NISM Certifications · NISM-Series-V-A: Mutual Fund Distributors · Investor Services
Under SEBI rules, within how many working days must the AMC generally dispatch redemption proceeds to an investor of an open-ended scheme (other than exceptions such as certain overseas schemes)?
Redemption proceeds of open-ended schemes must generally be dispatched within 3 working days of the redemption request, and delay attracts interest as per SEBI rules. Longer periods like 10, 30 or 45 days do not reflect the standard requirement.
- A10 working days
- B3 working daysCorrect
- C30 working days
- D45 working days
Explanation
SEBI requires redemption proceeds for open-ended schemes to be paid within 3 working days from the date of redemption request, with penal interest for delay. The other periods are longer than the norm.
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