SEBI tightens mutual fund startup rules in India for transparency
SEBI just rolled out new rules for anyone wanting to start a mutual fund in India.
Now, sponsors have to share way more details, like who really owns them, how they're run, their financial health, and if they've had any regulatory issues.
The goal? More transparency for everyone involved.
Mutual fund unified application mandates disclosures
Instead of juggling existing forms, there's now a single application that covers everything.
Sponsors also need to show their shareholding patterns, their proposed contribution to the asset management company (AMC), both in absolute terms and as a percentage of shareholding, and provide five years of certified financial statements.
Plus, they must prove at least five years' experience in financial services and a solid profit track record, or make sure the AMC has ₹150 crore net worth at registration.