SEBI extends provisions for alignment of interest of Key Employees of AMCs

SEBI extends provisions for alignment of interest of Key Employees of Asset Management Companies (AMCs) with the Unitholders of the Mutual Fund Schemes

SECURITIES & EXCHANGE BOARD OF INDIA

CIRCULAR

SEBI/HO/IMD/IMD-I/DOF5/P/CIR/2021/582

June 25, 2021

All Mutual Funds/
Asset Management Companies (AMCs)/
Trustee Companies/Boards of Trustees of Mutual Funds /
Association of Mutual Funds in India (AMFI)

Sir/ Madam,

Subject: Alignment of interest of Key Employees of Asset Management Companies (AMCs) with the Unitholders of the Mutual Fund Schemes

1. SEBI vide Circular no. SEBI/HO/IMD/IMD-I/DOF5/P/CIR/2021/553 dated April 28, 2021, specified provisions with regard to ‘Alignment of interest of Key Employees of Asset Management Companies (AMCs) with the Unitholders of the Mutual Fund Schemes’. The aforesaid circular was to be applicable with effect from July 01, 2021. However, based on the feedback received from stakeholders, it has been decided to extend the date of implementation of the circular to October 01, 2021.

2.This circular is issued in exercise of the powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992, read with the provision of Regulation 77 of SEBI (Mutual Funds) Regulations, 1996 to protect the interests of investors in securities and to promote the development of, and to regulate the securities market.

Yours faithfully,

Divya Kulshrestha
Deputy General Manager
Tel no.:022-26449357
Email: divyam@sebi.gov.in

• SEBI defers timeline for implementation of Phase III of Nomination
• RBI revises directions on opening & Maintenance of CC, CA & OD by Banks
• RP can not claim income tax refund for period prior to approval of resolution plan
• Appeal should not be dismissed for limitation as delay can be compensated in terms of money
• NFRA invites applications from CAs/CMA for position of Young Professional on contract basis