenzy, Indian markets seem to be factoring in the victory by the Narendra Modi-led BJP.
Institutional investors - both foreign and domestic - lapped up the government's big-ticket share sales on Friday, helping it add nearly Rs 9,000 crore to its revenue kitty.
Analysts said FIIs had created long positions worth Rs 9,700 crore (Rs 97 billion) in index futures till recently.
Market sentiment around the stock has continued to be positive on the back of improving outlook for the US economy and anticipated weakness in the rupee.
Also keenly watching inflation numbers, with wholesale inflation data expected today
Three closed-ended equity schemes have been launched in the past month or so and another is set to open soon for subscription.
The progress on US debt ceiling talks, domestic inflation numbers and second quarter earnings of companies are expected to keep investors busy in the truncated trading week ahead.
These investors have pumped in about Rs 6,900 crore (Rs 69 billion) in the seven trading sessions after the Federal Open Market Commission meet.
The value of the index, adjusted from its all-time high for the relative loss in the rupee's value, is close to sub-10,000 levels.
managers said the weaker rupee, which has driven up shares of technology companies, has helped the fund fetch better returns.