TaxTMI 
TaxTMI 
TaxTMI 
Simplification and streamlining of Offer Documents of Mutual Fund Schemes
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....f Master Circular dated May 19, 2023, stands modified. 4. Applicability: The revised format for SID, KIM and SAI shall be adopted as under: a. Updated format for SID/KIM/SAI to be implemented w.e.f. April 01, 2024. b. Draft SIDs to be filed with SEBI on or before March 31, 2024 or SIDs already filed with SEBI (final observations yet to be issued) or SIDs for which the final observations have already been received from SEBI (if launched on or before March 31, 2024), can use the old format of SID, provided that the SIDs are updated as per timeline mentioned at (c) below. c. For Existing SIDs - by April 30, 2024 with data as on March 31, 2024. All updated/revised SIDs shall be made available on the website of SEBI/AMFI/AMCs within the timelines specified above. 5. Further, in order to give effect to the revisions in the SID, the following clauses of SEBI Master circular dated May 19, 2023 stand modified, as detailed below: Sl. No. Clauses of Master Circular Modified clause 1. Format 5A - SID Format (referred to in clause 1.1.2) The format of SID specified under Formats as mentioned at clause 1.1.2 (Format 5A), stands revised as attached to this circular. 2. ....
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....ionalization of Mutual Fund Schemes, 2. As per SEBI Circulars on Potential Risk Class (PRC) Matrix for debt schemes, type of scheme to include PRC description and table 3. For Index Funds / Index ETF - Name of scheme shall include complete name of underlying Index. 4. In case of FOF's where single fund is underlying (Feeder Funds): To include the complete name of the underlying fund in the name of the scheme 5. Product Labelling and Risk-o-meter of the Scheme and Benchmark should be disclosed 6. In case the scheme is listed/proposed to be listed (ETFs/close ended etc.), the Scrip Code issued by the stock exchange after listing to be mentioned below the Scheme Name. This product is suitable for investors who are seeking*: Scheme Riskometer Benchmark Riskometer (as applicable) As per AMFI Tier I Benchmark i.e. .................. (as applicable) * The above product labelling assigned during the New Fund Offer (NFO) is based on internal assessment of the scheme characteristics or model portfolio and the same may vary post NFO when the actual investments are made Offer for Units of Rs. -- each for cash during the New Fund Offer and Continuous offer for Unit....
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....the Scheme Information Document may not be sophisticated in legal or financial matters, care should therefore be taken to present the information in the Scheme Information Document in simple language and in a clear, concise and easily understandable manner. iii. The scheme shall not have a name or title which may be deceptive or misleading. Scheme's name should be consistent with its statement of investment policy and the scheme name should be in line with SEBI circulars on categorization. iv. The type of the scheme would mean whether the scheme is a growth scheme, income scheme, balanced scheme etc. and whether the scheme is open-ended, close-ended, an interval fund etc. and the scheme type should be in line with SEBI circular on categorization. v. Scheme Information Document has two sections- Section I and Section II. While Section I contains scheme specific information that is dynamic, Section II contains elaborated provisions (including references to applicable Regulations/circulars/guidelines) with reference to information/disclosures provided in Section I. Part I. HIGHLIGHTS/SUMMARY OF THE SCHEME Sr. No. Title Description I. Name of the scheme * (As per SEBI circul....
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....e published through notice on AMC website i.e. .............. The NFO period in case of ELSS schemes shall continue to be governed by guidelines issued by Government of India. XVI. New Fund Offer Price: This is the price per unit that the investors have to pay to invest during the NFO. price per unit XVII. Segregated portfolio/side pocketing disclosure Confirmation/disclosure statement only. For Details, kindly refer SAI XVIII Swing pricing disclosure Confirmation/disclosure statement only. For Details, kindly refer SAI XIX. Stock lending/short selling Confirmation/disclosure statement only. For Details, kindly refer SAI XX. How to Apply Summary of process only. Details in section II XXI. Where can applications for subscription/redemption/ switches be submitted Summary of process only. Details in section II XXII. Investor services * Contact details for general service requests: * Contact details for complaint resolution XXIII Specific attribute of the scheme (such as lock in, duration in case of target maturity scheme/close ended schemes) (as applicable) XXIV Special product/facility available during the NFO and on ongoing basis ....
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....n percentage terms. The asset allocation should be consistent with the investment objective of the scheme and SEBI circulars on Categorization and Rationalization of Mutual Fund Schemes Instruments Indicative allocations (% of total assets) Maximum Minimum * Percentage of investment in overseas securities, derivatives for non-hedging purposes, stock lending, securitized debt, Debt instruments with special features (AT 1 and AT 2 Bonds), Debt Instruments with SO / CE, ReITs and InVITs, Tri-party repos, other mutual funds, repo/ reverse repo transactions in corporate debt securities, Credit Default Swaps, covered call option etc). to be indicated. * In case the Scheme does not intend to invest in these securities, negative confirmation in a table format should be provided for securities / instruments in which the scheme will not invest. * Cumulative gross exposure limits to be adhered in terms of Master Circular dated May 19, 2023 * Any other information/disclosure to be added as per applicable Consolidated checklist of standard observations. Indicative Table (Actual instrument/percentages may vary subject to applicable SE....
