SEBI proposes salary deductions and unit commissions for mutual funds
The Securities and Exchange Board of India (SEBI) is looking to shake up the rules for mutual fund investments.
Right now, you can only pay from your own bank account, but the new proposal would let employers deduct money straight from your salary (if you opt in), allow commissions to be paid in mutual fund units, and even enable donations through funds.
It's all about making things smoother and more flexible.
SEBI wants KYC, consent, audit trails
If this goes through, listed companies, EPFO-registered companies, and asset management companies (AMCs) could handle payments for employees who choose their own investment schemes.
Distributor commissions might be paid as mutual fund units, and donations could flow directly via funds.
To keep everything legit and secure, SEBI wants strict know-your-customer (KYC) checks, written consent, electronic payment modes, and clear audit trails.
The plan's still open for feedback before anything gets finalized.