Besides, the exchange is planning to provide e-KYC services to stock brokers and other approved intermediaries in the near future, BSE said in a statement.
The Bombay Stock Exchange (BSE) on May 26 launched e-KYC services on its StAR Mutual Fund platform, including Aadhaar and video KYC-based solutions, to provide seamless experience of onboarding of new investors.
BSE said it is also planning to provide e-KYC services to stock brokers and other approved intermediaries in the near future.
To provide this facility to brokers, the bourse will issue Application Programming Interface (APIs) for such brokers and other intermediaries to connect their IT systems to BSE's e-KYC system.
Spelling out key features of the e-KYC solution, the exchange said it is a user friendly web and mobile interface for different participants of mutual fund industry. It allows digital verification of KYC documents and is integrated with KRA (KYC registration agency) systems.
Investors will experience real-time approval in case of successful verification of all IDs and documents.
“BSE StAR MF is the first MF platform to enable e-KYC, which will go a long way in improving the experience of onboarding investors in a seamless manner. It will simplify the KYC process and improve the TAT (turn around time) for completing it,” said Ganesh Ram, Business Head – Mutual Funds at BSE.
“With the superior systems, it will bring in more operational efficiency by reducing error prone and time-consuming human efforts. Consequently, reduce the investor acquisition cost,” he added.
BSE StAR MF contributed Rs 56,038 crore as net equity inflows in 2019-20, which is 66 percent of the mutual fund industry's net equity inflow of Rs 83,781 crore.The platform achieved 5.75 crore transactions in 2019-2020.