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....lso other consequences which will result from the higher portfolio turnover rate e.g. higher brokerage and transaction cost. D. HOW WILL THE SCHEME BENCHMARK ITS PERFORMANCE? Benchmark (Total Returns Index): AMFI prescribed benchmark for all schemes except ETFs / Index Funds and FOFs with single underlying Fund. The name and the justification (specific to the scheme objective) for the use of benchmark index with which the performance of the scheme can be compared with. E. WHO MANAGES THE SCHEME? Name, age, educational qualification and experience of the fund manager to the scheme to be disclosed. The experience of the fund manager should include last 10 years' experience and also the name of other schemes under his /her management. Dedicated fund manager is mandatory for commodity based funds and overseas investments as per applicable SEBI circulars F. HOW IS THE SCHEME DIFFERENT FROM EXISTING SCHEMES OF THE MUTUAL FUND? Provide a reference list of existing schemes and a functional website link that contains detailed comparative table. G. HOW HAS THE SCHEME PERFORMED (if applicable) [In case of a new scheme, this is not applicable hence give the statement-"This scheme ....
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....5% of the NAV. For other details such as policies w.r.t computation of NAV, rounding off, investment in foreign securities, procedure in case of delay in disclosure of NAV etc. refer to SAI B. NEW FUND OFFER (NFO) EXPENSES These expenses are incurred for the purpose of various activities related to the NFO like sales and distribution fees paid marketing and advertising, registrar expenses, printing and stationary, bank charges etc. Details of source for meeting these expenses may be disclosed. AMC to ensure that no NFO expenses will be / were charged to the Scheme. C. ANNUAL SCHEME RECURRING EXPENSES These are the fees and expenses for operating the scheme. These expenses include Investment Management and Advisory Fee charged by the AMC, Registrar and Transfer Agents' fee, marketing and selling costs etc. as given in the table below: The AMC has estimated that upto _____ % of the daily average net assets of the scheme will be charged to the scheme as expenses (Give slab wise break up depending on the assets under management. Give plan/option wise break up if the expense structures are different). For the actual current expenses being charged, the investor should refer to the w....
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....estment in various instruments in which the scheme intends to invest as indicated in asset allocation section. C. Risk mitigation strategies II. Information about the scheme: A. Where will the scheme invest - Detailed description of the instruments (including overview of debt markets in India, if applicable) mentioned in Section I B. What are the investment restrictions? All the investment restrictions as contained in the Seventh Schedule to SEBI (Mutual Funds) Regulations, 1996 and circulars issued thereunder, applicable to the scheme should be incorporated. Further in case the fund follows any internal norms vis-à-vis limiting exposure to a particular scrip or sector, etc. apart from the aforementioned investment restrictions the same needs to be disclosed. C. Fundamental Attributes Following are the Fundamental Attributes of the scheme, in terms of Clause 1.14 of SEBI Master Circular for Mutual Funds dated May 19, 2023: (i) Type of a scheme * Open ended/Close ended/Interval scheme * Sectoral Fund/Equity Fund/Balance Fund/Income Fund/Index Fund/Any other type of Fund (ii) I....
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....mum Amount to be raised (if any) Dividend Policy (IDCW) Allotment (Detailed procedure) Mention, the procedure for allotment and dispatch of account statements/unit certificates. Indicate the time period. Mention the number of days within which the statement shall be dispatched to the unitholders who subscribe to the units when the scheme is open for continuous subscription after NFO as per the applicable guidelines. Refund If application is rejected, full amount will be refunded within 5 working days of closure of NFO. If refunded later than 5 working days @ 15% p.a. for delay period will be paid and charged to the AMC. Who can invest This is an indicative list and investors shall consult their financial advisor to ascertain whether the scheme is suitable to their risk profile. Who cannot invest How to Apply (details) Details regarding availability of application form from either the Investor Service Centers (ISCs)/Official Points of Acceptance(OPAs) of AMC or may be downloaded from the website of AMC should be specified Please refer to the SAI and Appl....
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....efer SAI. Dividend/ IDCW The payment of dividend/IDCW to the unitholders shall be made within seven working days from the record date. Redemption The redemption or repurchase proceeds shall be dispatched to the unitholders within three working days from the date of redemption or repurchase. For list of exceptional circumstances refer para 14.1.3 of SEBI Master Circular for Mutual Funds dated May 19, 2023 For schemes investing atleast 80% of total assets in permissible overseas investments (as per Clause 12.19 of SEBI Master Circular for Mutual Funds dated May 19, 2023), the transfer of redemption or repurchase proceeds to the unitholders shall be made within five working days from the date of redemption or repurchase. Bank Mandate Delay in payment of redemption / repurchase proceeds/dividend The Asset Management Company shall be liable to pay interest to the unitholders at rate as specified vide clause 14.2 of SEBI Master Circular for Mutual Funds dated May 19, 2023 by SEBI for the period of such delay Unclaimed Redemption and Income Distribution cum Capital Withdrawal Amount Disclosure w.r.t investment by minors Any oth....