Sebi asks MFs to Disclose absolute Commission paid to Agents

With an aim to bring in greater transparency in dealings of mutual funds, markets regulator Sebi today asked them to disclose the exact commission paid to distributors as against the investments garnered from subscribers in each MF scheme. 

 

The fund houses will also have to disclose in the Consolidated Account Statement (CAS), sent to investors, the ratio of the total purchase value, cost of investment and average Total Expense Ratio for each scheme's plan (regular or direct or both) where the concerned investor has actually invested in. This will be applicable for consolidated account statement issued from October 1. 

 

The statement issued for the half-year ended September and March would provide "the amount of actual commission paid by AMCs/MFs to distributors (in absolute terms) during the half-year period against the concerned investor's total investments in each MF scheme".

 

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