NISM Certifications · NISM-Series-V-A: Mutual Fund Distributors · Legal and Regulatory Framework
A mutual fund distributor wants to sell mutual fund schemes in India. Which of the following is mandatory for obtaining an AMFI Registration Number (ARN)?
A distributor needs a valid NISM-Series-V-A certification, or an accepted equivalent exemption, to obtain an ARN from AMFI. Net worth, stock exchange membership or approval from each fund house's trustees are not requirements for the ARN.
- AHolding a minimum net worth of Rs 1 crore
- BPassing the NISM-Series-V-A certification examination, or holding an equivalent exempted qualificationCorrect
- CBeing a member of a recognised stock exchange
- DObtaining prior approval from the trustees of every fund house
Explanation
AMFI grants ARN to distributors who hold a valid NISM-Series-V-A certificate (or an accepted exemption) and comply with the code of conduct. No minimum net worth, exchange membership or trustee approval for each fund is required.
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