Ease of doing business measures - Enabling Investment Advisers (“IAs”) to provide second opinion to clients on assets under pre-existing distribution arrangement

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....sers Investment Adviser Administration and Supervisory Body (IAASB) Madam / Sir, Sub: Ease of doing business measures - Enabling Investment Advisers ("IAs") to provide second opinion to clients on assets under pre-existing distribution arrangement 1. Clause 1.(iii)((f) of the Master Circular for Investment Advisers specifies that any portion of Assets Under Advice ("AUA") held by the c....

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.... following has been decided: 3.1. IAs may charge fee on such assets subject to a limit of 2.5% of such assets value per annum. 3.2. In such cases, IAs must disclose and seek consent from such clients (on annual basis), that apart from the advisory fees payable to the IA, the clients will be incurring costs towards distributor consideration for such assets. 4. In view of above, the clause ....