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NISM Certifications · NISM-Series-V-A: Mutual Fund Distributors · Legal and Regulatory Framework

Which statement about the Statement of Additional Information (SAI) of a mutual fund is correct?

The SAI carries details of the mutual fund's constitution, sponsor, trustees, AMC and other statutory information, and is made available to investors on request. It supplements the scheme information document rather than replacing it, and is not limited to institutions.

  1. AIt is filed only with AMFI and never with SEBI
  2. BIt contains details of the mutual fund's legal structure, the trustees and AMC, and is made available to investors on requestCorrect
  3. CIt replaces the scheme information document for each scheme
  4. DIt is issued only to institutional investors

Explanation

The SAI gives statutory information about the mutual fund, sponsor, trustees, AMC and service providers, and is part of the offer documents. It supplements, not replaces, the SID, and it is available to all investors on request, including on the fund's website.

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