Ch.4 · AMFI Code of Conduct · medium

A mutual fund sponsor must contribute a minimum of what percentage to the net worth of the AMC?

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EXPLANATION

The sponsor must contribute at least 40% to the net worth of the AMC as per SEBI (Mutual Funds) Regulations, 1996. This ensures that the sponsor has meaningful skin in the game.

A.10%

B.25%

C.40% [✓ Correct]

D.51%

EXPLANATION

The sponsor must contribute at least 40% to the net worth of the AMC as per SEBI (Mutual Funds) Regulations, 1996. This ensures that the sponsor has meaningful skin in the game.

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