Prohibition on fund pooling: mutual fund platforms must ensure direct investor-to-scheme payments and direct unit transfers. Transactions in mutual fund units through platforms other than stock exchanges require service agreements with AMCs and prohibit any intermediate pooling of investor funds or units; subscriptions and redemptions must be credited directly between investors' bank accounts and mutual fund scheme accounts, or routed through authorized payment aggregators/recognized clearing corporations, with units credited/transferred directly in demat and non-demat modes and system-generated, secured information sharing among stakeholders while limiting payment data to aggregators.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Prohibition on fund pooling: mutual fund platforms must ensure direct investor-to-scheme payments and direct unit transfers.
Transactions in mutual fund units through platforms other than stock exchanges require service agreements with AMCs and prohibit any intermediate pooling of investor funds or units; subscriptions and redemptions must be credited directly between investors' bank accounts and mutual fund scheme accounts, or routed through authorized payment aggregators/recognized clearing corporations, with units credited/transferred directly in demat and non-demat modes and system-generated, secured information sharing among stakeholders while limiting payment data to aggregators.
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