NISM Certifications · NISM-Series-V-A: Mutual Fund Distributors · Legal and Regulatory Framework
What is the primary role of AMFI in the Indian mutual fund industry?
AMFI is the industry association of mutual fund AMCs. It promotes professional standards, a code of conduct and investor awareness, and registers distributors by issuing ARN. It is not the statutory regulator, which is SEBI, and does not manage assets or settle trades.
- ARegulating mutual funds as the statutory regulator
- BActing as the industry association that promotes standards and the code of conduct, including distributor registration (ARN)Correct
- CManaging the assets of all schemes
- DSettling securities trades on stock exchanges
Explanation
AMFI is the industry body of AMCs that promotes best practices, a code of conduct and investor awareness, and issues ARN to distributors. SEBI is the regulator. AMFI neither manages assets nor settles trades.
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