Pre-requisites to become Distributor of a Mutual Fund

SEBI has mandated mutual fund distributors, agents or any persons employed or to be employed in the sale and/or distribution of mutual fund products, to have a valid certification from the National Institute of Securities Markets (NISM) by passing NISM Series-V-A: Mutual Fund Distributors Certification Examination

Obtaining NISM Certification

The individual needs to pass the NISM certification examination mandated by SEBI.

For persons who have attained the age of 50 years or who have at least 10 years of experience in the securities markets in the sale and/ or distribution of mutual fund products as on May 31, 2010, can obtain the certification either by passing the NISM certification examination .

The process consists of document verification and bio-metric process.

Self-attested copy of the PAN card and specific documents as proof of address to be submitted along with application form at the CAMS-PoS

Bio-metric process consists of taking the impression of the index finger of the right hand of the ARN holder.

Obtaining AMFI Registration Number (ARN)

After obtaining the certification and completing KYD requirements, the next stage is to register with AMFI.

Empanelment with AMCs

Armed with the ARN No., the IFA / distributor / stock exchange broker can get empanelled with any number of AMCs.

Conditions for Empanelment

Personal information of applicant – Name of person, age, Trade Name, Contact Information, ARN,
PAN, Income tax category

Names and contact information of key people handling sales and operations

Business details, such as office area, number of branches, number of employees

Bank details and preferences regarding Direct Credit of brokerage in the bank account

! — Happy Investing –!

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