Parking of Funds in Short Term Deposits of Scheduled Commercial Banks by Mutual Funds – Pending deployment

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... in India (AMFI) Dear Sirs, Sub: Parking of Funds in Short Term Deposits of Scheduled Commercial Banks by Mutual Funds - Pending deployment Please refer to clause 8 of Schedule VII of SEBI (Mutual Funds) Regulations 1996 pertaining to investment in short term deposits of scheduled commercial banks, pending deployment. In order to ensure that the funds collected in a scheme are invested....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ial banks together shall not exceed 20% of total deployment by the mutual fund in short term deposits. 4.      No mutual fund scheme shall park more than 10% of the net assets in short term deposit(s), with any one scheduled commercial bank including its subsidiaries. 5.      Trustees shall ensure that no funds of a scheme may be ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....f time. Further the AMC shall also certify the same in its bi-monthly compliance test report. Applicability 1.      The above conditions shall be applicable to all fresh investments whether in a new scheme or an existing scheme. 2.      In case of an existing scheme where the scheme has already parked funds in short term deposi....