Ch.6 · ARN and EUIN Rules · medium
What is the concept of 'commission disclosure' mandated by SEBI for mutual fund distributors?
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EXPLANATION
SEBI mandates that distributors must proactively disclose the commission/remuneration received from AMCs to investors at the point of sale. Commission details also appear in the investor's consolidated account statement (CAS). This transparency helps investors assess whether recommendations are commission-driven.
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