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How much does a mutual fund distributor earn in India?

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How much does a mutual fund distributor earn in India?

Typically mutual fund distributors earn around 1\% commission on the value of their clients’ equity schemes and 0.5\% on debt schemes. The sluggish growth in commissions stood in contrast to the huge rally in India’s equity market and hence mutual fund assets over the past year.

Is mutual fund distribution business profitable?

Mutual fund (MF) distributors’ income has grown at a tepid pace in financial year 2020-2021. According to data from AMFI, MF distributors received Rs 6,617 crore in 2020-2021, which was just 7.6 percent higher than the previous financial year.

What does a mutual fund distributor do?

A mutual fund distributor is one who helps in buying and selling of mutual funds in India for its investors. The mutual fund distributors earn commission by bringing in investors to the mutual fund scheme. They also advise the investors about the various schemes of different mutual fund houses.

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How do I become a successful mutual fund distributor?

Eligibility Criteria for Mutual Fund Distributor

  1. Pass the NISM Certification Test known as “NISM Series V (a): Mutual Fund Distributors Certification Examination”.
  2. Get registered with AMFI after passing NISM Certification Test.
  3. Obtain a unique code-AMFI Registration Number (ARN) along with an identity card from AMFI.

How can I become a mutual fund distributor in India?

How to become a Mutual Fund Distributor or Agent in India in 3 easy steps?

  1. Step 1: Pass the NISM Series V-A: Mutual Fund Distributors Certification Examination (Mutual Fund Agent Exam)
  2. Step 2: Register with AMFI through CAMS Office.
  3. Step 3: Register with AMCs.

How much can a distributor earn?

The data shows that 2,842 distributors earn between Rs. 10 and Rs. 20 lakh annually. However, a majority of distributors i.e. 16,000 or 35\% distributors earn between Rs.

How do I start a mutual fund distribution company?

Become a Mutual Fund Distributor

  1. Becoming Mutual Fund Distributor Requires Following Steps:
  2. Pass the NISM Series V-A: Mutual Fund Distributors Certification Examination.
  3. Get Your AMFI Registration Number.
  4. Empanel with Mutual Funds.
  5. Learn to Provide the Right Mutual Fund Schemes to your Customers.

Which is India’s largest mutual fund distributor?

AMFI data on commission disclosure shows that NJ IndiaInvest remained the top distributor with highest gross commission of Rs. 874 crore; 12\% higher than what it earned in FY 2020. With 30\% rise in gross commission income, SBI became the second largest mutual fund distributor in FY 2021.

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Who appoints mutual fund distributor?

When BSE receives a confirmation OR an instruction from the AMC for enabling the particular ARN i.e. MFD for their schemes or; 2. When BSE receives the confirmation letter of AMC, forwarded by MFDs, with regard to their being appointed / empanelled as a Distributor of their schemes.

Which company mutual fund is best in India?

Top 10 Mutual Funds in India 2020

  • ICICI Prudential Focused Bluechip Equity Fund.
  • Aditya Birla Sun Life Small & Midcap Fund.
  • Tata Equity PE Fund.
  • HDFC Monthly Income Plan – MTP.
  • L Tax Advantage Fund.
  • SBI Nifty Index Fund.
  • Kotak Corporate Bond Fund.
  • Canara Robeco Gilt PGS.

Which NISM certification is must for mutual fund distributor?

The NISM-Series-V-C: Mutual Fund Distributors (Level 2) Certification Examination is suitable for: Mutual fund distributors and agentsPersons employed or engaged in the sale and/or distribution of mutual fund productsPersons to be employed or engaged in the sale and/or distribution of mutual fund products Students …

How can I become a SBI Mutual Fund Distributor?

Empanel Offline

  1. Step 1: Fill the Empanelment form for Distributor. You can download form by clicking here – Empanelment form.
  2. Step 2: Keep Copies of following documents ready.
  3. Step 3: Submit all the forms and documents to the nearest SBI Mutual Fund Branch.
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What is the total AUM of mutual fund industry in India?

Total AUM of the mutual fund industry stood at Rs 25.43 lakh crore as on May 31, 2019. Banks remained the top mutual fund distributors in the country in FY19.

Which bank is the largest distributor of mutual funds in India?

Banks remained the top mutual fund distributors in the country in FY19. HDFC Bank was the largest distributor which managed AUM of Rs 72,944 crore, followed by State Bank of India with Rs 64,280 crore AUM.

Is there a consolidation in the mutual fund industry in India?

In the past few months there has been a consolidation phase going on in the mutual fund industry in India. Now investors have a wide range of Schemes to choose from depending on their individual profiles.

What is the scope of Project Study in mutual funds?

The project study was done to ascertain the asset allocation, entry load, exit load, associated with the mutual funds. Ultimately this would help in understanding the benefits of mutual funds to investors. In my project the scope is limited to some prominent mutual funds in the mutual fund industry.