In a move to regulate mutual fund distribution business, Sebi said it has notified regulations to set up a Self Regulatory Organisation (SRO) to monitor distributors of mutual fund and portfolio management products.
Mutual funds will use part of their Assets Under Management (AUMs) to finance the operating costs of a Sebi-proposed Self Regulatory Organisation (SRO) to regulate their agents and distributors.
The Sebi Mutual Fund Advisory Committee is understood to have accepted the demand of the MF industry, including hiking expense ratio, at their meeting today.
It is learnt from the sources that SEBI's mutual fund advisory committee is thinking over the possibility of making fund house pay the brokerage fees as well as securities transaction tax from their own pockets. CNBC-TV18's Vidhi Godiawala reports more quoting sources on what it means to the Mutual Funds (MF) industry.