HO/(83)2025-IMD-POD-1/I/152/2025
circulars · 1992 · State unknown
Parent: THE SECURITIES AND EXCHANGE BOARD OF INDIA ACT, 1992 (7c4c1f5343adab106c3a94cafc08a5ecf5957ae7)
Text
Rule TOC
3 · 1. New investments / inflows eligible for the additional commission –
3 · 1.1. New individual investors (new PAN) from B-30 cities, at the mutual fund industry level;
3 · 1.2. New women individual investors (new PAN) from both Top 30 and B -30 cities.
3 · 2. Incentive Structure:
3 · 2.1. AMCs shall pay additional commission to distributors for onboarding eligible new investors, subject to the conditions specified in para 3.1 above .
3 · 2.2. The structure of such additional commission shall be as under:
3 · 2.3. The additional distribution commission shall be paid from the 2 basis points on daily net assets, mandated to be set apart annually by AMCs for investor education , awareness and financial inclusion initiatives, subject to adequate claw back provisions.
3 · 2.4. The additional commission specified at para 3.2.2 shall be in addition to the existing trail commission paid to the distributor from the scheme.
3 · 2.5. Distributors shall be eligible to receive the additional commission for mobilizing investments from new women investors from Top-30 cities and in cases where the commission for new investment from B -30
3 · 3. Investment in scheme not eligible for additional commission:
3 · 3.1. Exchange Traded Funds (ETFs);
3 · 3.2. Fund of Funds (domestic) with more than 80% of Assets Under Management (AUM) invested in domestic funds;
3 · 3.3. Schemes having duration requirement of less than one year: