Market Regulator SEBI is trying to increase women’s participation in mutual funds schemes. SEBI is considering a plan to give additional incentives to women investors who invest for the first time. SEBI chairman Tuhin Kant Pandey gave this information in a program of Association of Mutual Funds in India (AMFI). Pandey said, “Financial inclusion will not be complete until women will participate in it.” So we are considering bringing additional distribution incentives for women investors investing for the first time.
He said that SEBI is taking several steps to promote the mutual funds industry and protect the interests of investors. Recently, it has been proposed to encourage distributors on investment by new individual investors in cities of the second and third category (Tier 2 and Tier 3). This will add new participants and the scope of mutual funds will increase to low participation areas.
Classification review of mutual fund schemes
SEBI chief said that with flexibility and clarity in product innovation, classifications of mutual fund schemes are being reviewed to overcome the problem of investment in the same type of fund schemes. Based on the suggestions received from the counseling process being conducted in this regard, the next steps will be decided. Pandey said, “These measures will be helpful in making the industry more transparent and investor friendly.”
Pandey said that in order to simplify business ease and compliance, SEBI has recently reviewed the reports sought from mutual funds. After this, the need to submit more than 52 reports, notices and esdams has been abolished. In the coming months, SEBI will also work on simplifying the rules related to mutual funds, so that the compliance for the industry will be easy and ensure protecting the interests of investors.